Advanced Strategy for Regional Excellence

The sector likewise dealt with more comprehensive macro headwinds, including a more mindful policy backdrop in China and global risk-off sentiment driven by geopolitical tensions and higher energy prices. Thematic ETFs likewise had a hard time for the a lot of part, particularly those connected to carbon and high-growth innovation, as evaluation pressures and international rate dynamics weighed on performance.

The petrochemical ETF considerably outshined. Circulations in Q1 2026 were modest and extremely concentrated, showing selective allowance rather than broad market participation. Despite weak efficiency, ETFs recorded $27.1 million in net inflows, with only a small number of products drawing in new capital. This indicates that financiers were targeting particular direct exposures, while decreasing or turning out of others.

Trading activity remained constant, with average 30-day volumes around 33,000 shares, focused in a handful of larger and more liquid ETFs. Most activity appears to have taken place in the secondary market, making it possible for financiers to change positions without significant primary productions or redemptions. While recent geopolitical occasions have led to more financial pressure on GCC nations, the area remains resistant and well capitalized to handle the situation.

In January, Boreas released its S&P Global Luxury UCITS ETF, including a niche thematic direct exposure focused on worldwide high-end and customer brands. 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 connecting to ETFs in the GCC. We expect more international and thematic ETFs to list in the GCC during 2026. While the conflict has actually impacted sentiment and prices throughout the quarter, it has driven more volume and interest in regional possessions.

Ways to Leverage GCC Research for 2026 Growth

In spite of ongoing geopolitical stress and security risks across the Middle East, the economies of the Gulf Cooperation Council (GCC) have actually continued to show durability, preserving favorable development momentum in current years. While conflicts in the broader area and worldwide financial unpredictability remain a structural restraint, GCC countries have so far restricted their effect on domestic financial performance through strong financial positions, policy continuity, and continual financial investment.

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

The IMF's World Economic Outlook (October 2025) projects global development relieving to 3.1 percent in 2026, with advanced economies around 1.5 percent and emerging market and establishing economies just above 4 percent. On that contrast, a 4.44.5 percent GCC expansion would place 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 fairly high-growth pocketprovided that local danger conditions stay consisted of and reform momentum holds.

How to Utilize Market Intelligence for Growth

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

Public-sector financial investment and reform remain main to sustaining this trend. Policy procedures targeted at attracting foreign direct financial investment, relieving foreign ownership rules, expanding capital markets, and supporting private-sector participation continue to underpin non-oil growth and minimize the region's exposure to oil rate volatility. While hydrocarbons no longer control the development outlook, oil incomes are anticipated to play an encouraging role in 2026.

The World Bank, on the other hand, jobs 3.2 percent development in 2025, speeding up to 4.5 percent in 2026. The IMF Sees momentum improving, with GCC output development forecasted to rise from 1.7 percent in 2024 to 3.3 percent on average in 2025, reflecting a shift toward more favorable general conditions.

The IMF's World Economic Outlook (October 2025) jobs global development reducing 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 position 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 reasonably high-growth pocketprovided that regional threat conditions remain contained and reform momentum holds.

ANSR July GCC PRs 50DR+

Ways to Utilize GCC Research for 2026 Success

Data from the GCC Statistical Center show that non-oil sectors currently account for more than 73 percent of overall GDP, a share that has continued to increase as governments expand financial investment in services, infrastructure, and innovation. 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 innovation and AI-related infrastructure.

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