Driving Corporate Growth Within Dubai and the GCC

The sector also dealt with wider macro headwinds, consisting of a more careful policy backdrop in China and international risk-off belief driven by geopolitical stress and greater energy costs. Thematic ETFs Struggled for the many part, especially those connected to carbon and high-growth technology, as evaluation pressures and international rate dynamics weighed on efficiency.

The petrochemical ETF substantially outperformed. Flows in Q1 2026 were modest and highly focused, reflecting selective allocation instead of broad market participation. Regardless of weak efficiency, ETFs tape-recorded $27.1 million in net inflows, with only a little number of items attracting new capital. This indicates that investors were targeting particular direct exposures, while lowering or turning out of others.

Trading activity stayed consistent, with average 30-day volumes around 33,000 shares, focused in a handful of bigger and more liquid ETFs. The majority of activity appears to have actually happened in the secondary market, allowing financiers to adjust positions without substantial main productions or redemptions. While recent geopolitical occasions have led to more financial pressure on GCC countries, the region remains durable and well capitalized to handle the scenario.

In January, Boreas released its S&P Global High-end UCITS ETF, adding a specific niche thematic direct exposure focused on international luxury and consumer brand names. Momentum continued into April with the approval of KraneShares AGIX and KWIN ETFs by the CMA for cross-listing on ADX. These funds are expected to launch in April pending a final approval from ADX.

Q1 2026 showed some development associating with ETFs in the GCC. We expect more international and thematic ETFs to list in the GCC throughout 2026. While the conflict has impacted sentiment and rates throughout the quarter, it has actually driven more volume and interest in regional properties.

How to Utilize GCC Intelligence for Success

Despite continuous geopolitical tensions and security risks across the Middle East, the economies of the Gulf Cooperation Council (GCC) have actually continued to show durability, keeping favorable development momentum in current years. While disputes in the broader area and global financial uncertainty remain a structural restraint, GCC nations have actually so far restricted their effect on domestic financial performance through strong fiscal positions, policy continuity, and continual financial 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 predicted to increase from 1.7 percent in 2024 to 3.3 percent on average in 2025, reflecting a shift towards more positive overall conditions.

The IMF's World Economic Outlook (October 2025) projects worldwide growth easing to 3.1 percent in 2026, with innovative economies around 1.5 percent and emerging market and developing economies just above 4 percent. On that contrast, a 4.44.5 percent GCC growth would position 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 remain contained and reform momentum holds.

Why Is Operational Excellence Vital for Future Growth?

Information from the GCC Statistical Center show that non-oil sectors currently account for more than 73 percent of overall GDP, a share that has continued to increase as federal governments expand investment in services, facilities, and innovation. According to Oxford Economics, non-energy activity across the GCC is projected to grow by around 4.1 percent in 2026, supported by strong labor markets, enhancing credit conditions, and increasing investment in innovation and AI-related facilities.

Public-sector investment and reform stay main to sustaining this pattern. Policy measures focused on attracting foreign direct investment, relieving foreign ownership guidelines, broadening capital markets, and supporting private-sector participation continue to underpin non-oil expansion and lower the area's direct exposure to oil price volatility. While hydrocarbons no longer control the development outlook, oil incomes are expected to play a helpful role in 2026.

3.2 percent growth in 2025, accelerating to 4.5 percent in 2026. Sees momentum improving, with GCC output growth forecasted to rise from 1.7 percent in 2024 to 3.3 percent on average in 2025, reflecting a shift towards more positive general conditions.

The IMF's World Economic Outlook (October 2025) tasks international development easing to 3.1 percent in 2026, with innovative economies around 1.5 percent and emerging market and developing economies just above 4 percent. On that contrast, a 4.44.5 percent GCC expansion would position the area materially ahead of the world average and somewhat above (or broadly in line with) the emerging-market aggregate, enhancing the GCC's status as a reasonably high-growth pocketprovided that local threat conditions stay included and reform momentum holds.

ANSR July GCC PRs 50DR+

Strategic Planning for GCC Success

Information from the GCC Statistical Center reveal that non-oil sectors already represent more than 73 percent of overall GDP, a share that has continued to rise as governments expand investment in services, facilities, and technology. 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 financial investment in innovation and AI-related facilities.

Public-sector investment and reform remain main to sustaining this trend. Policy steps targeted at drawing in foreign direct investment, easing foreign ownership guidelines, broadening capital markets, and supporting private-sector participation continue to underpin non-oil growth and lower the area's exposure to oil price volatility. While hydrocarbons no longer control the development outlook, oil incomes are expected to play a supportive function in 2026.