Accelerating Dubai Industrial Growth through Strategy

Rather than marking a cyclical rebound, 2026 is progressively considered as a combination year, in which diversification-led development becomes more deeply embedded in the area's financial model, decreasing dependence on hydrocarbons and increasing resilience to external shocks. Projections from significant institutions broadly converge on a more powerful GCC development profile in 2026 than in 2025, supported by resilient domestic need, continued non-oil growth, and (to differing degrees) a firmer hydrocarbon contribution.

ANSR July GCC PRs 50DR+

3.2 percent growth in 2025, speeding up to 4.5 percent in 2026. 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 towards more positive general conditions.

The IMF's World Economic Outlook (October 2025) jobs worldwide growth easing to 3.1 percent in 2026, with innovative 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 place 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 contained and reform momentum holds.

Information 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 increase as governments expand 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 increasing investment in technology and AI-related facilities.

ANSR July GCC PRs 50DR+

Driving Regional Industrial Expansion through Strategy

Public-sector financial investment and reform stay main to sustaining this trend. Policy measures targeted at bring in foreign direct investment, reducing foreign ownership guidelines, broadening capital markets, and supporting private-sector participation continue to underpin non-oil growth and minimize the area's direct exposure to oil cost volatility. While hydrocarbons no longer dominate the growth outlook, oil earnings are anticipated to play a supportive function in 2026.

Oxford Economics expects Brent crude prices to fall listed below USD 60 per barrel in early 2026, restricting the near-term contribution of oil extraction to GDP. Nevertheless, oil supply is anticipated to rise once again in the second half of the year, with a full relaxing of staying production caps likely by mid-2027.

ANSR July GCC PRs 50DR+

Macroeconomic conditions throughout the GCC stay broadly supportive of growth. Inflation is anticipated to stay low, with the IMF forecasting typical inflation of 2 percent throughout the region in 2026. Stable prices are assisting maintain real home incomes and underpin consumer costs, which Oxford Economics anticipates to grow by approximately 3.5 percent over 20262027.