All Categories
Featured
Table of Contents
The sector likewise dealt with more comprehensive macro headwinds, consisting of a more mindful policy background in China and global risk-off sentiment driven by geopolitical stress and greater energy rates. Thematic ETFs likewise struggled for the many part, especially those connected to carbon and high-growth innovation, as appraisal pressures and worldwide rate dynamics weighed on efficiency.
Flows in Q1 2026 were modest and highly focused, showing selective allowance rather than broad market involvement. Despite weak efficiency, ETFs taped $27.1 million in net inflows, with only a little number of products drawing in new capital.
Trading activity remained steady, with typical 30-day volumes around 33,000 shares, concentrated in a handful of larger and more liquid ETFs. Many activity appears to have occurred in the secondary market, allowing financiers to adjust positions without substantial main productions or redemptions. While recent geopolitical occasions have actually led to more monetary pressure on GCC countries, the area stays durable and well capitalized to handle the scenario.
In January, Boreas introduced its S&P Global High-end UCITS ETF, adding a niche thematic direct exposure focused on worldwide high-end and customer brands. ETFs by the CMA for cross-listing on ADX.
Q1 2026 revealed some development relating to ETFs in the GCC. We anticipate more global and thematic ETFs to list in the GCC throughout 2026. While the conflict has actually impacted sentiment and costs during the quarter, it has driven more volume and interest in regional properties.
Despite ongoing geopolitical stress and security dangers across the Middle East, the economies of the Gulf Cooperation Council (GCC) have actually continued to show resilience, preserving favorable development momentum in the last few years. While conflicts in the wider region and worldwide financial uncertainty stay a structural restraint, GCC countries have actually so far limited their impact on domestic financial performance through strong fiscal 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 development predicted to increase from 1.7 percent in 2024 to 3.3 percent on average in 2025, reflecting a shift toward more favorable general conditions.
How to Successfully Implement Future Strategies for 2026The IMF's World Economic Outlook (October 2025) jobs worldwide development easing 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 contrast, a 4.44.5 percent GCC expansion would put the region 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 relatively high-growth pocketprovided that regional threat conditions remain consisted of and reform momentum holds.
Data from the GCC Statistical Center show that non-oil sectors already represent more than 73 percent of overall GDP, a share that has actually continued to increase as governments broaden financial investment in services, facilities, and innovation. According to Oxford Economics, non-energy activity throughout the GCC is projected to grow by around 4.1 percent in 2026, supported by strong labor markets, improving credit conditions, and increasing investment in technology and AI-related infrastructure.
Public-sector financial investment and reform stay central to sustaining this trend. Policy procedures focused on bring in foreign direct financial investment, alleviating foreign ownership rules, expanding capital markets, and supporting private-sector participation continue to underpin non-oil growth and reduce the region's direct exposure to oil price volatility. While hydrocarbons no longer dominate the growth outlook, oil earnings are expected to play a helpful role 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 likewise sees momentum improving, with GCC output development projected to increase from 1.7 percent in 2024 to 3.3 percent typically in 2025, reflecting a shift towards more favorable general conditions.
The IMF's World Economic Outlook (October 2025) tasks international growth easing to 3.1 percent in 2026, with innovative 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 position 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 reasonably high-growth pocketprovided that regional threat conditions stay contained and reform momentum holds.

Data from the GCC Statistical Center show that non-oil sectors already account for more than 73 percent of total GDP, a share that has actually continued to rise as federal governments expand 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, improving credit conditions, and rising financial investment in innovation and AI-related facilities.
How to Successfully Implement Future Strategies for 2026Public-sector investment and reform stay central to sustaining this pattern. Policy steps focused on bring in foreign direct investment, reducing foreign ownership rules, broadening capital markets, and supporting private-sector involvement continue to underpin non-oil growth and decrease the area's exposure to oil price volatility. While hydrocarbons no longer control the development outlook, oil earnings are anticipated to play a helpful function in 2026.
Latest Posts

Leveraging Market Research to Effectively Drive Strategic Growth

Corporate Strategy for GCC Excellence

Ways to Leverage Market Research for 2026 Success