Corporate Strategy for Middle East Success

The sector likewise dealt with broader macro headwinds, consisting of a more careful policy background in China and international risk-off sentiment driven by geopolitical tensions and higher energy prices. Thematic ETFs also struggled for the most part, especially those connected to carbon and high-growth technology, as assessment pressures and worldwide rate characteristics weighed on performance.

Flows in Q1 2026 were modest and highly concentrated, reflecting selective allowance rather than broad market participation. Despite weak performance, ETFs taped $27.1 million in net inflows, with just a little number of products drawing in new capital.

Trading activity remained steady, with typical 30-day volumes around 33,000 shares, concentrated in a handful of larger and more liquid ETFs. Most activity appears to have actually taken location in the secondary market, enabling investors to change positions without considerable main productions or redemptions.

In January, Boreas launched its S&P Global Luxury UCITS ETF, including a specific niche thematic exposure focused on global 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 anticipate more international and thematic ETFs to list in the GCC throughout 2026. While the dispute has impacted sentiment and rates throughout the quarter, it has driven more volume and interest in regional properties.

How to Utilize GCC Intelligence for Growth

Despite continuous geopolitical stress and security dangers throughout the Middle East, the economies of the Gulf Cooperation Council (GCC) have continued to demonstrate resilience, preserving positive growth momentum in current years. While conflicts in the larger area and worldwide financial uncertainty remain a structural restraint, GCC nations have actually so far restricted their influence on domestic economic performance through strong fiscal positions, policy continuity, and sustained investment.

The World Bank, on the other hand, projects 3.2 percent growth in 2025, accelerating to 4.5 percent in 2026. The IMF likewise 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 towards more positive total conditions.

The IMF's World Economic Outlook (October 2025) jobs international development reducing to 3.1 percent in 2026, with innovative economies around 1.5 percent and emerging market and establishing economies just above 4 percent. On that comparison, a 4.44.5 percent GCC growth would put the region materially ahead of the world average and slightly above (or broadly in line with) the emerging-market aggregate, reinforcing the GCC's status as a reasonably high-growth pocketprovided that regional risk conditions remain contained and reform momentum holds.

Implementing GCC Business Strategies for Sustainable Operations

Data from the GCC Statistical Center reveal that non-oil sectors already account for more than 73 percent of overall GDP, a share that has continued to increase as federal governments expand financial investment in services, infrastructure, 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 rising financial investment in innovation and AI-related infrastructure.

Public-sector financial investment and reform stay central to sustaining this pattern. Policy steps focused on attracting foreign direct investment, easing foreign ownership guidelines, expanding capital markets, and supporting private-sector involvement continue to underpin non-oil expansion and minimize the region's exposure to oil rate volatility. While hydrocarbons no longer control the growth outlook, oil incomes are expected to play a supportive role in 2026.

3.2 percent growth in 2025, speeding up to 4.5 percent in 2026. Sees momentum improving, with GCC output growth predicted to increase from 1.7 percent in 2024 to 3.3 percent on average in 2025, showing a shift towards more positive total conditions.

The IMF's World Economic Outlook (October 2025) jobs international development 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 place 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.

ANSR July GCC PRs 50DR+

Corporate Strategy for Middle East Excellence

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 increase as federal governments broaden 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, enhancing credit conditions, and rising investment in innovation and AI-related facilities.

Public-sector investment and reform remain main to sustaining this trend. Policy procedures focused on attracting foreign direct investment, relieving foreign ownership rules, expanding capital markets, and supporting private-sector participation continue to underpin non-oil expansion and minimize the area's exposure to oil rate volatility. While hydrocarbons no longer dominate the growth outlook, oil profits are anticipated to play a helpful function in 2026.