Navigating the Next Middle East Corporate Environment

Rather than marking a cyclical rebound, 2026 is progressively deemed a combination year, in which diversification-led development becomes more deeply embedded in the region's financial model, minimizing reliance on hydrocarbons and increasing durability to external shocks. Forecasts from major institutions broadly converge on a stronger GCC growth profile in 2026 than in 2025, supported by resilient domestic demand, continued non-oil growth, and (to varying degrees) a firmer hydrocarbon contribution.

ANSR July GCC PRs 50DR+

The World Bank, on the other hand, projects 3.2 percent development in 2025, speeding up to 4.5 percent in 2026. The IMF 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) jobs global growth relieving to 3.1 percent in 2026, with innovative economies around 1.5 percent and emerging market and developing economies simply above 4 percent. On that comparison, a 4.44.5 percent GCC growth would put the region materially ahead of the world average and slightly above (or broadly in line with) the emerging-market aggregate, strengthening the GCC's status as a relatively high-growth pocketprovided that local danger conditions stay contained and reform momentum holds.

Information from the GCC Statistical Center show that non-oil sectors already represent more than 73 percent of overall GDP, a share that has actually continued to increase as federal governments broaden financial investment in services, facilities, and technology. According to Oxford Economics, non-energy activity throughout the GCC is projected 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 infrastructure.

ANSR July GCC PRs 50DR+

How to Optimise GCC Strategy in 2026

Public-sector investment and reform stay central to sustaining this pattern. Policy measures intended at attracting foreign direct financial investment, relieving foreign ownership rules, broadening capital markets, and supporting private-sector involvement continue to underpin non-oil growth and reduce the region's direct exposure to oil rate volatility. While hydrocarbons no longer dominate the development outlook, oil revenues are anticipated to play a helpful role in 2026.

Oxford Economics expects Brent crude prices to fall below USD 60 per barrel in early 2026, limiting the near-term contribution of oil extraction to GDP. Nevertheless, oil supply is forecast to rise again in the 2nd half of the year, with a complete relaxing of remaining production caps likely by mid-2027.

ANSR July GCC PRs 50DR+

Macroeconomic conditions throughout the GCC stay broadly supportive of development. Inflation is anticipated to stay low, with the IMF forecasting typical inflation of 2 percent throughout the region in 2026. Stable prices are helping preserve real family earnings and underpin consumer spending, which Oxford Economics expects to grow by approximately 3.5 percent over 20262027.