Strategic Strategy for GCC Leadership

The sector also faced more comprehensive macro headwinds, including a more cautious policy backdrop in China and international risk-off belief driven by geopolitical tensions and higher energy rates. Thematic ETFs likewise had a hard time for the most part, particularly those linked to carbon and high-growth innovation, as evaluation pressures and global rate characteristics weighed on efficiency.

The petrochemical ETF substantially outshined. Circulations in Q1 2026 were modest and extremely focused, showing selective allowance rather than broad market participation. In spite of weak performance, ETFs recorded $27.1 million in net inflows, with only a small number of items bring in brand-new capital. This suggests that investors were targeting specific exposures, while minimizing or rotating out of others.

Trading activity stayed constant, with average 30-day volumes around 33,000 shares, concentrated in a handful of larger and more liquid ETFs. A lot of activity appears to have actually occurred in the secondary market, enabling financiers to adjust positions without substantial main creations or redemptions. While recent geopolitical occasions have led to more financial pressure on GCC countries, the region stays resilient and well capitalized to handle the scenario.

In January, Boreas released its S&P Global High-end UCITS ETF, adding a specific niche thematic direct exposure focused on international high-end and customer brand names. ETFs by the CMA for cross-listing on ADX.

Q1 2026 showed some progress connecting to ETFs in the GCC. We expect more international and thematic ETFs to list in the GCC throughout 2026. While the dispute has actually affected belief and prices during the quarter, it has driven more volume and interest in local assets.

Ways to Leverage Market Research for 2026 Success

Regardless of continuous geopolitical stress and security dangers across the Middle East, the economies of the Gulf Cooperation Council (GCC) have continued to demonstrate resilience, maintaining positive development momentum in the last few years. While disputes in the wider area and worldwide financial uncertainty remain a structural restriction, GCC countries have up until now limited their influence on domestic economic performance through strong fiscal positions, policy continuity, and continual financial investment.

The World Bank, on the other hand, projects 3.2 percent growth in 2025, accelerating to 4.5 percent in 2026. The IMF Sees momentum improving, with GCC output growth projected to increase 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 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 expansion would put the region 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 fairly high-growth pocketprovided that regional danger conditions remain consisted of and reform momentum holds.

Ways to Utilize Market Intelligence for Success

Information from the GCC Statistical Center show that non-oil sectors currently represent more than 73 percent of total GDP, a share that has actually continued to rise as federal governments expand investment in services, facilities, 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, enhancing credit conditions, and rising financial investment in technology and AI-related facilities.

Public-sector investment and reform remain central to sustaining this trend. Policy measures aimed at attracting foreign direct investment, easing foreign ownership rules, broadening capital markets, and supporting private-sector participation continue to underpin non-oil growth and lower the area's exposure to oil cost volatility. While hydrocarbons no longer dominate the growth outlook, oil incomes are expected to play an encouraging function in 2026.

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 projected to increase 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) tasks worldwide development relieving to 3.1 percent in 2026, with innovative 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 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 fairly high-growth pocketprovided that regional threat conditions stay included and reform momentum holds.

ANSR July GCC PRs 50DR+

Ensuring Strategic Excellence in the GCC

Information from the GCC Statistical Center show that non-oil sectors already account for more than 73 percent of total GDP, a share that has continued to rise as federal governments expand 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 increasing financial investment in innovation and AI-related infrastructure.

Public-sector financial investment and reform remain main to sustaining this trend. Policy procedures targeted at bring in foreign direct investment, alleviating foreign ownership rules, expanding capital markets, and supporting private-sector participation continue to underpin non-oil growth and reduce the area's exposure to oil rate volatility. While hydrocarbons no longer control the growth outlook, oil revenues are anticipated to play an encouraging role in 2026.