Navigating the Next GCC Business Landscape

Company news and financial news, analysis, opinion and stats covering the six Gulf Corporation Council members Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the UAE

ANSR July GCC PRs 50DR+

Financial development throughout the Gulf Cooperation Council (GCC) is set to speed up in 2026, with the area projected to exceed its 2025 performance despite muted oil earnings and ongoing worldwide unpredictabilities. According to a new Oxford Economics research briefing, GCC GDP development is anticipated to increase to 4.4 percent in 2026, up from 4 percent in 2025, showing a resistant nonenergy sector, strong customer dynamics, and slowly improving oil output.

However the latest projections recommend that Gulf economies are now wellpositioned to gain back momentum, buoyed by enhancing domestic demand and a broadly constant international background. The report highlights GCC customers as a significant driver of the area's economic efficiency heading into next year. Low inflation, robust labour markets, and growing genuine non reusable incomes are expected to fuel a surge in consumer costs across the Gulf.

Credit growth is likewise forecast to remain raised as access to monetary services expands. With GCC reserve banks anticipated to follow awaited US Federal Reserve rate cuts due to the area's dollar pegs, borrowing expenses are likely to decline, providing homes and services further impetus to invest and invest. While the nonoil sector continues to anchor the region's durability, the GCC's hydrocarbon outlook presents a blended photo.

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This might weigh on firsthalf growth, especially for economies more dependent on oil extraction. Oxford Economics projects a rebound later on in 2026, with Opec+ members expected to resume raising production as stocks tighten up and international need enhances. Qatar, meanwhile, sticks out as a regional outperformer, with significant expansions in gas production and exports anticipated to raise its general economic efficiency.

Saudi Arabia's 2026 spending plan prepares for a 6 per cent cut in capital investment as the kingdom aims to narrow its fiscal deficit by 2 percentage points. However, the report keeps in mind that these cuts may not materialise totally if countercyclical spending steps are activated to support growth. By contrast, more varied economies such as the UAE and Qatar are anticipated to continue advancing their advancement agendas.

In spite of shortterm dangers connected to oil costs and worldwide need, the GCC's 2026 financial outlook is specified by strength in fundamentals: durable customers, robust nonenergy sectors, enhancing oil dynamics, and strategic fiscal preparation. With these aspects aligning, the region is getting ready for one of its most balanced durations of expansion in the last few years anchored by a clear upward trajectory in GDP growth.

Emerging Strategic Shifts Shaping the 2026 Regional Economy

RIYADH: Gulf Cooperation Council local economies are expected to stay resilient in 2026, driven by strong domestic need and a broadly constant worldwide economy, according to an analysis. In its newest report, Oxford Economics highlighted that the real gross domestic item of the GCC area is expected to expand by 4.4 percent in 2026, up from the projected 4 percent this year.

We anticipate GCC development will rise to 4.4 percent in 2026, from 4 percent this year."In November, the GCC Statistical Center stated that economic development in the area 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 represented 73.2 percent of overall GDP, up from 70.6 percent at the end of 2024, highlighting the region's ongoing progress toward diversification. According to Oxford Economics, GCC consumers will be standout performers in 2026 and are expected to outshine their international peers. Oxford Economics said that low inflation has assisted safeguard growth in real disposable earnings, which has likewise been supported by strong demand and very low joblessness rates."We do not visualize any let-up, as federal governments continue to promote greater foreign direct investment in their push to diversify their economies away from oil and gas," the report added.

In December, the IMF further stated that heading inflation is anticipated to remain below 2 percent in Bahrain, Oman, and Qatar, close to 2 percent in the Kingdom and the UAE, and somewhat above 2 percent in Kuwait in 20252026. According to Oxford Economics, credit development is anticipated to remain elevated in the GCC region during 2026, as access to financial services is expected to grow and lending is forecasted to be supported by further cuts in interest rates."Owing to their currency pegs to the US dollar, GCC central banks are anticipated to follow the United States Federal Reserve by reducing financial policy further, which in turn will decrease financial obligation servicing costs and improve non reusable earnings and need," said the report.