Corporate Strategy for Regional Excellence

The sector likewise dealt with broader macro headwinds, including a more cautious policy backdrop in China and worldwide risk-off sentiment driven by geopolitical tensions and higher energy costs. Thematic ETFs Struggled for the a lot of part, especially those connected to carbon and high-growth innovation, as appraisal pressures and international rate characteristics weighed on performance.

Flows in Q1 2026 were modest and extremely focused, showing selective allotment rather than broad market participation. Regardless of weak efficiency, ETFs taped $27.1 million in net inflows, with only a small number of items attracting new capital.

Trading activity remained steady, with average 30-day volumes around 33,000 shares, focused in a handful of larger and more liquid ETFs. A lot of activity appears to have taken place in the secondary market, making it possible for investors to change positions without considerable main productions or redemptions.

In January, Boreas introduced its S&P Global High-end UCITS ETF, adding a niche thematic exposure focused on international high-end and customer brands. ETFs by the CMA for cross-listing on ADX.

Q1 2026 showed some development associating with ETFs in the GCC. We anticipate more worldwide and thematic ETFs to list in the GCC throughout 2026. While the dispute has actually affected belief and prices during the quarter, it has actually driven more volume and interest in local properties.

Major Developments in the Future GCC Economy

Despite ongoing geopolitical tensions and security risks across the Middle East, the economies of the Gulf Cooperation Council (GCC) have actually continued to show strength, keeping favorable growth momentum in recent years. While disputes in the wider area and global financial uncertainty remain a structural restraint, GCC nations have up until now limited their influence on domestic economic efficiency through strong financial positions, policy continuity, and sustained financial investment.

3.2 percent development in 2025, speeding up to 4.5 percent in 2026. 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 towards more positive total conditions.

The IMF's World Economic Outlook (October 2025) tasks worldwide development alleviating 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 comparison, a 4.44.5 percent GCC expansion would position the area materially ahead of the world average and slightly above (or broadly in line with) the emerging-market aggregate, reinforcing the GCC's status as a relatively high-growth pocketprovided that local threat conditions stay contained and reform momentum holds.

Crucial Insights Within Latest Regional Market Research Reports

Data from the GCC Statistical Center reveal that non-oil sectors currently represent more than 73 percent of total GDP, a share that has actually 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 rising financial investment in innovation and AI-related infrastructure.

Public-sector investment and reform stay main to sustaining this trend. Policy steps targeted at attracting foreign direct investment, alleviating foreign ownership guidelines, broadening capital markets, and supporting private-sector participation continue to underpin non-oil growth and reduce the region's exposure to oil rate volatility. While hydrocarbons no longer dominate the development outlook, oil earnings are anticipated to play a supportive function in 2026.

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

The IMF's World Economic Outlook (October 2025) jobs worldwide development reducing to 3.1 percent in 2026, with advanced 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 put the area materially ahead of the world average and somewhat above (or broadly in line with) the emerging-market aggregate, reinforcing the GCC's status as a reasonably high-growth pocketprovided that local threat conditions stay consisted of and reform momentum holds.

ANSR July GCC PRs 50DR+

Advanced Strategy for GCC Leadership

Information from the GCC Statistical Center show that non-oil sectors already account for more than 73 percent of total GDP, a share that has continued to rise as governments broaden investment in services, infrastructure, and technology. According to Oxford Economics, non-energy activity throughout the GCC is predicted to grow by around 4.1 percent in 2026, supported by strong labor markets, enhancing credit conditions, and rising financial investment in innovation and AI-related facilities.

Public-sector investment and reform stay main to sustaining this trend. Policy steps aimed at bring in foreign direct financial investment, easing foreign ownership rules, expanding capital markets, and supporting private-sector participation continue to underpin non-oil expansion and reduce the area's direct exposure to oil rate volatility. While hydrocarbons no longer dominate the growth outlook, oil incomes are anticipated to play a supportive function in 2026.