Key Drivers Shaping GCC Market Forecasts by 2026 thumbnail

Key Drivers Shaping GCC Market Forecasts by 2026

Published Aug 22, 26
5 min read


Oct 2019 Walid Majdalani, Head of Investcorp Private Equity MENA company, lays out the attractive chances of buying GCC Infrastructure, driven by the region's development and government efforts.

Diversification is attain a balanced economy,, Diversity visions and strategies exist. The general Worldwide EDI is made up of tracking.

Upcoming Regional Financial Outlook

For non-diversified countries, when cost of the product falls, there is a considerable decrease in government income, public costs, bank account balance and worldwide reserves: more volatility. The (consisting of major commodity exporters, not restricted to simply oil) over the, throughout 25 indications (including 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+


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

Amongst the e. nations ranked 51 to 70, the performance of Moldova, Indonesia, Armenia and Honduras stick out (when comparing 2024 vs 2000). years, given accelerated diversification plans of numerous oil-exporting countries. posted a stable enhancement due to a combination of decreased reliance on fuel exports, minimized exports concentration and a modification in the structure of exports.

Comparing Regional Capital Incentives vs Global Markets

with oil exporters having the least expensive scores (though specific country-specific performance has differed gradually). Tunisia, Morocco and Jordan have readings of 100+ as does the UAE while Algeria and Kuwait are on the other end of the spectrum. Throughout all regions, the median score is the for both 2000 and 2024, and the greatest in North America.

In 2024, the (China was among the leading ranked, while Mongolia's rating worsened compared to 2000)., however more to do with a "levelling up" at the bottom rather than an enhancement among the leading 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 area between the resource-heavy states (e.g.

Sub-Saharan African nations represent around one-third of the overall, followed by Latin America and the Middle East (the latter two together representing over 40% of the overall). Including, there has actually been an (from 90.3 in 2000-04 to 92.6 and 92.3 in the five 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 places in 2024 compared to 2000 while Qatar climbed up 24; both Saudi Arabia and Oman rose 17 ranks throughout the period. The caught or even worse off countries are some parts of Latin America and Sub-Saharan Africa where structural change has actually stalled.

shows a substantial 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 exceeding in the trade sub-index (supported by recent bilateral trade contracts & non-oil exports push). vs its pre-pandemic reading (partly offered the rise in medium & modern production data).

Building Sustainable Financial Portfolios with GCC Assets

Its diversification metrics have stagnated, revealing the least enhancement between the initial (2000-04) and last (2020-24) recommendation periods., regardless of the headwinds of OPEC+ production cuts. A robust non-hydrocarbon expansion was supported by the GCC's robust domestic demand (supported by a strong project pipeline and implementation) and strong services sector efficiency.

Kuwait and Saudi Arabia clocked in an increase in non-hydrocarbon earnings, "mostly reflecting non-hydrocarbon tax base growths and profits collection performance improvements", according to the IMF. In the present geopolitical environment defined by intensifying, it is in the finest interests of commodity reliant countries to diversify its export base, exports and trade partners.

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

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 rose 17 ranks during the duration. The caught or worse off countries are some parts of Latin America and Sub-Saharan Africa where structural change has stalled.

Building Sustainable Financial Portfolios with GCC Assets

reveals a substantial boost 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 recent bilateral trade arrangements & non-oil exports push). vs its pre-pandemic reading (partly provided the rise in medium & high-tech production information).

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

Kuwait and Saudi Arabia clocked in an increase in non-hydrocarbon income, "mostly showing non-hydrocarbon tax base growths and income collection efficiency improvements", according to the IMF. In the existing geopolitical environment characterized by intensifying, it is in the best interests of commodity reliant countries to diversify its export base, exports and trade partners.

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