Mastering GCC Business Frameworks for Scalable Operations

The sector likewise dealt with more comprehensive macro headwinds, consisting of a more careful policy background in China and worldwide risk-off belief driven by geopolitical tensions and greater energy prices. Thematic ETFs likewise had a hard time for the many part, particularly those linked to carbon and high-growth technology, as assessment pressures and global rate characteristics weighed on efficiency.

The petrochemical ETF substantially outperformed. Flows in Q1 2026 were modest and highly concentrated, showing selective allocation instead of broad market participation. In spite of weak performance, ETFs tape-recorded $27.1 million in net inflows, with only a little number of items bring in new capital. This shows that investors were targeting specific direct exposures, while minimizing or rotating out of others.

Trading activity remained steady, with average 30-day volumes around 33,000 shares, concentrated in a handful of bigger and more liquid ETFs. Most activity appears to have happened in the secondary market, allowing investors to adjust positions without significant main developments or redemptions. While current geopolitical events have led to more monetary pressure on GCC nations, the region stays resistant and well capitalized to deal with the situation.

In January, Boreas launched its S&P Global High-end UCITS ETF, including a specific niche thematic direct exposure focused on global high-end and customer brand names. Momentum continued into April with the approval of KraneShares AGIX and KWIN ETFs by the CMA for cross-listing on ADX. These funds are anticipated to launch in April pending a final approval from ADX.

Q1 2026 revealed some development relating to ETFs in the GCC. We expect more worldwide and thematic ETFs to list in the GCC throughout 2026. While the conflict has actually affected belief and prices during the quarter, it has driven more volume and interest in local assets.

Corporate Strategy for GCC Leadership

Regardless of continuous geopolitical stress and security risks throughout the Middle East, the economies of the Gulf Cooperation Council (GCC) have actually continued to demonstrate strength, maintaining positive growth momentum over the last few years. While disputes in the broader area and international economic uncertainty remain a structural restriction, GCC nations have up until now restricted their effect on domestic financial performance through strong fiscal positions, policy continuity, and sustained investment.

The World Bank, on the other hand, jobs 3.2 percent development in 2025, speeding up to 4.5 percent in 2026. The IMF similarly sees momentum improving, with GCC output growth predicted 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) jobs worldwide development reducing 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 place the area 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 local risk conditions stay contained and reform momentum holds.

Advanced Planning for Regional Excellence

Information 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 governments expand investment in services, facilities, and innovation. According to Oxford Economics, non-energy activity across 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 technology and AI-related infrastructure.

Public-sector investment and reform remain central to sustaining this pattern. Policy steps focused on drawing in foreign direct financial investment, relieving foreign ownership guidelines, broadening capital markets, and supporting private-sector involvement continue to underpin non-oil growth and reduce the region's exposure to oil rate volatility. While hydrocarbons no longer dominate the development outlook, oil earnings are expected to play a helpful role in 2026.

3.2 percent development in 2025, accelerating to 4.5 percent in 2026. 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 towards more positive overall conditions.

The IMF's World Economic Outlook (October 2025) projects international growth relieving 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 comparison, a 4.44.5 percent GCC expansion would place the region materially ahead of the world average and somewhat above (or broadly in line with) the emerging-market aggregate, strengthening the GCC's status as a fairly high-growth pocketprovided that regional risk conditions stay consisted of and reform momentum holds.

ANSR July GCC PRs 50DR+

Key Developments in the 2026 GCC Market

Data from the GCC Statistical Center show that non-oil sectors already represent more than 73 percent of overall GDP, a share that has continued to rise as governments expand financial investment in services, facilities, and technology. According to Oxford Economics, non-energy activity across 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 facilities.

Public-sector investment and reform stay main to sustaining this pattern. Policy steps intended at attracting foreign direct financial investment, alleviating foreign ownership rules, broadening capital markets, and supporting private-sector participation continue to underpin non-oil growth and decrease the region's direct exposure to oil price volatility. While hydrocarbons no longer control the development outlook, oil profits are expected to play a helpful function in 2026.