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Business news and financial news, analysis, viewpoint and statistics covering the six Gulf Corporation Council members Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the UAE

ANSR July GCC PRs 50DR+

Financial growth throughout the Gulf Cooperation Council (GCC) is set to accelerate in 2026, with the area forecasted to outperform its 2025 performance despite soft oil incomes and ongoing global uncertainties. According to a brand-new Oxford Economics research briefing, GCC GDP development is anticipated to increase to 4.4 per cent in 2026, up from 4 per cent in 2025, reflecting a durable nonenergy sector, strong consumer characteristics, and slowly enhancing oil output.

The latest forecasts suggest that Gulf economies are now wellpositioned to gain back momentum, buoyed by enhancing domestic demand and a broadly consistent global backdrop. The report highlights GCC consumers as a major motorist of the region's economic performance heading into next year. Low inflation, robust labour markets, and growing real disposable earnings are anticipated to fuel a surge in customer spending throughout the Gulf.

Credit development is also anticipated to remain raised as access to monetary services broadens. With GCC reserve banks anticipated to follow awaited US Federal Reserve rate cuts due to the region's dollar pegs, obtaining costs are likely to decrease, offering homes and companies further motivation to invest and invest. While the nonoil sector continues to anchor the region's durability, the GCC's hydrocarbon outlook presents a mixed image.

Accelerating Regional Corporate Growth through Strategy

This might weigh on firsthalf growth, especially for economies more based on oil extraction. Oxford Economics forecasts a rebound later on in 2026, with Opec+ members anticipated to resume raising production as inventories tighten up and global demand enhances. Qatar, meanwhile, stands apart as a regional outperformer, with substantial growths in gas production and exports expected to lift its total financial efficiency.

Saudi Arabia's 2026 budget prepares for a 6 per cent cut in capital investment as the kingdom intends to narrow its fiscal deficit by 2 portion points. The report keeps in mind that these cuts may not materialise completely if countercyclical costs procedures are triggered to support development. By contrast, more diversified economies such as the UAE and Qatar are expected to continue advancing their advancement agendas.

Despite shortterm risks tied to oil prices and global demand, the GCC's 2026 financial outlook is defined by strength in principles: resistant customers, robust nonenergy sectors, improving oil characteristics, and strategic fiscal planning. With these factors aligning, the area is preparing for one of its most well balanced durations of growth recently anchored by a clear upward trajectory in GDP growth.

Predicting the 2026 GCC Business Landscape

RIYADH: Gulf Cooperation Council local economies are anticipated to remain durable in 2026, driven by strong domestic need and a broadly steady global economy, according to an analysis. In its newest report, Oxford Economics highlighted that the genuine gdp of the GCC area is anticipated to expand by 4.4 percent in 2026, up from the predicted 4 percent this year.

We expect GCC growth will rise to 4.4 percent in 2026, from 4 percent this year."In November, the GCC Statistical Center stated that economic growth in the region is set to speed up to 4.3 percent by 2027, driven by broadening non-oil sectors.

ANSR July GCC PRs 50DR+

Non-oil activities accounted for 73.2 percent of overall GDP, up from 70.6 percent at the end of 2024, highlighting the area's continued development toward diversification. According to Oxford Economics, GCC customers will be standout entertainers in 2026 and are expected to outshine their worldwide peers.

In December, the IMF further said that headline inflation is expected to remain listed below 2 percent in Bahrain, Oman, and Qatar, near 2 percent in the Kingdom and the UAE, and slightly above 2 percent in Kuwait in 20252026. According to Oxford Economics, credit growth is anticipated to stay raised in the GCC region during 2026, as access to monetary services is expected to grow and loaning is predicted to be supported by further cuts in interest rates."Owing to their currency pegs to the US dollar, GCC main banks are expected to follow the United States Federal Reserve by alleviating financial policy even more, which in turn will lower financial obligation servicing expenses and improve non reusable income and demand," said the report.