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Business news and monetary 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+

Financial growth throughout the Gulf Cooperation Council (GCC) is set to speed up in 2026, with the region projected to surpass its 2025 performance in spite of muted oil profits and continuous global uncertainties. According to a brand-new Oxford Economics research study instruction, GCC GDP development is expected to increase to 4.4 percent in 2026, up from 4 percent in 2025, showing a resilient nonenergy sector, strong customer characteristics, and slowly improving oil output.

But the latest projections recommend that Gulf economies are now wellpositioned to gain back momentum, buoyed by reinforcing domestic demand and a broadly constant global background. The report highlights GCC consumers as a significant chauffeur of the area's economic efficiency heading into next year. Low inflation, robust labour markets, and growing genuine disposable incomes are expected to sustain a surge in customer costs throughout the Gulf.

Credit growth is also anticipated to remain raised as access to monetary services widens. With GCC reserve banks expected to follow expected US Federal Reserve rate cuts due to the region's dollar pegs, obtaining costs are likely to decline, providing households and services further impetus to spend and invest. While the nonoil sector continues to anchor the area's durability, the GCC's hydrocarbon outlook presents a mixed picture.

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This could weigh on firsthalf development, particularly for economies more based on oil extraction. Oxford Economics forecasts a rebound later in 2026, with Opec+ members expected to resume raising production as inventories tighten up and global need enhances. Qatar, on the other hand, sticks out as a local outperformer, with considerable growths in gas production and exports expected to raise its overall economic efficiency.

Saudi Arabia's 2026 budget anticipates a 6 per cent cut in capital investment as the kingdom intends to narrow its fiscal deficit by two portion points. The report notes that these cuts might not materialise fully if countercyclical costs steps are activated to support growth. By contrast, more diversified economies such as the UAE and Qatar are expected to continue advancing their development agendas.

Despite shortterm dangers tied to oil costs and global demand, the GCC's 2026 financial outlook is defined by strength in fundamentals: durable consumers, robust nonenergy sectors, improving oil dynamics, and tactical fiscal preparation. With these elements aligning, the area is preparing for one of its most well balanced periods of expansion in current years anchored by a clear upward trajectory in GDP development.

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RIYADH: Gulf Cooperation Council regional economies are anticipated to remain durable in 2026, driven by strong domestic demand and a broadly constant international economy, according to an analysis. In its latest report, Oxford Economics highlighted that the genuine gross domestic product of the GCC area is expected to expand by 4.4 percent in 2026, up from the projected 4 percent this year.

We expect GCC growth will increase to 4.4 percent in 2026, from 4 percent this year."In November, the GCC Statistical Center stated that economic development in the region is set to speed up 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 total GDP, up from 70.6 percent at the end of 2024, highlighting the region's continued development toward diversity. According to Oxford Economics, GCC customers will be standout entertainers in 2026 and are anticipated to exceed their international peers.

In December, the IMF even more said that heading inflation is anticipated to stay below 2 percent in Bahrain, Oman, and Qatar, close to 2 percent in the Kingdom and the UAE, and a little above 2 percent in Kuwait in 20252026. According to Oxford Economics, credit development is expected to remain elevated in the GCC area during 2026, as access to financial services is anticipated to grow and financing is forecasted to be supported by additional cuts in rates of interest."Owing to their currency pegs to the United States dollar, GCC reserve banks are anticipated to follow the United States Federal Reserve by easing financial policy further, which in turn will reduce debt maintenance expenses and increase non reusable earnings and demand," said the report.