Key Factors Influencing GCC Economic Outlooks for 2026

Oct 2019 Walid Majdalani, Head of Investcorp Private Equity MENA organization, describes the appealing opportunities of purchasing GCC Infrastructure, driven by the area's development and federal government initiatives.

Diversity is achieve a well balanced economy,, Diversity visions and techniques exist. However there were and The, by creating an index with no qualitative/perceptions indicators. The overall Worldwide EDI is composed of tracking. As product exporters diversify, lower their reliance on resource leas and potentially score a higher score on the EDI.

For non-diversified countries, when rate of the commodity falls, there is a substantial decrease in government revenue, public spending, bank account balance and worldwide reserves: more volatility. The (including significant commodity exporters, not limited to simply oil) over the, across 25 indicators (including 3 digital indications). The United States And Canada, Western Europe and East Asia Pacific nations top EDI scores over the years.

ANSR July GCC PRs 50DR+

Despite the fact that structural reforms and diversity efforts undertaken by the GCC affected MENA's regional scores favorably, it still lags 5 other local groups., with the leading 10 nations having less than a 10-point distinction in ratings (indicating the strength of diversification)., alongside four upper-middle income (China, Mexico, Turkey and Thailand) and one lower middle-income country (India, ranked 20th, driven by its services export boom).

Amongst the e. nations ranked 51 to 70, the efficiency of Moldova, Indonesia, Armenia and Honduras stand apart (when comparing 2024 vs 2000). years, provided sped up diversity strategies of numerous oil-exporting countries. posted a stable improvement due to a mix of reduced dependence on fuel exports, minimized exports concentration and a change in the composition of exports.

Why the Middle East Emerging as Primary Investment Hub?

with oil exporters having the most affordable scores (though specific country-specific performance has varied with time). Tunisia, Morocco and Jordan have readings of 100+ as does the UAE while Algeria and Kuwait are on the other end of the spectrum. Throughout all regions, the average rating is the for both 2000 and 2024, and the highest in The United States and Canada.

In 2024, the (China was amongst the top ranked, while Mongolia's score intensified compared to 2000)., however more to do with a "levelling up" at the bottom instead of an improvement amongst the top countries. By comparing the (height of the blue box), least irregularity is seen in South Asia in 2000 and the most in the MENA region (with variation likely driven by the dichotomy within the area between the resource-heavy states (e.g.

Sub-Saharan African countries represent around one-third of the total, followed by Latin America and the Middle East (the latter 2 together accounting for over 40% of the overall). Consisting of, there has been an (from 90.3 in 2000-04 to 92.6 and 92.3 in the 5 years pre- and post-pandemic ).

ANSR July GCC PRs 50DR+

and ranked higher than others; UAE is up more than 45 locations in 2024 compared to 2000 while Qatar climbed 24; both Saudi Arabia and Oman rose 17 ranks during the duration. The caught or worse off nations are some parts of Latin America and Sub-Saharan Africa where structural change has stalled.

shows a significant boost in typical EDI ratings from 86.8 in 2000-04 to 92.6 in 2020-24, (up more than 10 points in the initial period versus 2020-24). with UAE outperforming in the trade sub-index (supported by recent bilateral trade agreements & non-oil exports push). vs its pre-pandemic reading (partly given the surge in medium & high-tech production information).

Strategies for Capital Allocation in 2026 World Markets

Its diversification metrics have stagnated, showing the least improvement between the initial (2000-04) and last (2020-24) reference periods., regardless of the headwinds of OPEC+ production cuts. A robust non-hydrocarbon expansion was supported by the GCC's robust domestic demand (supported by a strong task pipeline and application) and strong services sector efficiency.

Kuwait and Saudi Arabia clocked in an increase in non-hydrocarbon earnings, "mainly reflecting non-hydrocarbon tax base growths and income collection efficiency enhancements", according to the IMF. In the present geopolitical environment characterized by intensifying, it remains in the best interests of commodity dependent nations to diversify its export base, exports and trade partners.

Sub-Saharan African nations represent around one-third of the total, followed by Latin America and the Middle East (the latter two together representing over 40% of the overall). Including, there has actually been an (from 90.3 in 2000-04 to 92.6 and 92.3 in the five years pre- and post-pandemic ).

and ranked greater than others; UAE is up more than 45 places in 2024 compared to 2000 while Qatar climbed 24; both Saudi Arabia and Oman rose 17 ranks during the duration. The trapped or worse off countries are some parts of Latin America and Sub-Saharan Africa where structural improvement has stalled.

Will Gulf Non-Oil Success Exceed Western Averages?

reveals a substantial boost in average EDI scores from 86.8 in 2000-04 to 92.6 in 2020-24, (up more than 10 points in the preliminary period versus 2020-24). with UAE exceeding in the trade sub-index (supported by current bilateral trade agreements & non-oil exports push). vs its pre-pandemic reading (partially provided the surge in medium & high-tech manufacturing data).

Its diversity metrics have actually stagnated, showing the least enhancement in between the preliminary (2000-04) and last (2020-24) recommendation periods., despite the headwinds of OPEC+ production cuts. A robust non-hydrocarbon growth was supported by the GCC's robust domestic need (supported by a strong project pipeline and execution) and strong services sector performance.

Kuwait and Saudi Arabia clocked in an increase in non-hydrocarbon revenue, "mostly showing non-hydrocarbon tax base expansions and income collection efficiency improvements", according to the IMF. In the current geopolitical environment characterized by intensifying, it remains in the very best interests of product reliant countries to diversify its export base, exports and trade partners.