Ensuring Operational Excellence in Regional Markets

The sector likewise dealt with broader macro headwinds, including a more cautious policy background in China and worldwide risk-off belief driven by geopolitical tensions and greater energy prices. Thematic ETFs also had a hard time for the many part, particularly those linked to carbon and high-growth innovation, as appraisal pressures and international rate characteristics weighed on performance.

The petrochemical ETF significantly outperformed. Circulations in Q1 2026 were modest and highly focused, showing selective allocation instead of broad market involvement. Regardless of weak efficiency, ETFs tape-recorded $27.1 million in net inflows, with only a little number of products bring in brand-new capital. This indicates that financiers were targeting particular direct exposures, while decreasing or rotating out of others.

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

In January, Boreas introduced its S&P Global Luxury UCITS ETF, adding a niche thematic direct exposure focused on global high-end and consumer brands. ETFs by the CMA for cross-listing on ADX.

Q1 2026 revealed some development connecting to ETFs in the GCC. We anticipate more worldwide and thematic ETFs to list in the GCC during 2026. While the dispute has impacted belief and costs during the quarter, it has driven more volume and interest in local properties.

How to Utilize GCC Research for Success

Despite ongoing geopolitical tensions and security dangers across the Middle East, the economies of the Gulf Cooperation Council (GCC) have continued to demonstrate strength, maintaining favorable development momentum over the last few years. While disputes in the wider area and global financial uncertainty stay a structural constraint, GCC countries have actually up until now limited their effect on domestic financial performance through strong financial positions, policy continuity, and continual financial investment.

3.2 percent growth in 2025, accelerating to 4.5 percent in 2026. Sees momentum improving, with GCC output development projected to rise from 1.7 percent in 2024 to 3.3 percent on average in 2025, showing a shift toward more favorable general conditions.

The IMF's World Economic Outlook (October 2025) jobs worldwide growth reducing to 3.1 percent in 2026, with sophisticated 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 position 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 regional danger conditions stay consisted of and reform momentum holds.

Key Developments in the Future GCC Economy

Information from the GCC Statistical Center show that non-oil sectors currently account for 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 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 increasing investment in technology and AI-related facilities.

Public-sector financial investment and reform stay central to sustaining this pattern. Policy procedures targeted at drawing in foreign direct financial investment, alleviating foreign ownership rules, broadening capital markets, and supporting private-sector participation continue to underpin non-oil expansion and reduce the area's exposure to oil rate volatility. While hydrocarbons no longer dominate the growth outlook, oil earnings are anticipated to play a supportive role in 2026.

The World Bank, on the other hand, tasks 3.2 percent growth in 2025, accelerating to 4.5 percent in 2026. The IMF Sees momentum improving, with GCC output development projected to rise from 1.7 percent in 2024 to 3.3 percent on average in 2025, reflecting a shift towards more positive general conditions.

The IMF's World Economic Outlook (October 2025) tasks worldwide 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 expansion would position the region materially ahead of the world average and somewhat above (or broadly in line with) the emerging-market aggregate, reinforcing the GCC's status as a fairly high-growth pocketprovided that local threat conditions remain included and reform momentum holds.

ANSR July GCC PRs 50DR+

How to Utilize GCC Research for 2026 Success

Information from the GCC Statistical Center show that non-oil sectors already represent more than 73 percent of total GDP, a share that has continued to increase as federal governments broaden financial investment in services, infrastructure, 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, improving credit conditions, and increasing financial investment in technology and AI-related infrastructure.

Public-sector financial investment and reform stay central to sustaining this trend. Policy measures aimed at bring in foreign direct investment, relieving foreign ownership guidelines, broadening capital markets, and supporting private-sector involvement continue to underpin non-oil expansion and lower the region's direct exposure to oil price volatility. While hydrocarbons no longer control the development outlook, oil earnings are expected to play a supportive role in 2026.