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Company news and financial news, analysis, opinion and statistics covering the 6 Gulf Corporation Council members Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the UAE

ANSR July GCC PRs 50DR+

Economic growth across the Gulf Cooperation Council (GCC) is set to speed up in 2026, with the region projected to outperform its 2025 performance regardless of soft oil profits and ongoing global unpredictabilities. According to a brand-new Oxford Economics research study rundown, GCC GDP growth is anticipated to rise to 4.4 per cent in 2026, up from 4 per cent in 2025, showing a resistant nonenergy sector, strong customer dynamics, and slowly enhancing oil output.

The latest projections suggest that Gulf economies are now wellpositioned to regain momentum, buoyed by strengthening domestic need and a broadly consistent worldwide background. The report highlights GCC customers as a major driver of the region's economic performance heading into next year. Low inflation, robust labour markets, and growing genuine disposable earnings are expected to sustain a surge in customer spending throughout the Gulf.

Credit growth is also anticipated to stay raised as access to monetary services expands. With GCC reserve banks anticipated to follow awaited US Federal Reserve rate cuts due to the area's dollar pegs, obtaining expenses are most likely to decrease, providing households and organizations further motivation to invest and invest. While the nonoil sector continues to anchor the area's resilience, the GCC's hydrocarbon outlook provides a combined photo.

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This might weigh on firsthalf development, especially for economies more based on oil extraction. Nevertheless, Oxford Economics projects a rebound later on in 2026, with Opec+ members expected to resume raising production as stocks tighten up and international demand enhances. Qatar, on the other hand, sticks out as a regional outperformer, with substantial expansions in gas production and exports anticipated to raise its overall economic performance.

Saudi Arabia's 2026 budget expects a 6 per cent cut in capital expenditure as the kingdom aims to narrow its financial deficit by two portion points. The report keeps in mind that these cuts may not materialise totally if countercyclical costs measures are triggered to support growth. By contrast, more diversified economies such as the UAE and Qatar are expected to continue advancing their advancement programs.

In spite of shortterm risks connected to oil rates and global need, the GCC's 2026 economic outlook is defined by strength in principles: resistant customers, robust nonenergy sectors, improving oil dynamics, and tactical fiscal planning. With these elements aligning, the area is getting ready for one of its most balanced periods of expansion over the last few years anchored by a clear upward trajectory in GDP growth.

Analysing New GCC Research for Future Insights

RIYADH: Gulf Cooperation Council local economies are expected to remain durable in 2026, driven by strong domestic need and a broadly constant worldwide economy, according to an analysis. In its newest report, Oxford Economics highlighted that the genuine gdp of the GCC area is anticipated to broaden by 4.4 percent in 2026, up from the predicted 4 percent this year.

United States trade policy under President Donald Trump has actually had no significant influence on local growth, and non-energy sectors have actually sustained their robust momentum," said Oxford Economics. It added: "Meanwhile, oil production has gradually increased, providing an increase to the area's economies. We anticipate GCC development will increase to 4.4 percent in 2026, from 4 percent this year."In November, the GCC Statistical Center stated that financial growth in the region is set to speed up to 4.3 percent by 2027, driven by expanding non-oil sectors.

ANSR July GCC PRs 50DR+

Non-oil activities represented 73.2 percent of total GDP, up from 70.6 percent at the end of 2024, highlighting the area's continued development toward diversification. According to Oxford Economics, GCC customers will be standout entertainers in 2026 and are expected to outshine their global peers. Oxford Economics stated that low inflation has actually helped safeguard growth in real disposable income, which has also been supported by strong demand and very low joblessness rates."We do not picture any let-up, as federal governments continue to press for greater foreign direct financial investment in their push to diversify their economies far from oil and gas," the report added.

In December, the IMF further said that headline inflation is expected to stay listed below 2 percent in Bahrain, Oman, and Qatar, near to 2 percent in the Kingdom and the UAE, and slightly above 2 percent in Kuwait in 20252026. According to Oxford Economics, credit development is expected to stay elevated in the GCC region throughout 2026, as access to financial services is expected to grow and financing is projected to be supported by more cuts in rate of interest."Owing to their currency pegs to the US dollar, GCC reserve banks are anticipated to follow the US Federal Reserve by reducing monetary policy further, which in turn will reduce debt servicing expenses and improve non reusable income and need," stated the report.