Scaling Industrial Growth Within Dubai and the GCC

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

The petrochemical ETF significantly outshined. Flows in Q1 2026 were modest and extremely focused, showing selective allotment instead of broad market involvement. Despite weak performance, ETFs recorded $27.1 million in net inflows, with just a small number of products drawing in brand-new capital. This suggests that investors were targeting particular exposures, while minimizing or turning out of others.

Trading activity stayed steady, with typical 30-day volumes around 33,000 shares, concentrated in a handful of larger and more liquid ETFs. Most activity appears to have actually occurred in the secondary market, allowing investors to change positions without significant main productions or redemptions. While recent geopolitical events have actually led to more financial pressure on GCC countries, the region remains resistant and well capitalized to handle the situation.

In January, Boreas launched its S&P Global Luxury UCITS ETF, adding a niche thematic exposure focused on worldwide high-end and customer brands. ETFs by the CMA for cross-listing on ADX.

Q1 2026 revealed some development relating to ETFs in the GCC. We anticipate more worldwide and thematic ETFs to list in the GCC during 2026. While the conflict has actually impacted sentiment and rates throughout the quarter, it has actually driven more volume and interest in regional possessions.

How to Utilize GCC Research for Growth

Despite continuous geopolitical stress and security threats across the Middle East, the economies of the Gulf Cooperation Council (GCC) have actually continued to demonstrate resilience, keeping favorable growth momentum over the last few years. While disputes in the larger region and worldwide financial uncertainty remain a structural constraint, GCC nations have so far restricted their influence on domestic economic performance through strong financial positions, policy connection, and continual financial investment.

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, showing a shift toward more positive general conditions.

The IMF's World Economic Outlook (October 2025) projects worldwide development reducing to 3.1 percent in 2026, with sophisticated economies around 1.5 percent and emerging market and establishing economies just 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 reasonably high-growth pocketprovided that local threat conditions remain consisted of and reform momentum holds.

Ways to Utilize GCC Research for Success

Information from the GCC Statistical Center show that non-oil sectors currently represent more than 73 percent of total GDP, a share that has continued to increase as governments broaden financial 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 technology and AI-related facilities.

Public-sector financial investment and reform remain central to sustaining this trend. Policy steps aimed at bring in foreign direct investment, alleviating foreign ownership guidelines, expanding capital markets, and supporting private-sector involvement continue to underpin non-oil growth and minimize the region's exposure to oil rate volatility. While hydrocarbons no longer dominate the development outlook, oil incomes are anticipated to play a supportive function in 2026.

The World Bank, on the other hand, tasks 3.2 percent growth in 2025, accelerating to 4.5 percent in 2026. The IMF Sees momentum improving, with GCC output development forecasted to rise from 1.7 percent in 2024 to 3.3 percent on average in 2025, showing a shift towards more favorable general conditions.

The IMF's World Economic Outlook (October 2025) tasks global development alleviating to 3.1 percent in 2026, with advanced 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 area materially ahead of the world average and a little above (or broadly in line with) the emerging-market aggregate, reinforcing the GCC's status as a fairly high-growth pocketprovided that local threat conditions stay contained and reform momentum holds.

ANSR July GCC PRs 50DR+

How Does Operational Excellence Crucial for Future Expansion?

Information from the GCC Statistical Center show that non-oil sectors already represent more than 73 percent of total GDP, a share that has actually continued to increase as federal governments expand financial investment in services, infrastructure, 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, improving credit conditions, and rising investment in technology and AI-related facilities.

Public-sector investment and reform remain central to sustaining this trend. Policy steps targeted at attracting foreign direct financial investment, easing foreign ownership rules, expanding capital markets, and supporting private-sector involvement continue to underpin non-oil expansion and decrease the region's exposure to oil cost volatility. While hydrocarbons no longer dominate the development outlook, oil revenues are expected to play an encouraging function in 2026.