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, chapter 1, pages 1-29, Palgrave Macmillan. 2012/271, International Monetary Fund., MIT Press, vol.
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Economic diversification is the procedure of transitioning an economy away from reliance on a single sector or source of earnings to multiple sectors and markets. This sort of economic shift is currently underway in the Gulf Cooperation Council (GCC) region, where Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates are experiencing rapid socio-economic change.

The GCC area is undergoing a transformative phase focused on financial diversity and sustainable development. Historically reliant on oil and gas, GCC economies are now making every effort to diversify their earnings sources through enthusiastic government-led efforts like Saudi Vision 2030 and We the UAE 2031 that shift focus from high-risk, vulnerable and/or high-carbon markets and sectors to economies.
A strong motorist behind financial diversity and green shift plans in the GCC is the well-documented effect of environment modification in the area being experienced now and in the future. The World Bank approximates that up to 100 million individuals in the Middle East, including the GCC, will suffer from water stress by 2025, with portions of the region anticipated to become uninhabitable by the end of the century due to water shortage and heats.
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