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, chapter 1, pages 1-29, Palgrave Macmillan. 2012/271, International Monetary Fund., MIT Press, vol.
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Economic Climate and Capital Diversification for 2026
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Economic diversification is the procedure of transitioning an economy away from dependence on a single sector or income to several sectors and markets. This kind of economic shift is presently underway in the Gulf Cooperation Council (GCC) area, where Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates are experiencing quick socio-economic change.
The GCC region is undergoing a transformative stage focused on financial diversity and sustainable advancement. Historically reliant on oil and gas, GCC economies are now making every effort to diversify their earnings sources through ambitious government-led initiatives like Saudi Vision 2030 and We the UAE 2031 that shift focus from high-risk, susceptible and/or high-carbon markets and sectors to economies.
A strong chauffeur behind economic diversification and green transition plans in the GCC is the well-documented effect of environment modification in the region being experienced now and in the future. The World Bank estimates that approximately 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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