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Rather than marking a cyclical rebound, 2026 is increasingly deemed a combination year, in which diversification-led development becomes more deeply embedded in the area's economic model, decreasing reliance on hydrocarbons and increasing strength to external shocks. Forecasts from major institutions broadly assemble on a stronger GCC growth profile in 2026 than in 2025, supported by durable domestic need, continued non-oil growth, and (to varying degrees) a firmer hydrocarbon contribution.

ANSR July GCC PRs 50DR+

3.2 percent growth in 2025, accelerating to 4.5 percent in 2026. 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 favorable total conditions.

The IMF's World Economic Outlook (October 2025) tasks international growth reducing 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 contrast, a 4.44.5 percent GCC expansion would put the region 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 fairly high-growth pocketprovided that local threat conditions stay included and reform momentum holds.

Data from the GCC Statistical Center reveal that non-oil sectors currently represent more than 73 percent of overall GDP, a share that has actually continued to rise as federal governments broaden investment in services, facilities, 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 investment in technology and AI-related infrastructure.

ANSR July GCC PRs 50DR+

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Public-sector investment and reform stay main to sustaining this pattern. Policy procedures targeted at bring in foreign direct financial investment, relieving foreign ownership rules, broadening capital markets, and supporting private-sector involvement continue to underpin non-oil growth and minimize the area's exposure to oil price volatility. While hydrocarbons no longer control the growth outlook, oil profits are anticipated to play a helpful role in 2026.

Oxford Economics anticipates Brent crude rates to fall listed below USD 60 per barrel in early 2026, limiting the near-term contribution of oil extraction to GDP. However, oil supply is anticipated to increase once again in the 2nd half of the year, with a full unwinding of remaining production caps most likely by mid-2027.

ANSR July GCC PRs 50DR+

Macroeconomic conditions throughout the GCC remain broadly helpful of development. Inflation is expected to stay low, with the IMF forecasting average inflation of 2 percent across the area in 2026. Steady costs are assisting preserve genuine household incomes and underpin consumer spending, which Oxford Economics expects to grow by approximately 3.5 percent over 20262027.