Key Factors Shaping GCC Economic Outlooks for 2026

Oct 2019 Walid Majdalani, Head of Investcorp Private Equity MENA business, lays out the attractive opportunities of investing in GCC Infrastructure, driven by the region's growth and federal government efforts.

Diversity is attain a balanced economy,, Diversification visions and strategies exist. There were and The, by producing an index with no qualitative/perceptions indications. The overall Global EDI is composed of tracking. As product exporters diversify, lower their reliance on resource rents and possibly score a greater score on the EDI.

For non-diversified countries, when price of the product falls, there is a substantial decline in federal government profits, public costs, bank account balance and global reserves: more volatility. The (consisting of significant commodity exporters, not restricted to just oil) over the, across 25 indications (consisting of three digital signs). North America, Western Europe and East Asia Pacific countries leading EDI scores throughout the years.

ANSR July GCC PRs 50DR+

Although structural reforms and diversity efforts carried out by the GCC affected MENA's local ratings positively, it still lags five other regional groups., with the leading 10 nations having less than a 10-point distinction in scores (suggesting the strength of diversity)., alongside 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. nations ranked 51 to 70, the efficiency of Moldova, Indonesia, Armenia and Honduras stand out (when comparing 2024 vs 2000). years, provided accelerated diversity plans of numerous oil-exporting countries. published a stable improvement due to a mix of lowered reliance on fuel exports, decreased exports concentration and a modification in the composition of exports.

Evaluating Regional Investment Incentives vs Emerging Markets

with oil exporters having the least expensive scores (though specific country-specific efficiency has actually varied with 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 mean rating is the for both 2000 and 2024, and the greatest in North America.

In 2024, the (China was amongst the leading ranked, while Mongolia's rating worsened 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 variability is seen in South Asia in 2000 and the most in the MENA region (with variance most likely driven by the dichotomy within the region between the resource-heavy states (e.g.

Sub-Saharan African countries represent 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 been an (from 90.3 in 2000-04 to 92.6 and 92.3 in the 5 years pre- and post-pandemic ).

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 24; both Saudi Arabia and Oman increased 17 ranks during the period. The caught or worse off countries are some parts of Latin America and Sub-Saharan Africa where structural improvement has stalled.

reveals a considerable boost in average 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 outperforming in the trade sub-index (supported by current bilateral trade arrangements & non-oil exports push). vs its pre-pandemic reading (partly offered the surge in medium & high-tech production data).

Top Global Capital Trends within Middle East Market

Its diversity metrics have actually stagnated, showing the least improvement between the initial (2000-04) and final (2020-24) reference periods., regardless 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 job pipeline and implementation) and strong services sector efficiency.

Kuwait and Saudi Arabia clocked in a boost in non-hydrocarbon income, "primarily reflecting non-hydrocarbon tax base expansions and profits collection efficiency improvements", according to the IMF. In the current geopolitical environment defined by magnifying, it is in the very best interests of commodity dependent 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 2 together representing over 40% of the overall). 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 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 rose 17 ranks throughout the duration. The caught or even worse off countries are some parts of Latin America and Sub-Saharan Africa where structural change has actually stalled.

Will Gulf Industrial Success Outpace Global Averages?

reveals a significant increase in typical EDI scores 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 outshining in the trade sub-index (supported by recent bilateral trade arrangements & non-oil exports push). vs its pre-pandemic reading (partially provided the rise in medium & state-of-the-art manufacturing data).

Its diversity metrics have actually stagnated, revealing the least enhancement in between the initial (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 demand (supported by a strong project pipeline and implementation) and strong services sector efficiency.

Kuwait and Saudi Arabia clocked in a boost in non-hydrocarbon income, "primarily reflecting non-hydrocarbon tax base expansions and revenue collection performance enhancements", according to the IMF. In the current geopolitical environment identified by magnifying, it remains in the best interests of commodity reliant countries to diversify its export base, exports and trade partners.