How to Leverage GCC Research for Growth

The sector likewise dealt with more comprehensive macro headwinds, including a more careful policy backdrop in China and worldwide risk-off sentiment driven by geopolitical stress and greater energy prices. Thematic ETFs Struggled for the many part, particularly those linked to carbon and high-growth technology, as valuation pressures and worldwide rate dynamics weighed on performance.

Circulations in Q1 2026 were modest and extremely focused, showing selective allotment rather than broad market participation. Despite weak efficiency, ETFs taped $27.1 million in net inflows, with only a small number of products attracting new capital.

Trading activity remained 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 taken location in the secondary market, making it possible for investors to change positions without substantial primary developments or redemptions.

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

Q1 2026 revealed some development connecting to ETFs in the GCC. We expect more global and thematic ETFs to list in the GCC throughout 2026. While the dispute has actually impacted belief and rates during the quarter, it has driven more volume and interest in local assets.

Strategic Strategy for Regional Excellence

Regardless of continuous geopolitical tensions and security dangers across the Middle East, the economies of the Gulf Cooperation Council (GCC) have actually continued to demonstrate resilience, keeping positive growth momentum over the last few years. While conflicts in the broader region and international economic unpredictability remain a structural constraint, GCC nations have actually up until now limited their effect on domestic financial efficiency through strong financial positions, policy connection, and sustained financial investment.

3.2 percent growth in 2025, speeding up to 4.5 percent in 2026. Sees momentum improving, with GCC output development forecasted to rise from 1.7 percent in 2024 to 3.3 percent on average in 2025, showing a shift towards more positive overall conditions.

The IMF's World Economic Outlook (October 2025) projects worldwide growth 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 comparison, a 4.44.5 percent GCC growth would put the area 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 consisted of and reform momentum holds.

How Is Operational Excellence Essential for Future Expansion?

Data from the GCC Statistical Center reveal that non-oil sectors currently account for more than 73 percent of total GDP, a share that has continued to rise as governments broaden financial investment in services, infrastructure, and innovation. According to Oxford Economics, non-energy activity across the GCC is projected to grow by around 4.1 percent in 2026, supported by strong labor markets, enhancing credit conditions, and rising financial investment in technology and AI-related facilities.

Public-sector investment and reform stay central to sustaining this trend. Policy measures focused on bring in foreign direct investment, easing foreign ownership guidelines, broadening capital markets, and supporting private-sector involvement continue to underpin non-oil growth and decrease the region's exposure to oil rate volatility. While hydrocarbons no longer dominate the growth outlook, oil incomes are anticipated to play a supportive function in 2026.

The World Bank, on the other hand, projects 3.2 percent growth in 2025, speeding up to 4.5 percent in 2026. The IMF similarly sees momentum improving, with GCC output development predicted to increase from 1.7 percent in 2024 to 3.3 percent on average in 2025, reflecting a shift towards more positive overall conditions.

The IMF's World Economic Outlook (October 2025) projects global development reducing 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 growth would put the region materially ahead of the world average and a little above (or broadly in line with) the emerging-market aggregate, enhancing the GCC's status as a relatively high-growth pocketprovided that regional risk conditions remain consisted of and reform momentum holds.

ANSR July GCC PRs 50DR+

Why Is Business Excellence Essential for Future Expansion?

Data from the GCC Statistical Center reveal that non-oil sectors currently represent more than 73 percent of total GDP, a share that has continued to rise as governments expand financial 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 rising financial investment in technology and AI-related infrastructure.

Public-sector investment and reform stay main to sustaining this trend. Policy measures targeted at attracting foreign direct investment, reducing foreign ownership rules, broadening capital markets, and supporting private-sector involvement continue to underpin non-oil expansion and minimize the region's direct exposure to oil rate volatility. While hydrocarbons no longer control the growth outlook, oil revenues are anticipated to play a helpful function in 2026.