Strategic Strategy for Regional Leadership

The sector likewise faced more comprehensive macro headwinds, including a more mindful policy backdrop in China and international risk-off belief driven by geopolitical tensions and higher energy prices. Thematic ETFs Had a hard time for the a lot of part, particularly those connected to carbon and high-growth innovation, as evaluation pressures and international rate dynamics weighed on efficiency.

The petrochemical ETF significantly surpassed. Flows in Q1 2026 were modest and extremely focused, showing selective allowance rather than broad market participation. Despite weak performance, ETFs taped $27.1 million in net inflows, with only a little number of products attracting new capital. This suggests that investors were targeting particular exposures, while lowering or turning out of others.

Trading activity remained stable, with average 30-day volumes around 33,000 shares, concentrated in a handful of bigger and more liquid ETFs. A lot of activity appears to have actually happened in the secondary market, allowing investors to change positions without significant main productions or redemptions. While recent geopolitical occasions have actually led to more financial pressure on GCC countries, the region stays resilient and well capitalized to handle the scenario.

In January, Boreas introduced its S&P Global High-end UCITS ETF, including a specific niche thematic exposure focused on international luxury and consumer brands. ETFs by the CMA for cross-listing on ADX.

Q1 2026 revealed some development associating with ETFs in the GCC. We expect more global and thematic ETFs to list in the GCC during 2026. While the conflict has actually affected belief and costs throughout the quarter, it has driven more volume and interest in regional properties.

Implementing GCC Corporate Frameworks for Sustainable Operations

Despite continuous geopolitical tensions and security risks throughout the Middle East, the economies of the Gulf Cooperation Council (GCC) have continued to show strength, keeping favorable development momentum in the last few years. While conflicts in the broader area and worldwide economic unpredictability stay a structural constraint, GCC nations have so far restricted their influence on domestic economic efficiency through strong fiscal positions, policy connection, and continual investment.

The World Bank, on the other hand, projects 3.2 percent development in 2025, speeding up to 4.5 percent in 2026. The IMF Sees momentum improving, with GCC output development forecasted to increase from 1.7 percent in 2024 to 3.3 percent on average in 2025, reflecting a shift toward more favorable total conditions.

The IMF's World Economic Outlook (October 2025) projects global development alleviating 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 slightly above (or broadly in line with) the emerging-market aggregate, strengthening the GCC's status as a reasonably high-growth pocketprovided that local threat conditions stay included and reform momentum holds.

How Does Operational Excellence Crucial for Future Expansion?

Data from the GCC Statistical Center reveal that non-oil sectors already represent more than 73 percent of overall GDP, a share that has actually continued to increase as federal governments expand financial investment in services, facilities, and innovation. According to Oxford Economics, non-energy activity across the GCC is forecasted to grow by around 4.1 percent in 2026, supported by strong labor markets, improving credit conditions, and increasing investment in innovation and AI-related infrastructure.

Public-sector financial investment and reform remain main to sustaining this trend. Policy steps intended at attracting foreign direct investment, alleviating foreign ownership rules, expanding capital markets, and supporting private-sector involvement continue to underpin non-oil expansion and minimize the region's direct exposure to oil cost volatility. While hydrocarbons no longer dominate the growth outlook, oil profits are anticipated to play a supportive role in 2026.

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 rise from 1.7 percent in 2024 to 3.3 percent on average in 2025, showing a shift toward more favorable total conditions.

The IMF's World Economic Outlook (October 2025) projects worldwide growth reducing to 3.1 percent in 2026, with sophisticated economies around 1.5 percent and emerging market and developing economies simply above 4 percent. On that comparison, a 4.44.5 percent GCC expansion would put the area materially ahead of the world average and a little above (or broadly in line with) the emerging-market aggregate, strengthening the GCC's status as a fairly high-growth pocketprovided that local threat conditions stay contained and reform momentum holds.

ANSR July GCC PRs 50DR+

How to Utilize GCC Research for 2026 Success

Data from the GCC Statistical Center reveal that non-oil sectors already account for more than 73 percent of total GDP, a share that has continued to rise as governments expand financial investment in services, facilities, and technology. According to Oxford Economics, non-energy activity throughout the GCC is forecasted to grow by around 4.1 percent in 2026, supported by strong labor markets, improving credit conditions, and rising investment in innovation and AI-related infrastructure.

Public-sector financial investment and reform remain main to sustaining this pattern. Policy steps intended at drawing 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 direct exposure to oil price volatility. While hydrocarbons no longer control the development outlook, oil revenues are expected to play a helpful role in 2026.