Comparing Modern Models Versus Legacy Business

The sector likewise dealt with wider macro headwinds, including a more careful policy background in China and international risk-off belief driven by geopolitical tensions and greater energy rates. Thematic ETFs likewise struggled for the many part, particularly those linked to carbon and high-growth technology, as appraisal pressures and global rate characteristics weighed on performance.

The petrochemical ETF significantly exceeded. Flows in Q1 2026 were modest and extremely focused, showing selective allotment rather than broad market involvement. In spite of weak performance, ETFs taped $27.1 million in net inflows, with just a little number of products bring in brand-new capital. This suggests that investors were targeting particular direct exposures, while decreasing or turning out of others.

Trading activity remained steady, with average 30-day volumes around 33,000 shares, concentrated in a handful of larger and more liquid ETFs. The majority of activity appears to have taken place in the secondary market, making it possible for financiers to change positions without significant main developments or redemptions.

In January, Boreas introduced its S&P Global High-end UCITS ETF, including a specific niche thematic exposure concentrated on global luxury and consumer brand names. Momentum continued into April with the approval of KraneShares AGIX and KWIN ETFs by the CMA for cross-listing on ADX. These funds are expected to introduce in April pending a final approval from ADX.

Q1 2026 showed some progress connecting to ETFs in the GCC. We anticipate more global and thematic ETFs to list in the GCC throughout 2026. While the conflict has impacted sentiment and costs during the quarter, it has actually driven more volume and interest in regional properties.

Why Is Operational Excellence Vital for Future Expansion?

Regardless of ongoing geopolitical tensions and security threats across the Middle East, the economies of the Gulf Cooperation Council (GCC) have continued to demonstrate strength, maintaining positive growth momentum in recent years. While conflicts in the wider area and worldwide economic unpredictability remain a structural restraint, GCC nations have actually so far limited their influence on domestic economic performance through strong fiscal positions, policy connection, and continual investment.

The World Bank, on the other hand, projects 3.2 percent development in 2025, speeding up to 4.5 percent in 2026. The IMF likewise sees momentum improving, with GCC output development projected to increase from 1.7 percent in 2024 to 3.3 percent usually in 2025, showing a shift toward more positive total conditions.

The IMF's World Economic Outlook (October 2025) jobs global development relieving to 3.1 percent in 2026, with innovative economies around 1.5 percent and emerging market and establishing economies just above 4 percent. On that comparison, a 4.44.5 percent GCC expansion would put the area materially ahead of the world average and slightly above (or broadly in line with) the emerging-market aggregate, reinforcing the GCC's status as a fairly high-growth pocketprovided that regional risk conditions stay included and reform momentum holds.

How to Leverage GCC Intelligence for Success

Information from the GCC Statistical Center reveal that non-oil sectors already represent more than 73 percent of overall GDP, a share that has continued to increase as governments expand investment in services, infrastructure, and innovation. According to Oxford Economics, non-energy activity across the GCC is projected to grow by around 4.1 percent in 2026, supported by strong labor markets, enhancing credit conditions, and increasing investment in innovation and AI-related infrastructure.

Public-sector financial investment and reform remain main to sustaining this trend. Policy measures aimed at bring in foreign direct investment, easing foreign ownership guidelines, expanding capital markets, and supporting private-sector involvement continue to underpin non-oil expansion and lower the region's exposure to oil cost volatility. While hydrocarbons no longer dominate the growth outlook, oil earnings are expected to play an encouraging function in 2026.

3.2 percent development in 2025, accelerating to 4.5 percent in 2026. Sees momentum improving, with GCC output growth forecasted to increase from 1.7 percent in 2024 to 3.3 percent on average in 2025, showing a shift toward more favorable total 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 comparison, a 4.44.5 percent GCC expansion would put the region materially ahead of the world average and slightly above (or broadly in line with) the emerging-market aggregate, enhancing the GCC's status as a reasonably high-growth pocketprovided that regional risk conditions stay consisted of and reform momentum holds.

ANSR July GCC PRs 50DR+

How to Utilize Market Research for Growth

Data from the GCC Statistical Center reveal that non-oil sectors already represent more than 73 percent of overall GDP, a share that has continued to increase as federal governments broaden financial investment in services, facilities, and technology. 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, enhancing credit conditions, and rising financial investment in innovation and AI-related facilities.

Public-sector financial investment and reform stay central to sustaining this trend. Policy steps focused on attracting foreign direct investment, easing foreign ownership guidelines, expanding capital markets, and supporting private-sector participation continue to underpin non-oil growth and decrease the region's exposure to oil price volatility. While hydrocarbons no longer dominate the growth outlook, oil earnings are expected to play a supportive role in 2026.