Advanced Strategy for Middle East Success

The sector likewise faced broader macro headwinds, consisting of a more cautious policy backdrop in China and global risk-off sentiment driven by geopolitical tensions and greater energy prices. Thematic ETFs Had a hard time for the many part, especially those linked to carbon and high-growth technology, as assessment pressures and international rate dynamics weighed on performance.

The petrochemical ETF significantly outperformed. Circulations in Q1 2026 were modest and extremely concentrated, showing selective allotment instead of broad market participation. Regardless of weak performance, ETFs taped $27.1 million in net inflows, with only a little number of products attracting brand-new capital. This indicates that investors were targeting particular direct exposures, while minimizing or rotating out of others.

Trading activity remained stable, with average 30-day volumes around 33,000 shares, concentrated in a handful of bigger and more liquid ETFs. Many activity appears to have actually happened in the secondary market, allowing financiers to adjust positions without substantial main developments or redemptions. While recent geopolitical events have actually led to more financial pressure on GCC nations, the area stays resistant and well capitalized to deal with the circumstance.

In January, Boreas introduced its S&P Global High-end UCITS ETF, including a specific niche thematic direct exposure focused on worldwide luxury and customer brands. ETFs by the CMA for cross-listing on ADX.

Q1 2026 showed some development relating to ETFs in the GCC. We expect more international and thematic ETFs to list in the GCC throughout 2026. While the conflict has actually affected belief and prices throughout the quarter, it has actually driven more volume and interest in regional properties.

Corporate Strategy for Regional Excellence

Regardless of continuous geopolitical stress and security dangers across the Middle East, the economies of the Gulf Cooperation Council (GCC) have actually continued to demonstrate resilience, preserving favorable growth momentum in the last few years. While conflicts in the larger region and international financial uncertainty remain a structural restriction, GCC countries have up until now limited their effect on domestic financial performance through strong fiscal positions, policy continuity, and continual investment.

3.2 percent growth in 2025, speeding up to 4.5 percent in 2026. Sees momentum improving, with GCC output growth projected to increase from 1.7 percent in 2024 to 3.3 percent on average in 2025, showing a shift toward more positive overall conditions.

The IMF's World Economic Outlook (October 2025) jobs worldwide growth reducing to 3.1 percent in 2026, with advanced economies around 1.5 percent and emerging market and developing economies simply above 4 percent. On that comparison, a 4.44.5 percent GCC growth would place the region materially ahead of the world average and a little above (or broadly in line with) the emerging-market aggregate, reinforcing the GCC's status as a relatively high-growth pocketprovided that regional danger conditions remain consisted of and reform momentum holds.

Corporate Planning for GCC Leadership

Information from the GCC Statistical Center reveal that non-oil sectors currently represent more than 73 percent of overall GDP, a share that has actually continued to increase as governments broaden investment in services, facilities, and technology. According to Oxford Economics, non-energy activity across the GCC is projected 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 infrastructure.

Public-sector financial investment and reform stay main to sustaining this trend. Policy steps intended at bring in foreign direct financial investment, reducing foreign ownership rules, broadening capital markets, and supporting private-sector participation continue to underpin non-oil growth and decrease the region's direct exposure to oil rate volatility. While hydrocarbons no longer control the growth outlook, oil earnings are expected to play a supportive function in 2026.

The World Bank, on the other hand, jobs 3.2 percent growth in 2025, accelerating to 4.5 percent in 2026. The IMF similarly sees momentum improving, with GCC output development projected to rise from 1.7 percent in 2024 to 3.3 percent typically in 2025, showing a shift toward more positive general conditions.

The IMF's World Economic Outlook (October 2025) tasks international growth reducing to 3.1 percent in 2026, with innovative economies around 1.5 percent and emerging market and developing economies just above 4 percent. On that contrast, a 4.44.5 percent GCC expansion would place the area 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 reasonably high-growth pocketprovided that local risk conditions remain included and reform momentum holds.

ANSR July GCC PRs 50DR+

How Is Operational Excellence Essential for 2026 Expansion?

Data from the GCC Statistical Center show that non-oil sectors currently account for more than 73 percent of total GDP, a share that has continued to increase as federal governments expand financial investment in services, infrastructure, and technology. According to Oxford Economics, non-energy activity throughout the GCC is predicted to grow by around 4.1 percent in 2026, supported by strong labor markets, enhancing credit conditions, and rising investment in technology and AI-related infrastructure.

Public-sector financial investment and reform remain main to sustaining this trend. Policy measures aimed at drawing in foreign direct investment, easing foreign ownership guidelines, broadening capital markets, and supporting private-sector participation continue to underpin non-oil growth and decrease the area's direct exposure to oil cost volatility. While hydrocarbons no longer dominate the development outlook, oil revenues are expected to play a supportive role in 2026.