Why Does Operational Excellence Essential for Future Growth?

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

Flows in Q1 2026 were modest and extremely focused, showing selective allocation rather than broad market participation. In spite of weak performance, ETFs taped $27.1 million in net inflows, with only a small number of items bring in new capital.

Trading activity remained constant, with typical 30-day volumes around 33,000 shares, concentrated in a handful of larger and more liquid ETFs. The majority of activity appears to have taken place in the secondary market, making it possible for financiers to adjust positions without significant main developments or redemptions.

In January, Boreas introduced its S&P Global Luxury UCITS ETF, adding a niche thematic exposure focused on international luxury and customer brand names. ETFs by the CMA for cross-listing on ADX.

Q1 2026 showed some development connecting to ETFs in the GCC. We anticipate more global and thematic ETFs to list in the GCC throughout 2026. While the dispute has affected belief and prices during the quarter, it has actually driven more volume and interest in local properties.

How to Leverage Market Research for 2026 Success

Regardless of continuous geopolitical stress and security threats throughout the Middle East, the economies of the Gulf Cooperation Council (GCC) have continued to show strength, keeping favorable development momentum recently. While disputes in the wider area and global financial uncertainty stay a structural constraint, GCC nations have actually up until now restricted their influence on domestic financial efficiency through strong financial positions, policy continuity, and sustained investment.

3.2 percent growth in 2025, accelerating 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 total conditions.

The IMF's World Economic Outlook (October 2025) tasks global development 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 contrast, a 4.44.5 percent GCC expansion 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 stay included and reform momentum holds.

Corporate Strategy for Regional Excellence

Information from the GCC Statistical Center reveal that non-oil sectors currently represent more than 73 percent of overall GDP, a share that has continued to rise as federal governments expand financial investment in services, facilities, and technology. 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 increasing investment in innovation and AI-related facilities.

Public-sector investment and reform remain main to sustaining this trend. Policy steps aimed at bring in foreign direct financial investment, reducing foreign ownership rules, broadening capital markets, and supporting private-sector involvement continue to underpin non-oil expansion and lower the region's exposure to oil cost volatility. While hydrocarbons no longer dominate the development outlook, oil revenues are anticipated to play a helpful role in 2026.

3.2 percent development in 2025, accelerating to 4.5 percent in 2026. Sees momentum improving, with GCC output development predicted to rise from 1.7 percent in 2024 to 3.3 percent on average in 2025, showing a shift toward more favorable general conditions.

The IMF's World Economic Outlook (October 2025) jobs worldwide growth 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 comparison, a 4.44.5 percent GCC expansion would place the area materially ahead of the world average and a little above (or broadly in line with) the emerging-market aggregate, enhancing the GCC's status as a reasonably high-growth pocketprovided that regional threat conditions stay included and reform momentum holds.

ANSR July GCC PRs 50DR+

How Does Business 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 actually continued to increase as federal governments expand financial investment in services, facilities, and innovation. 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 rising investment in technology and AI-related infrastructure.

Public-sector financial investment and reform remain central to sustaining this trend. Policy measures targeted at attracting foreign direct investment, alleviating foreign ownership guidelines, expanding capital markets, and supporting private-sector involvement continue to underpin non-oil expansion and reduce the region's direct exposure to oil rate volatility. While hydrocarbons no longer dominate the development outlook, oil earnings are expected to play a helpful role in 2026.