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Business news and financial news, analysis, viewpoint and stats covering the six Gulf Corporation Council members Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the UAE

ANSR July GCC PRs 50DR+

Economic development across the Gulf Cooperation Council (GCC) is set to speed up in 2026, with the region predicted to outshine its 2025 performance regardless of soft oil earnings and ongoing global unpredictabilities. According to a new Oxford Economics research study instruction, GCC GDP growth is anticipated to rise to 4.4 percent in 2026, up from 4 percent in 2025, showing a resilient nonenergy sector, strong consumer characteristics, and gradually enhancing oil output.

The newest forecasts recommend that Gulf economies are now wellpositioned to gain back momentum, buoyed by strengthening domestic demand and a broadly constant global backdrop. The report highlights GCC consumers as a significant chauffeur of the region's economic efficiency heading into next year. Low inflation, robust labour markets, and growing genuine disposable incomes are expected to sustain a surge in consumer spending throughout the Gulf.

Credit development is likewise anticipated to stay raised as access to monetary services expands. With GCC central banks anticipated to follow anticipated US Federal Reserve rate cuts due to the region's dollar pegs, obtaining costs are most likely to decrease, providing homes and services even more inspiration to invest and invest. While the nonoil sector continues to anchor the region's resilience, the GCC's hydrocarbon outlook provides a combined image.

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This might weigh on firsthalf growth, especially for economies more based on oil extraction. However, Oxford Economics projects a rebound later on in 2026, with Opec+ members expected to resume raising production as stocks tighten and global demand enhances. Qatar, meanwhile, stands out as a local outperformer, with significant expansions in gas production and exports expected to raise its total financial performance.

Saudi Arabia's 2026 budget anticipates a 6 percent cut in capital expense as the kingdom aims to narrow its fiscal deficit by 2 percentage points. The report notes that these cuts may not materialise fully if countercyclical costs procedures are triggered to support development. By contrast, more diversified economies such as the UAE and Qatar are anticipated to continue advancing their advancement programs.

Regardless of shortterm dangers tied to oil rates and international demand, the GCC's 2026 financial outlook is specified by strength in basics: durable consumers, robust nonenergy sectors, enhancing oil dynamics, and tactical fiscal planning. With these elements lining up, the region is preparing for one of its most balanced periods of growth over the last few years anchored by a clear upward trajectory in GDP growth.

Analysing New Market Data for Future Growth

RIYADH: Gulf Cooperation Council regional economies are expected to remain durable in 2026, driven by strong domestic need and a broadly consistent global economy, according to an analysis. In its most current report, Oxford Economics highlighted that the genuine gross domestic item of the GCC region is anticipated to broaden by 4.4 percent in 2026, up from the forecasted 4 percent this year.

US trade policy under President Donald Trump has had no notable effect on local growth, and non-energy sectors have sustained their robust momentum," said Oxford Economics. It included: "On the other hand, oil production has gradually increased, offering an increase to the area's economies. We anticipate GCC growth will rise to 4.4 percent in 2026, from 4 percent this year."In November, the GCC Statistical Center said that economic development in the area is set to accelerate to 4.3 percent by 2027, driven by broadening non-oil sectors.

ANSR July GCC PRs 50DR+

Non-oil activities accounted for 73.2 percent of overall GDP, up from 70.6 percent at the end of 2024, highlighting the region's continued progress towards diversification. According to Oxford Economics, GCC customers will be standout performers in 2026 and are expected to outshine their international peers.

In December, the IMF further said that headline inflation is anticipated to stay below 2 percent in Bahrain, Oman, and Qatar, near 2 percent in the Kingdom and the UAE, and somewhat above 2 percent in Kuwait in 20252026. According to Oxford Economics, credit growth is expected to stay raised in the GCC area throughout 2026, as access to financial services is anticipated to grow and loaning is forecasted to be supported by more cuts in rates of interest."Owing to their currency pegs to the US dollar, GCC reserve banks are anticipated to follow the United States Federal Reserve by easing monetary policy further, which in turn will decrease financial obligation maintenance costs and increase disposable income and need," said the report.