Methods for Optimising Regional Strategy in 2026

Rather than marking a cyclical rebound, 2026 is progressively deemed a consolidation year, in which diversification-led growth ends up being more deeply ingrained in the region's financial model, reducing reliance on hydrocarbons and increasing durability to external shocks. Projections from significant institutions broadly assemble on a stronger GCC growth profile in 2026 than in 2025, supported by resilient domestic demand, continued non-oil growth, and (to differing degrees) a firmer hydrocarbon contribution.

ANSR July GCC PRs 50DR+

3.2 percent development in 2025, accelerating to 4.5 percent in 2026. Sees momentum improving, with GCC output development forecasted to rise from 1.7 percent in 2024 to 3.3 percent on average in 2025, reflecting a shift towards more favorable overall conditions.

The IMF's World Economic Outlook (October 2025) projects worldwide growth 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 put the region 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 danger conditions remain contained and reform momentum holds.

Data from the GCC Statistical Center show that non-oil sectors currently account for more than 73 percent of total GDP, a share that has continued to increase as federal governments expand 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 financial investment in innovation and AI-related facilities.

ANSR July GCC PRs 50DR+

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Public-sector financial investment and reform remain central to sustaining this trend. Policy measures targeted at attracting foreign direct financial investment, reducing foreign ownership rules, expanding capital markets, and supporting private-sector involvement continue to underpin non-oil growth and minimize the area's direct exposure to oil cost volatility. While hydrocarbons no longer dominate the growth outlook, oil profits are expected to play a helpful function in 2026.

Oxford Economics anticipates Brent crude prices to fall listed below USD 60 per barrel in early 2026, limiting the near-term contribution of oil extraction to GDP. However, oil supply is anticipated to rise again in the second half of the year, with a full relaxing of staying production caps likely by mid-2027.

ANSR July GCC PRs 50DR+

Macroeconomic conditions across the GCC stay broadly helpful of growth. Inflation is anticipated to stay low, with the IMF forecasting average inflation of 2 percent across the region in 2026. Stable costs are helping protect genuine home earnings and underpin customer spending, which Oxford Economics anticipates to grow by an average of 3.5 percent over 20262027.