Key Developments in the 2026 Middle East Market

The sector also dealt with broader macro headwinds, consisting of a more careful policy backdrop in China and international risk-off sentiment driven by geopolitical stress and greater energy costs. Thematic ETFs Had a hard time for the many part, especially those linked to carbon and high-growth technology, as evaluation pressures and worldwide rate characteristics weighed on efficiency.

Circulations in Q1 2026 were modest and extremely concentrated, reflecting selective allotment rather than broad market involvement. Regardless of weak performance, ETFs recorded $27.1 million in net inflows, with only a small number of items bring in new capital.

Trading activity stayed consistent, with average 30-day volumes around 33,000 shares, concentrated in a handful of bigger and more liquid ETFs. The majority of activity appears to have taken location in the secondary market, making it possible for financiers to adjust positions without substantial primary productions or redemptions. While recent geopolitical occasions have led to more monetary pressure on GCC nations, the region stays resistant and well capitalized to handle the scenario.

In January, Boreas released its S&P Global Luxury UCITS ETF, including a niche thematic direct exposure focused on global luxury and customer 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 launch in April pending a final approval from ADX.

Q1 2026 showed some development associating with ETFs in the GCC. We anticipate more international and thematic ETFs to list in the GCC throughout 2026. While the conflict has impacted sentiment and costs throughout the quarter, it has driven more volume and interest in local possessions.

Corporate Planning for GCC Leadership

In spite of continuous geopolitical stress and security risks throughout the Middle East, the economies of the Gulf Cooperation Council (GCC) have continued to show strength, maintaining positive development momentum in the last few years. While disputes in the broader region and international economic uncertainty remain a structural restriction, GCC countries have actually so far restricted their effect on domestic economic performance through strong fiscal positions, policy continuity, and sustained financial investment.

The World Bank, on the other hand, tasks 3.2 percent growth in 2025, accelerating to 4.5 percent in 2026. The IMF similarly sees momentum improving, with GCC output development forecasted to rise from 1.7 percent in 2024 to 3.3 percent typically in 2025, showing a shift toward more positive total conditions.

The IMF's World Economic Outlook (October 2025) projects worldwide growth easing to 3.1 percent in 2026, with advanced economies around 1.5 percent and emerging market and developing economies just above 4 percent. On that contrast, a 4.44.5 percent GCC growth would put the region materially ahead of the world average and a little above (or broadly in line with) the emerging-market aggregate, strengthening the GCC's status as a reasonably high-growth pocketprovided that regional threat conditions remain contained and reform momentum holds.

Ways to Utilize GCC Research for 2026 Success

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

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

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 towards more positive overall conditions.

The IMF's World Economic Outlook (October 2025) jobs global 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 comparison, a 4.44.5 percent GCC growth would put the area materially ahead of the world average and a little above (or broadly in line with) the emerging-market aggregate, enhancing the GCC's status as a relatively high-growth pocketprovided that regional danger conditions remain consisted of and reform momentum holds.

ANSR July GCC PRs 50DR+

Ways to Leverage GCC Research for 2026 Success

Data from the GCC Statistical Center show that non-oil sectors currently represent more than 73 percent of overall GDP, a share that has actually continued to rise as federal governments broaden investment in services, infrastructure, 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 increasing investment in innovation and AI-related infrastructure.

Public-sector investment and reform stay central to sustaining this trend. Policy measures focused on attracting foreign direct financial investment, easing foreign ownership guidelines, broadening capital markets, and supporting private-sector participation continue to underpin non-oil expansion and lower the area's direct exposure to oil cost volatility. While hydrocarbons no longer control the growth outlook, oil incomes are expected to play a helpful role in 2026.