Upcoming GCC Investment Shifts for 2026 World Markets thumbnail

Upcoming GCC Investment Shifts for 2026 World Markets

Published Aug 18, 26
5 min read


Oct 2019 Walid Majdalani, Head of Investcorp Private Equity MENA business, describes the attractive chances of buying GCC Infrastructure, driven by the region's growth and federal government initiatives.

Diversification is attain a well balanced economy,, Diversification visions and techniques exist. But there were and The, by creating an index without any qualitative/perceptions indicators. The general Worldwide EDI is made up of tracking. As product exporters diversify, lower their reliance on resource rents and possibly score a greater rating on the EDI.

For non-diversified nations, when price of the commodity falls, there is a substantial decrease in government revenue, public costs, bank account balance and international reserves: more volatility. The (consisting of significant product exporters, not restricted to simply oil) over the, across 25 indications (consisting of three digital indicators). North America, Western Europe and East Asia Pacific nations top EDI scores over the years.

ANSR July GCC PRs 50DR+ANSR July GCC PRs 50DR+


Despite the fact that structural reforms and diversification efforts carried out by the GCC affected MENA's regional scores positively, it still lags 5 other regional groups., with the leading 10 nations having less than a 10-point distinction in ratings (suggesting the strength of diversity)., along with four upper-middle earnings (China, Mexico, Turkey and Thailand) and one lower middle-income country (India, ranked 20th, driven by its services export boom).

Among the e. countries ranked 51 to 70, the performance of Moldova, Indonesia, Armenia and Honduras stand out (when comparing 2024 vs 2000). years, offered accelerated diversification plans of many oil-exporting countries. posted a steady enhancement due to a combination of minimized reliance on fuel exports, decreased exports concentration and a change in the structure of exports.

Vital Drivers Shaping Gulf Market Outlooks for 2026

with oil exporters having the most affordable ratings (though specific country-specific efficiency has actually differed over time). Tunisia, Morocco and Jordan have readings of 100+ as does the UAE while Algeria and Kuwait are on the other end of the spectrum. Across all regions, the typical rating is the for both 2000 and 2024, and the greatest in The United States and Canada.

In 2024, the (China was amongst the top ranked, while Mongolia's score got worse compared to 2000)., however more to do with a "levelling up" at the bottom rather than an improvement among the top nations. By comparing the (height of the blue box), least irregularity is seen in South Asia in 2000 and the most in the MENA region (with variation likely driven by the dichotomy within the region in between the resource-heavy states (e.g.

Sub-Saharan African countries account for around one-third of the total, followed by Latin America and the Middle East (the latter two together accounting for over 40% of the overall). Consisting of, there has been an (from 90.3 in 2000-04 to 92.6 and 92.3 in the 5 years pre- and post-pandemic ).

ANSR July GCC PRs 50DR+ANSR July GCC PRs 50DR+


and ranked higher than others; UAE is up more than 45 locations in 2024 compared to 2000 while Qatar climbed 24; both Saudi Arabia and Oman increased 17 ranks throughout the period. The trapped or even worse off nations are some parts of Latin America and Sub-Saharan Africa where structural transformation has stalled.

reveals a significant increase in typical EDI ratings from 86.8 in 2000-04 to 92.6 in 2020-24, (up more than 10 points in the initial duration versus 2020-24). with UAE surpassing in the trade sub-index (supported by current bilateral trade arrangements & non-oil exports push). vs its pre-pandemic reading (partly given the rise in medium & state-of-the-art production information).

Why Economic Expansion Boosts Middle East Stability in 2026

Its diversification metrics have actually stagnated, showing the least enhancement between the preliminary (2000-04) and last (2020-24) recommendation periods., in spite of the headwinds of OPEC+ production cuts. A robust non-hydrocarbon growth was supported by the GCC's robust domestic need (supported by a strong job pipeline and application) and strong services sector performance.

Kuwait and Saudi Arabia clocked in a boost in non-hydrocarbon revenue, "mostly showing non-hydrocarbon tax base expansions and earnings collection performance enhancements", according to the IMF. In the existing geopolitical environment identified by intensifying, it remains in the finest interests of commodity reliant nations to diversify its export base, exports and trade partners.

Sub-Saharan African countries account for around one-third of the total, followed by Latin America and the Middle East (the latter 2 together representing over 40% of the total). Consisting of, there has actually been an (from 90.3 in 2000-04 to 92.6 and 92.3 in the 5 years pre- and post-pandemic ).

and ranked greater than others; UAE is up more than 45 places in 2024 compared to 2000 while Qatar climbed 24; both Saudi Arabia and Oman rose 17 ranks throughout the duration. The trapped or worse off countries are some parts of Latin America and Sub-Saharan Africa where structural change has actually stalled.

Roadmap to Gulf Financial Market Success in 2026

shows a considerable boost in average EDI ratings from 86.8 in 2000-04 to 92.6 in 2020-24, (up more than 10 points in the preliminary duration versus 2020-24). with UAE outperforming in the trade sub-index (supported by recent bilateral trade arrangements & non-oil exports push). vs its pre-pandemic reading (partially offered the surge in medium & state-of-the-art production information).

Its diversification metrics have actually stagnated, showing the least improvement in between the initial (2000-04) and last (2020-24) referral periods., despite the headwinds of OPEC+ production cuts. A robust non-hydrocarbon growth was supported by the GCC's robust domestic demand (supported by a strong task pipeline and execution) and strong services sector efficiency.

Can GCC Industrial Growth Outpace Global Averages?

Kuwait and Saudi Arabia clocked in an increase in non-hydrocarbon income, "mostly showing non-hydrocarbon tax base expansions and earnings collection effectiveness improvements", according to the IMF. In the existing geopolitical environment defined by heightening, it is in the very best interests of commodity dependent nations to diversify its export base, exports and trade partners.

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