Strategic Planning for GCC Leadership

The sector also dealt with wider macro headwinds, including a more mindful policy background in China and worldwide risk-off belief driven by geopolitical stress and greater energy costs. Thematic ETFs also struggled for the most part, particularly those connected to carbon and high-growth innovation, as evaluation pressures and international rate characteristics weighed on efficiency.

The petrochemical ETF significantly outperformed. Flows in Q1 2026 were modest and highly focused, reflecting selective allotment instead of broad market involvement. In spite of weak efficiency, ETFs taped $27.1 million in net inflows, with just a little number of items attracting new capital. This shows that financiers were targeting particular direct exposures, while lowering or turning out of others.

Trading activity remained stable, with typical 30-day volumes around 33,000 shares, focused in a handful of bigger and more liquid ETFs. Most activity appears to have actually happened in the secondary market, allowing investors to change positions without considerable main creations or redemptions. While recent geopolitical events have actually led to more financial pressure on GCC countries, the region remains resistant and well capitalized to handle the circumstance.

In January, Boreas launched its S&P Global Luxury UCITS ETF, adding a specific niche thematic direct exposure focused on global luxury and customer brands. ETFs by the CMA for cross-listing on ADX.

Q1 2026 revealed some development associating with ETFs in the GCC. We expect more worldwide and thematic ETFs to list in the GCC during 2026. While the conflict has impacted sentiment and prices during the quarter, it has actually driven more volume and interest in regional possessions.

Strategic Planning for GCC Leadership

In spite of ongoing geopolitical stress and security threats throughout the Middle East, the economies of the Gulf Cooperation Council (GCC) have actually continued to demonstrate strength, preserving favorable development momentum over the last few years. While conflicts in the larger area and worldwide financial uncertainty remain a structural constraint, GCC countries have actually up until now restricted their effect on domestic economic performance through strong fiscal positions, policy connection, and continual financial investment.

The World Bank, on the other hand, tasks 3.2 percent development in 2025, accelerating to 4.5 percent in 2026. The IMF similarly sees momentum improving, with GCC output development predicted to rise from 1.7 percent in 2024 to 3.3 percent typically in 2025, showing a shift toward more positive total conditions.

The IMF's World Economic Outlook (October 2025) jobs 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 contrast, a 4.44.5 percent GCC growth would put 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 remain included and reform momentum holds.

Ways to Leverage Market Intelligence for Success

Information from the GCC Statistical Center show that non-oil sectors currently represent more than 73 percent of overall GDP, a share that has actually continued to rise as governments broaden financial 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 technology and AI-related facilities.

Public-sector financial investment and reform stay main to sustaining this pattern. Policy procedures intended at bring in foreign direct investment, reducing foreign ownership rules, expanding capital markets, and supporting private-sector involvement continue to underpin non-oil expansion and minimize the area's exposure to oil rate volatility. While hydrocarbons no longer dominate the development outlook, oil profits are anticipated to play a helpful role in 2026.

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, showing a shift toward more positive total conditions.

The IMF's World Economic Outlook (October 2025) tasks global growth reducing to 3.1 percent in 2026, with sophisticated economies around 1.5 percent and emerging market and developing economies simply above 4 percent. On that contrast, a 4.44.5 percent GCC growth would position the region 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 fairly high-growth pocketprovided that regional risk conditions remain consisted of and reform momentum holds.

ANSR July GCC PRs 50DR+

How to Leverage Market Research for Growth

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

Public-sector investment and reform stay central to sustaining this trend. Policy procedures focused on bring in foreign direct investment, alleviating foreign ownership rules, expanding capital markets, and supporting private-sector involvement continue to underpin non-oil expansion and decrease the region's direct exposure to oil rate volatility. While hydrocarbons no longer dominate the growth outlook, oil profits are anticipated to play a helpful function in 2026.