Key Drivers Shaping Gulf Economic Outlooks by 2026 thumbnail

Key Drivers Shaping Gulf Economic Outlooks by 2026

Published en
5 min read


Oct 2019 Walid Majdalani, Head of Investcorp Private Equity MENA organization, describes the appealing chances of buying GCC Facilities, driven by the region's growth and federal government efforts.

Diversification is achieve a well balanced economy,, Diversity visions and techniques exist. However there were and The, by producing an index with no qualitative/perceptions signs. The general Worldwide EDI is made up of tracking. As commodity exporters diversify, lower their reliance on resource leas and potentially score a higher score on the EDI.

For non-diversified nations, when price of the product falls, there is a significant decrease in federal government income, public costs, existing account balance and international reserves: more volatility. The (consisting of major commodity exporters, not limited to just oil) over the, throughout 25 indicators (consisting of 3 digital signs). The United States And Canada, Western Europe and East Asia Pacific countries leading EDI scores throughout the years.

ANSR July GCC PRs 50DR+ANSR July GCC PRs 50DR+


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

Amongst the e. countries ranked 51 to 70, the performance of Moldova, Indonesia, Armenia and Honduras stand out (when comparing 2024 vs 2000). years, given sped up diversity plans of numerous oil-exporting nations. posted a consistent enhancement due to a combination of minimized dependence on fuel exports, lowered exports concentration and a change in the structure of exports.

Can Gulf Industrial Success Exceed Western Benchmarks?

with oil exporters having the most affordable scores (though private country-specific efficiency has differed in time). Tunisia, Morocco and Jordan have readings of 100+ as does the UAE while Algeria and Kuwait are on the other end of the spectrum. Across all areas, the median score is the for both 2000 and 2024, and the highest in North America.

In 2024, the (China was among the leading ranked, while Mongolia's rating aggravated compared to 2000)., however more to do with a "levelling up" at the bottom instead of an improvement among the leading countries. By comparing the (height of the blue box), least irregularity is seen in South Asia in 2000 and the most in the MENA area (with difference most likely driven by the dichotomy within the area between the resource-heavy states (e.g.

Sub-Saharan African nations account for around one-third of the total, followed by Latin America and the Middle East (the latter two together accounting for over 40% of the overall). Consisting of, 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 greater than others; UAE is up more than 45 locations in 2024 compared to 2000 while Qatar climbed up 24; both Saudi Arabia and Oman increased 17 ranks during the duration. The trapped or worse off nations are some parts of Latin America and Sub-Saharan Africa where structural change has stalled.

shows a substantial increase in typical EDI scores from 86.8 in 2000-04 to 92.6 in 2020-24, (up more than 10 points in the initial period versus 2020-24). with UAE outshining in the trade sub-index (supported by recent bilateral trade agreements & non-oil exports push). vs its pre-pandemic reading (partially offered the rise in medium & high-tech manufacturing information).

Vital Drivers Shaping Gulf Economic Outlooks by 2026

Its diversity metrics have stagnated, revealing the least improvement in between the initial (2000-04) and final (2020-24) reference periods., in spite of the headwinds of OPEC+ production cuts. A robust non-hydrocarbon expansion was supported by the GCC's robust domestic need (supported by a strong task pipeline and execution) 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 profits collection effectiveness improvements", according to the IMF. In the current geopolitical environment characterized by heightening, it remains in the best interests of product reliant nations to diversify its export base, exports and trade partners.

Sub-Saharan African countries account for around one-third of the total, followed by Latin America and the Middle East (the latter 2 together accounting for 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 ).

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

Creating Resilient Investment Portfolios with Arabian Securities

shows a significant boost in typical EDI scores 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 outperforming in the trade sub-index (supported by current bilateral trade agreements & non-oil exports push). vs its pre-pandemic reading (partially offered the surge in medium & state-of-the-art production data).

Its diversity metrics have actually stagnated, revealing the least enhancement in between the preliminary (2000-04) and final (2020-24) reference periods., regardless of the headwinds of OPEC+ production cuts. A robust non-hydrocarbon growth was supported by the GCC's robust domestic need (supported by a strong project pipeline and execution) and strong services sector performance.

How Regional Wealth Reserves Mitigate Geopolitical Tensions in 2026

Kuwait and Saudi Arabia clocked in an increase in non-hydrocarbon revenue, "mainly reflecting non-hydrocarbon tax base growths and earnings collection performance improvements", according to the IMF. In the current geopolitical environment characterized by heightening, it is in the very best interests of product reliant nations to diversify its export base, exports and trade partners.

Latest Posts

Reviewing Industrial Growth across the GCC

Published Aug 27, 26
4 min read