Comparing Legacy Systems and 2026 Business Strategies

Service news and financial news, analysis, viewpoint and statistics covering the six Gulf Corporation Council members Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the UAE

ANSR July GCC PRs 50DR+

Financial growth across the Gulf Cooperation Council (GCC) is set to accelerate in 2026, with the area forecasted to surpass its 2025 performance regardless of soft oil earnings and ongoing global unpredictabilities. According to a new Oxford Economics research study rundown, GCC GDP development is anticipated to rise to 4.4 percent in 2026, up from 4 percent in 2025, showing a resistant nonenergy sector, strong consumer characteristics, and slowly enhancing oil output.

However the newest projections suggest that Gulf economies are now wellpositioned to restore momentum, buoyed by reinforcing domestic demand and a broadly consistent worldwide backdrop. The report highlights GCC consumers as a significant chauffeur of the region's economic performance heading into next year. Low inflation, robust labour markets, and growing real non reusable incomes are anticipated to sustain a surge in consumer costs throughout the Gulf.

Credit development is also anticipated to stay elevated as access to monetary services widens. With GCC reserve banks expected to follow expected US Federal Reserve rate cuts due to the region's dollar pegs, borrowing expenses are most likely to decline, giving households and organizations even more impetus to invest and invest. While the nonoil sector continues to anchor the area's strength, the GCC's hydrocarbon outlook provides a combined picture.

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This could weigh on firsthalf growth, especially for economies more dependent on oil extraction. Nevertheless, Oxford Economics forecasts a rebound later in 2026, with Opec+ members anticipated to resume raising production as stocks tighten and international need enhances. Qatar, on the other hand, stands out as a local outperformer, with significant growths in gas production and exports anticipated to raise its general economic performance.

Saudi Arabia's 2026 spending plan anticipates a 6 percent cut in capital expenditure as the kingdom aims to narrow its fiscal deficit by two portion points. However, the report keeps in mind that these cuts may not materialise totally if countercyclical spending measures are triggered to support development. By contrast, more diversified economies such as the UAE and Qatar are expected to continue advancing their development agendas.

In spite of shortterm risks connected to oil costs and global need, the GCC's 2026 economic outlook is defined by strength in fundamentals: durable consumers, robust nonenergy sectors, improving oil dynamics, and strategic financial planning. With these elements aligning, the region is preparing for one of its most well balanced periods of expansion in current years anchored by a clear upward trajectory in GDP development.

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RIYADH: Gulf Cooperation Council regional economies are anticipated to stay resistant in 2026, driven by strong domestic demand and a broadly steady international economy, according to an analysis. In its newest report, Oxford Economics highlighted that the real gdp of the GCC area is expected to expand by 4.4 percent in 2026, up from the forecasted 4 percent this year.

We expect GCC growth 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 accelerate to 4.3 percent by 2027, driven by broadening non-oil sectors.

ANSR July GCC PRs 50DR+

Non-oil activities accounted for 73.2 percent of total GDP, up from 70.6 percent at the end of 2024, highlighting the region's ongoing progress toward diversity. According to Oxford Economics, GCC customers will be standout entertainers in 2026 and are anticipated to surpass their global peers.

In December, the IMF further stated that headline inflation is expected to stay listed below 2 percent in Bahrain, Oman, and Qatar, near 2 percent in the Kingdom and the UAE, and somewhat above 2 percent in Kuwait in 20252026. According to Oxford Economics, credit growth is expected to remain elevated in the GCC region during 2026, as access to monetary services is expected to grow and lending is forecasted to be supported by further cuts in rates of interest."Owing to their currency pegs to the United States dollar, GCC reserve banks are expected to follow the US Federal Reserve by reducing financial policy even more, which in turn will lower financial obligation maintenance expenses and improve non reusable earnings and need," stated the report.