Refining Capital Strategies for Next-Gen Gulf Economy thumbnail

Refining Capital Strategies for Next-Gen Gulf Economy

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Oct 2019 Walid Majdalani, Head of Investcorp Private Equity MENA business, outlines the appealing opportunities of buying GCC Infrastructure, driven by the area's growth and government efforts.

Diversification is accomplish a well balanced economy,, Diversity visions and techniques exist. But there were and The, by producing an index with no qualitative/perceptions indications. The general Global EDI is composed of tracking. As product exporters diversify, lower their dependence on resource rents and possibly score a higher score on the EDI.

FDI 2026: Why the GCC Is the Ultimate Growth Market

For non-diversified nations, when cost of the product falls, there is a substantial decline in government earnings, public spending, current account balance and worldwide reserves: more volatility. The (consisting of significant commodity exporters, not limited to simply oil) over the, across 25 indications (consisting of 3 digital signs). North America, Western Europe and East Asia Pacific nations top EDI scores for many years.

ANSR July GCC PRs 50DR+ANSR July GCC PRs 50DR+


Even though structural reforms and diversification efforts undertaken by the GCC impacted MENA's regional ratings positively, it still lags 5 other local groups., with the top 10 countries having less than a 10-point difference in ratings (suggesting the strength of diversity)., together with four upper-middle earnings (China, Mexico, Turkey and Thailand) and one lower middle-income nation (India, ranked 20th, driven by its services export boom).

Amongst the e. countries ranked 51 to 70, the efficiency of Moldova, Indonesia, Armenia and Honduras stand out (when comparing 2024 vs 2000). years, provided accelerated diversity strategies of lots of oil-exporting countries. published a constant improvement due to a mix of decreased reliance on fuel exports, decreased exports concentration and a change in the composition of exports.

Impact of Capital on Regional Economic Transformation

with oil exporters having the most affordable scores (though private country-specific efficiency has varied gradually). 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 areas, the mean score is the for both 2000 and 2024, and the greatest in North America.

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

Sub-Saharan African countries account for around one-third of the total, followed by Latin America and the Middle East (the latter 2 together representing over 40% of the overall). Consisting of, 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 ).

ANSR July GCC PRs 50DR+ANSR July GCC PRs 50DR+


and ranked greater 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 throughout the duration. The trapped or even worse off countries are some parts of Latin America and Sub-Saharan Africa where structural change has stalled.

shows a considerable increase in typical EDI ratings 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 surpassing in the trade sub-index (supported by recent bilateral trade agreements & non-oil exports push). vs its pre-pandemic reading (partially given the rise in medium & state-of-the-art manufacturing data).

Future GCC Market Shifts for 2026 Global Markets

Its diversity metrics have stagnated, showing the least improvement between the preliminary (2000-04) and last (2020-24) reference periods., in spite of the headwinds of OPEC+ production cuts. A robust non-hydrocarbon growth was supported by the GCC's robust domestic need (supported by a strong task pipeline and implementation) and strong services sector efficiency.

Kuwait and Saudi Arabia clocked in a boost in non-hydrocarbon earnings, "primarily reflecting non-hydrocarbon tax base growths and earnings collection efficiency improvements", according to the IMF. In the existing geopolitical environment characterized by magnifying, it remains in the very best interests of commodity reliant countries to diversify its export base, exports and trade partners.

Sub-Saharan African nations account for around one-third of the overall, 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 five years pre- and post-pandemic ).

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

Analyzing GCC Equity Exchange Shifts through 2026

shows 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 initial duration versus 2020-24). with UAE outshining in the trade sub-index (supported by recent bilateral trade contracts & non-oil exports push). vs its pre-pandemic reading (partially given the rise in medium & high-tech manufacturing data).

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

FDI 2026: Why the GCC Is the Ultimate Growth Market

Kuwait and Saudi Arabia clocked in an increase in non-hydrocarbon profits, "mainly reflecting non-hydrocarbon tax base expansions and revenue collection performance improvements", according to the IMF. In the current geopolitical environment identified by magnifying, it remains in the best interests of product reliant countries to diversify its export base, exports and trade partners.