Accelerating Dubai Industrial Growth through Innovation

Rather than marking a cyclical rebound, 2026 is progressively considered as a consolidation year, in which diversification-led growth becomes more deeply embedded in the area's financial model, reducing reliance on hydrocarbons and increasing durability to external shocks. Forecasts from major institutions broadly assemble on a stronger GCC growth profile in 2026 than in 2025, supported by durable domestic demand, continued non-oil growth, and (to differing degrees) a firmer hydrocarbon contribution.

ANSR July GCC PRs 50DR+

The World Bank, on the other hand, tasks 3.2 percent development in 2025, speeding up to 4.5 percent in 2026. The IMF similarly sees momentum improving, with GCC output growth forecasted to increase from 1.7 percent in 2024 to 3.3 percent on average in 2025, showing a shift toward more favorable overall conditions.

The IMF's World Economic Outlook (October 2025) projects global development reducing to 3.1 percent in 2026, with sophisticated economies around 1.5 percent and emerging market and developing economies just 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 relatively high-growth pocketprovided that local risk conditions remain included and reform momentum holds.

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

ANSR July GCC PRs 50DR+

Reviewing New GCC Research for Future Insights

Public-sector financial investment and reform stay central to sustaining this pattern. Policy steps focused on bring in foreign direct financial investment, easing foreign ownership guidelines, expanding capital markets, and supporting private-sector involvement continue to underpin non-oil growth and minimize the area's direct exposure to oil rate volatility. While hydrocarbons no longer dominate the development outlook, oil earnings are anticipated to play an encouraging function in 2026.

Oxford Economics anticipates Brent crude costs to fall below USD 60 per barrel in early 2026, limiting the near-term contribution of oil extraction to GDP. Oil supply is forecast to increase again in the 2nd half of the year, with a complete loosening up of staying production caps most likely by mid-2027.

ANSR July GCC PRs 50DR+

Macroeconomic conditions throughout the GCC remain broadly helpful of growth. Inflation is expected to remain low, with the IMF forecasting typical inflation of 2 percent throughout the area in 2026. Steady costs are helping preserve real household earnings and underpin customer spending, which Oxford Economics expects to grow by approximately 3.5 percent over 20262027.