Managing the Upcoming GCC Business Landscape for Executives

The sector likewise dealt with broader macro headwinds, consisting of a more mindful policy background in China and worldwide risk-off belief driven by geopolitical stress and higher energy prices. Thematic ETFs likewise had a hard time for the most part, particularly those connected to carbon and high-growth technology, as appraisal pressures and global rate dynamics weighed on efficiency.

Flows in Q1 2026 were modest and highly concentrated, showing selective allowance rather than broad market involvement. Despite weak performance, ETFs recorded $27.1 million in net inflows, with just a small number of items drawing in brand-new capital.

Trading activity stayed consistent, with average 30-day volumes around 33,000 shares, focused in a handful of bigger and more liquid ETFs. The majority of activity appears to have actually taken place in the secondary market, making it possible for investors to adjust positions without significant main productions or redemptions.

In January, Boreas launched its S&P Global High-end UCITS ETF, including a niche thematic exposure focused on worldwide luxury and customer brands. ETFs by the CMA for cross-listing on ADX.

Q1 2026 showed some development associating with ETFs in the GCC. We anticipate more global and thematic ETFs to list in the GCC during 2026. While the conflict has actually impacted sentiment and rates throughout the quarter, it has actually driven more volume and interest in regional properties.

Why Does Operational Excellence Essential for Future Growth?

Despite ongoing geopolitical stress and security risks across the Middle East, the economies of the Gulf Cooperation Council (GCC) have actually continued to show resilience, keeping favorable growth momentum in recent years. While conflicts in the wider region and global economic uncertainty stay a structural restraint, GCC countries have actually so far limited their effect on domestic economic performance through strong financial positions, policy connection, and sustained investment.

The World Bank, on the other hand, jobs 3.2 percent growth in 2025, accelerating to 4.5 percent in 2026. The IMF likewise sees momentum improving, with GCC output growth forecasted to rise from 1.7 percent in 2024 to 3.3 percent typically in 2025, showing a shift toward more positive overall conditions.

The IMF's World Economic Outlook (October 2025) projects global growth easing to 3.1 percent in 2026, with advanced economies around 1.5 percent and emerging market and establishing economies just above 4 percent. On that comparison, a 4.44.5 percent GCC expansion would position the region materially ahead of the world average and slightly above (or broadly in line with) the emerging-market aggregate, strengthening the GCC's status as a reasonably high-growth pocketprovided that local danger conditions stay contained and reform momentum holds.

Managing the Upcoming GCC Business Environment for Executives

Information from the GCC Statistical Center show that non-oil sectors currently represent more than 73 percent of total GDP, a share that has continued to increase as federal governments broaden investment in services, infrastructure, and technology. According to Oxford Economics, non-energy activity throughout the GCC is forecasted to grow by around 4.1 percent in 2026, supported by strong labor markets, improving credit conditions, and increasing financial investment in technology and AI-related infrastructure.

Public-sector investment and reform stay central to sustaining this pattern. Policy steps targeted at bring in foreign direct investment, alleviating foreign ownership rules, expanding capital markets, and supporting private-sector involvement continue to underpin non-oil growth and decrease the region's exposure to oil price volatility. While hydrocarbons no longer dominate the growth outlook, oil earnings are expected to play a supportive function in 2026.

The World Bank, on the other hand, jobs 3.2 percent development in 2025, accelerating to 4.5 percent in 2026. The IMF Sees momentum improving, with GCC output growth projected to rise from 1.7 percent in 2024 to 3.3 percent on average in 2025, showing a shift towards more positive total conditions.

The IMF's World Economic Outlook (October 2025) tasks worldwide development relieving to 3.1 percent in 2026, with innovative economies around 1.5 percent and emerging market and establishing economies simply above 4 percent. On that comparison, a 4.44.5 percent GCC expansion would put the area materially ahead of the world average and slightly above (or broadly in line with) the emerging-market aggregate, strengthening the GCC's status as a reasonably high-growth pocketprovided that regional risk conditions stay consisted of and reform momentum holds.

ANSR July GCC PRs 50DR+

Corporate Planning for Regional Success

Information from the GCC Statistical Center show that non-oil sectors already represent more than 73 percent of total GDP, a share that has continued to increase as governments expand investment in services, facilities, and innovation. According to Oxford Economics, non-energy activity throughout the GCC is forecasted to grow by around 4.1 percent in 2026, supported by strong labor markets, improving credit conditions, and increasing investment in innovation and AI-related infrastructure.

Public-sector financial investment and reform stay main to sustaining this trend. Policy steps aimed at attracting foreign direct investment, relieving foreign ownership rules, broadening capital markets, and supporting private-sector participation continue to underpin non-oil expansion and decrease the region's exposure to oil rate volatility. While hydrocarbons no longer dominate the development outlook, oil profits are expected to play a supportive function in 2026.