Advanced Planning for GCC Success

The sector also dealt with wider macro headwinds, including a more cautious policy background in China and worldwide risk-off sentiment driven by geopolitical stress and higher energy rates. Thematic ETFs Had a hard time for the a lot of part, especially those linked to carbon and high-growth innovation, as appraisal pressures and global rate dynamics weighed on efficiency.

The petrochemical ETF significantly outperformed. Flows in Q1 2026 were modest and extremely concentrated, showing selective allotment rather than broad market involvement. In spite of weak efficiency, ETFs recorded $27.1 million in net inflows, with just a small number of items bring in brand-new capital. This suggests that financiers were targeting specific exposures, while decreasing or turning out of others.

Trading activity stayed constant, with typical 30-day volumes around 33,000 shares, focused in a handful of bigger and more liquid ETFs. Many activity appears to have occurred in the secondary market, enabling investors to change positions without significant primary developments or redemptions. While recent geopolitical events have resulted in more financial pressure on GCC countries, the region remains resistant and well capitalized to handle the scenario.

In January, Boreas released its S&P Global Luxury UCITS ETF, adding a niche thematic exposure focused on worldwide luxury and consumer brands. ETFs by the CMA for cross-listing on ADX.

Q1 2026 revealed some development associating with ETFs in the GCC. We anticipate more international 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 properties.

Strategic Planning for Middle East Leadership

In spite of ongoing geopolitical tensions and security dangers throughout the Middle East, the economies of the Gulf Cooperation Council (GCC) have continued to show resilience, preserving positive development momentum recently. While disputes in the broader region and international financial uncertainty stay a structural restraint, GCC countries have up until now restricted their influence on domestic financial efficiency through strong fiscal positions, policy continuity, and continual financial investment.

The World Bank, on the other hand, tasks 3.2 percent growth in 2025, speeding up to 4.5 percent in 2026. The IMF 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 favorable overall conditions.

The IMF's World Economic Outlook (October 2025) jobs global growth alleviating to 3.1 percent in 2026, with advanced economies around 1.5 percent and emerging market and developing economies just above 4 percent. On that comparison, a 4.44.5 percent GCC expansion would put the area materially ahead of the world average and a little above (or broadly in line with) the emerging-market aggregate, reinforcing the GCC's status as a reasonably high-growth pocketprovided that local risk conditions remain contained and reform momentum holds.

How Does Operational Excellence Crucial for Future Expansion?

Information from the GCC Statistical Center show that non-oil sectors already represent more than 73 percent of overall GDP, a share that has actually continued to increase as federal governments broaden financial investment in services, infrastructure, and technology. 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, improving credit conditions, and rising investment in innovation and AI-related infrastructure.

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

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

The IMF's World Economic Outlook (October 2025) projects global development alleviating to 3.1 percent in 2026, with advanced economies around 1.5 percent and emerging market and establishing economies simply above 4 percent. On that contrast, a 4.44.5 percent GCC growth would put the area materially ahead of the world average and somewhat above (or broadly in line with) the emerging-market aggregate, reinforcing the GCC's status as a relatively high-growth pocketprovided that local threat conditions stay contained and reform momentum holds.

ANSR July GCC PRs 50DR+

Driving Strategic Excellence in the GCC

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 increase as federal governments expand investment in services, facilities, and technology. According to Oxford Economics, non-energy activity across the GCC is predicted to grow by around 4.1 percent in 2026, supported by strong labor markets, enhancing credit conditions, and increasing investment in technology and AI-related facilities.

Public-sector financial investment and reform stay main to sustaining this pattern. Policy steps aimed at bring in foreign direct financial investment, alleviating foreign ownership guidelines, expanding capital markets, and supporting private-sector involvement continue to underpin non-oil growth and minimize the region's direct exposure to oil price volatility. While hydrocarbons no longer dominate the growth outlook, oil revenues are expected to play an encouraging role in 2026.