Essential Insights From 2026 GCC Market Research Reports

The sector likewise dealt with more comprehensive macro headwinds, consisting of a more careful policy background in China and worldwide risk-off belief driven by geopolitical tensions and higher energy prices. Thematic ETFs likewise had a hard time for the most part, especially those connected to carbon and high-growth technology, as appraisal pressures and worldwide rate characteristics weighed on efficiency.

The petrochemical ETF considerably outperformed. Circulations in Q1 2026 were modest and extremely concentrated, reflecting selective allocation instead of broad market participation. Regardless of weak performance, ETFs recorded $27.1 million in net inflows, with just a little number of products drawing in new capital. This suggests that investors were targeting specific exposures, while lowering or rotating out of others.

Trading activity remained constant, 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 taken location in the secondary market, making it possible for financiers to adjust positions without substantial main creations or redemptions.

In January, Boreas launched its S&P Global Luxury UCITS ETF, including a niche thematic exposure focused on global luxury and consumer brands. 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 connecting to ETFs in the GCC. We expect more international and thematic ETFs to list in the GCC during 2026. While the conflict has impacted belief and rates throughout the quarter, it has actually driven more volume and interest in local possessions.

How Does Operational Excellence Essential for Future Expansion?

Regardless of continuous geopolitical stress and security risks throughout the Middle East, the economies of the Gulf Cooperation Council (GCC) have continued to show resilience, preserving positive development momentum in current years. While conflicts in the larger area and global financial unpredictability remain a structural restraint, GCC nations have actually so far limited their effect on domestic financial performance through strong fiscal positions, policy connection, and sustained investment.

3.2 percent development in 2025, speeding up to 4.5 percent in 2026. Sees momentum improving, with GCC output development projected to rise from 1.7 percent in 2024 to 3.3 percent on average in 2025, reflecting a shift toward more positive total conditions.

The IMF's World Economic Outlook (October 2025) projects international growth reducing to 3.1 percent in 2026, with sophisticated economies around 1.5 percent and emerging market and establishing economies just above 4 percent. On that contrast, a 4.44.5 percent GCC expansion would put the region materially ahead of the world average and somewhat above (or broadly in line with) the emerging-market aggregate, strengthening the GCC's status as a fairly high-growth pocketprovided that local danger conditions remain consisted of and reform momentum holds.

Why Is Business Excellence Vital for Future Expansion?

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

Public-sector financial investment and reform stay central to sustaining this trend. Policy procedures targeted at bring in foreign direct investment, relieving foreign ownership guidelines, expanding capital markets, and supporting private-sector involvement continue to underpin non-oil expansion and minimize the area's direct exposure to oil rate volatility. While hydrocarbons no longer dominate the growth outlook, oil incomes are anticipated to play a helpful function in 2026.

The World Bank, on the other hand, jobs 3.2 percent development in 2025, speeding up to 4.5 percent in 2026. The IMF likewise sees momentum improving, with GCC output growth projected to rise from 1.7 percent in 2024 to 3.3 percent on average in 2025, reflecting a shift toward more favorable overall conditions.

The IMF's World Economic Outlook (October 2025) tasks global growth relieving 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 contrast, a 4.44.5 percent GCC expansion would place the area 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 regional threat conditions stay consisted of and reform momentum holds.

ANSR July GCC PRs 50DR+

Why Does Business Excellence Vital for Future Growth?

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

Public-sector investment and reform remain main to sustaining this trend. Policy measures targeted at attracting foreign direct financial investment, relieving foreign ownership rules, expanding capital markets, and supporting private-sector participation continue to underpin non-oil expansion and lower the region's exposure to oil price volatility. While hydrocarbons no longer dominate the development outlook, oil profits are expected to play an encouraging function in 2026.