Corporate Planning for Middle East Success

The sector likewise faced broader macro headwinds, consisting of a more cautious policy backdrop in China and international risk-off sentiment driven by geopolitical tensions and greater energy prices. Thematic ETFs Struggled for the most part, especially those linked to carbon and high-growth technology, as assessment pressures and international rate characteristics weighed on performance.

The petrochemical ETF considerably exceeded. Flows in Q1 2026 were modest and highly focused, showing selective allotment rather than broad market participation. Regardless of weak efficiency, ETFs recorded $27.1 million in net inflows, with just a small number of products drawing in new capital. This shows that financiers were targeting particular exposures, while lowering or rotating out of others.

Trading activity stayed stable, with average 30-day volumes around 33,000 shares, focused in a handful of bigger and more liquid ETFs. A lot of activity appears to have taken place in the secondary market, enabling investors to adjust positions without substantial primary productions or redemptions.

In January, Boreas introduced its S&P Global High-end UCITS ETF, including a specific niche thematic direct exposure concentrated on international high-end and customer 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 launch in April pending a final approval from ADX.

Q1 2026 revealed some progress relating to ETFs in the GCC. We anticipate more international and thematic ETFs to list in the GCC throughout 2026. While the conflict has affected sentiment and rates throughout the quarter, it has actually driven more volume and interest in regional assets.

Ways to Leverage GCC Research for Growth

In spite of continuous geopolitical stress and security threats throughout the Middle East, the economies of the Gulf Cooperation Council (GCC) have actually continued to show strength, preserving positive growth momentum over the last few years. While disputes in the broader area and international economic unpredictability stay a structural constraint, GCC nations have so far restricted their influence on domestic financial performance through strong financial positions, policy connection, and sustained investment.

The World Bank, on the other hand, tasks 3.2 percent growth in 2025, speeding up 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 typically in 2025, showing a shift toward more positive general conditions.

The IMF's World Economic Outlook (October 2025) tasks global development relieving to 3.1 percent in 2026, with innovative 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, enhancing the GCC's status as a reasonably high-growth pocketprovided that regional threat conditions remain included and reform momentum holds.

Comparing Modern Models Against Traditional Frameworks

Information from the GCC Statistical Center reveal that non-oil sectors currently account for more than 73 percent of total GDP, a share that has continued to increase as governments expand investment in services, facilities, and technology. According to Oxford Economics, non-energy activity throughout the GCC is forecasted 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 infrastructure.

Public-sector investment and reform stay central to sustaining this trend. Policy procedures intended at attracting foreign direct financial investment, alleviating foreign ownership rules, broadening capital markets, and supporting private-sector involvement continue to underpin non-oil growth and decrease the region's direct exposure to oil cost volatility. While hydrocarbons no longer control the development outlook, oil revenues are expected to play a supportive role in 2026.

3.2 percent development in 2025, speeding up to 4.5 percent in 2026. Sees momentum improving, with GCC output growth forecasted to rise 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) projects international development alleviating to 3.1 percent in 2026, with sophisticated economies around 1.5 percent and emerging market and establishing economies simply above 4 percent. On that contrast, a 4.44.5 percent GCC expansion would place the region materially ahead of the world average and somewhat above (or broadly in line with) the emerging-market aggregate, enhancing the GCC's status as a relatively high-growth pocketprovided that regional danger conditions remain included and reform momentum holds.

ANSR July GCC PRs 50DR+

Advanced Strategy for Middle East Excellence

Data from the GCC Statistical Center show that non-oil sectors already account for more than 73 percent of total GDP, a share that has actually continued to increase as federal governments expand investment in services, infrastructure, and innovation. According to Oxford Economics, non-energy activity throughout the GCC is forecasted 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 infrastructure.

Public-sector financial investment and reform remain central to sustaining this pattern. Policy steps focused on bring in foreign direct investment, alleviating foreign ownership rules, expanding capital markets, and supporting private-sector participation continue to underpin non-oil expansion and lower the area's exposure to oil price volatility. While hydrocarbons no longer dominate the growth outlook, oil profits are expected to play a supportive function in 2026.