Accelerating Dubai Industrial Expansion through Strategy

Rather than marking a cyclical rebound, 2026 is progressively deemed a combination year, in which diversification-led development becomes more deeply ingrained in the region's financial design, lowering dependence on hydrocarbons and increasing strength to external shocks. Projections from significant institutions broadly assemble on a more powerful GCC growth profile in 2026 than in 2025, supported by resistant domestic demand, continued non-oil growth, and (to varying degrees) a firmer hydrocarbon contribution.

ANSR July GCC PRs 50DR+

The World Bank, on the other hand, projects 3.2 percent growth in 2025, speeding up to 4.5 percent in 2026. The IMF Sees momentum improving, with GCC output growth forecasted to increase from 1.7 percent in 2024 to 3.3 percent on average in 2025, reflecting a shift toward more positive general conditions.

The IMF's World Economic Outlook (October 2025) projects worldwide development relieving to 3.1 percent in 2026, with innovative economies around 1.5 percent and emerging market and establishing economies just above 4 percent. On that contrast, a 4.44.5 percent GCC growth would position the region materially ahead of the world average and slightly above (or broadly in line with) the emerging-market aggregate, enhancing the GCC's status as a relatively high-growth pocketprovided that local threat conditions remain contained and reform momentum holds.

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

ANSR July GCC PRs 50DR+

How to Maintain a Competitive Edge in Dubai

Public-sector financial investment and reform remain main to sustaining this trend. Policy steps targeted at bring in foreign direct financial investment, alleviating foreign ownership rules, expanding capital markets, and supporting private-sector involvement continue to underpin non-oil growth and lower the region's direct exposure to oil rate volatility. While hydrocarbons no longer control the growth outlook, oil earnings are anticipated to play a supportive function in 2026.

Oxford Economics expects Brent crude prices to fall listed below USD 60 per barrel in early 2026, restricting the near-term contribution of oil extraction to GDP. However, oil supply is anticipated to rise once again in the second half of the year, with a complete relaxing of remaining production caps most likely by mid-2027.

ANSR July GCC PRs 50DR+

Macroeconomic conditions across the GCC stay broadly encouraging of development. Inflation is expected to remain low, with the IMF forecasting average inflation of 2 percent throughout the region in 2026. Stable prices are assisting protect real home incomes and underpin consumer costs, which Oxford Economics expects to grow by an average of 3.5 percent over 20262027.