How to Utilize Market Intelligence for 2026 Growth

The sector also dealt with wider macro headwinds, consisting of a more mindful policy backdrop in China and global risk-off sentiment driven by geopolitical tensions and higher energy costs. Thematic ETFs Had a hard time for the most part, particularly those connected to carbon and high-growth innovation, as valuation pressures and international rate dynamics weighed on performance.

The petrochemical ETF substantially outshined. Circulations in Q1 2026 were modest and highly focused, reflecting selective allowance rather than broad market participation. In spite of weak efficiency, ETFs recorded $27.1 million in net inflows, with only a small number of items drawing in new capital. This shows that financiers were targeting particular direct exposures, while decreasing or rotating out of others.

Trading activity stayed constant, with average 30-day volumes around 33,000 shares, concentrated in a handful of bigger and more liquid ETFs. The majority of activity appears to have occurred in the secondary market, allowing investors to change positions without significant primary productions or redemptions. While recent geopolitical occasions have actually resulted in more financial pressure on GCC nations, the region remains resistant and well capitalized to deal with the situation.

In January, Boreas launched its S&P Global High-end UCITS ETF, adding a specific niche thematic exposure concentrated on international high-end and consumer brand names. Momentum continued into April with the approval of KraneShares AGIX and KWIN ETFs by the CMA for cross-listing on ADX. These funds are expected to introduce in April pending a final approval from ADX.

Q1 2026 revealed some progress associating with ETFs in the GCC. We expect more worldwide and thematic ETFs to list in the GCC during 2026. While the conflict has actually affected belief and costs during the quarter, it has driven more volume and interest in regional assets.

Why Is Operational Excellence Crucial for Future Growth?

Despite continuous geopolitical stress and security threats across the Middle East, the economies of the Gulf Cooperation Council (GCC) have continued to demonstrate durability, keeping positive growth momentum in current years. While disputes in the broader area and international economic unpredictability remain a structural constraint, GCC nations have actually up until now limited their influence on domestic economic performance through strong financial positions, policy continuity, and sustained investment.

The World Bank, on the other hand, jobs 3.2 percent growth in 2025, speeding up to 4.5 percent in 2026. The IMF Sees momentum improving, with GCC output development predicted to increase from 1.7 percent in 2024 to 3.3 percent on average in 2025, showing a shift towards more favorable overall conditions.

The IMF's World Economic Outlook (October 2025) tasks international development easing to 3.1 percent in 2026, with innovative economies around 1.5 percent and emerging market and developing economies just above 4 percent. On that comparison, a 4.44.5 percent GCC growth would position the area 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 reasonably high-growth pocketprovided that local risk conditions stay consisted of and reform momentum holds.

Comparing Innovative Models Against Legacy Business

Information from the GCC Statistical Center reveal that non-oil sectors currently represent more than 73 percent of overall GDP, a share that has continued to rise as governments expand financial investment in services, infrastructure, and innovation. According to Oxford Economics, non-energy activity throughout the GCC is projected to grow by around 4.1 percent in 2026, supported by strong labor markets, enhancing credit conditions, and increasing investment in innovation and AI-related facilities.

Public-sector financial investment and reform stay central to sustaining this trend. Policy measures focused on drawing in foreign direct investment, reducing foreign ownership rules, expanding capital markets, and supporting private-sector participation continue to underpin non-oil expansion and minimize the area's direct exposure to oil cost volatility. While hydrocarbons no longer control the development outlook, oil revenues are expected to play a helpful role in 2026.

3.2 percent growth in 2025, speeding up to 4.5 percent in 2026. Sees momentum improving, with GCC output development projected to increase from 1.7 percent in 2024 to 3.3 percent on average in 2025, reflecting a shift toward more positive overall conditions.

The IMF's World Economic Outlook (October 2025) jobs worldwide growth relieving 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 place the region materially ahead of the world average and slightly above (or broadly in line with) the emerging-market aggregate, enhancing the GCC's status as a fairly high-growth pocketprovided that regional threat conditions remain contained and reform momentum holds.

ANSR July GCC PRs 50DR+

Corporate Strategy for Regional Excellence

Information from the GCC Statistical Center reveal that non-oil sectors already represent more than 73 percent of total GDP, a share that has continued to rise as governments expand 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 increasing financial investment in technology and AI-related infrastructure.

Public-sector financial investment and reform remain main to sustaining this pattern. Policy measures targeted at drawing in foreign direct financial investment, easing foreign ownership rules, broadening capital markets, and supporting private-sector participation continue to underpin non-oil expansion and reduce the region's exposure to oil cost volatility. While hydrocarbons no longer control the growth outlook, oil earnings are anticipated to play a supportive role in 2026.