Analysing New GCC Research for Strategic Insights

Rather than marking a cyclical rebound, 2026 is progressively viewed as a combination year, in which diversification-led growth becomes more deeply embedded in the area's economic design, minimizing reliance on hydrocarbons and increasing durability to external shocks. Forecasts from major institutions broadly converge on a stronger GCC development profile in 2026 than in 2025, supported by resistant 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 growth projected to increase from 1.7 percent in 2024 to 3.3 percent on average in 2025, reflecting a shift towards more favorable total conditions.

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

Data 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 expand investment in services, facilities, and innovation. According to Oxford Economics, non-energy activity across the GCC is forecasted to grow by around 4.1 percent in 2026, supported by strong labor markets, improving credit conditions, and rising financial investment in innovation and AI-related facilities.

ANSR July GCC PRs 50DR+

How to Maintain a Leading Edge in 2026

Public-sector investment and reform remain central to sustaining this pattern. Policy steps targeted at attracting foreign direct investment, relieving foreign ownership guidelines, broadening capital markets, and supporting private-sector participation continue to underpin non-oil expansion and minimize the area's exposure to oil cost volatility. While hydrocarbons no longer dominate the development outlook, oil incomes are expected to play an encouraging function in 2026.

Oxford Economics expects Brent crude rates to fall listed below USD 60 per barrel in early 2026, restricting the near-term contribution of oil extraction to GDP. Oil supply is forecast to increase once again in the second half of the year, with a full unwinding of staying production caps likely by mid-2027.

ANSR July GCC PRs 50DR+

Macroeconomic conditions across the GCC remain broadly encouraging of growth. Inflation is expected to remain low, with the IMF forecasting average inflation of 2 percent throughout the region in 2026. Steady prices are helping preserve real family incomes and underpin consumer costs, which Oxford Economics anticipates to grow by an average of 3.5 percent over 20262027.