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Company news and monetary news, analysis, viewpoint and data covering the six Gulf Corporation Council members Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the UAE

Economic development throughout the Gulf Cooperation Council (GCC) is set to accelerate in 2026, with the area forecasted to exceed its 2025 performance despite muted oil incomes and ongoing worldwide unpredictabilities. According to a new Oxford Economics research study rundown, GCC GDP growth is anticipated to increase to 4.4 percent in 2026, up from 4 per cent in 2025, showing a resilient nonenergy sector, strong customer characteristics, and slowly enhancing oil output.
But the current forecasts suggest that Gulf economies are now wellpositioned to restore momentum, buoyed by strengthening domestic need and a broadly stable international background. The report highlights GCC customers as a major motorist of the area'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 customer spending across the Gulf.
GCC Business Outlook and Growth PlanningCredit development is also anticipated to stay raised as access to monetary services broadens. With GCC central banks expected to follow anticipated US Federal Reserve rate cuts due to the region's dollar pegs, obtaining expenses are likely to decline, offering families and businesses further incentive to spend and invest. While the nonoil sector continues to anchor the region's strength, the GCC's hydrocarbon outlook presents a combined image.
GCC Business Outlook and Growth PlanningThis might weigh on firsthalf growth, especially for economies more dependent on oil extraction. Oxford Economics predicts a rebound later in 2026, with Opec+ members anticipated to resume raising production as inventories tighten and international demand enhances. Qatar, meanwhile, sticks out as a local outperformer, with significant growths in gas production and exports expected to raise its overall economic performance.
Saudi Arabia's 2026 budget expects a 6 percent cut in capital expenditure as the kingdom intends to narrow its financial deficit by 2 portion points. The report notes that these cuts might not materialise totally if countercyclical costs procedures are activated to support development. By contrast, more diversified economies such as the UAE and Qatar are expected to continue advancing their advancement programs.
Despite shortterm dangers connected to oil rates and global need, the GCC's 2026 economic outlook is defined by strength in basics: resistant customers, robust nonenergy sectors, improving oil characteristics, and strategic financial planning. With these factors aligning, the area is preparing for one of its most well balanced periods of growth recently anchored by a clear upward trajectory in GDP development.
RIYADH: Gulf Cooperation Council regional economies are anticipated to stay durable in 2026, driven by strong domestic need and a broadly stable worldwide economy, according to an analysis. In its latest report, Oxford Economics highlighted that the real gross domestic item of the GCC region is anticipated to expand by 4.4 percent in 2026, up from the forecasted 4 percent this year.
We anticipate GCC development will increase to 4.4 percent in 2026, from 4 percent this year."In November, the GCC Statistical Center said that financial growth in the region is set to accelerate to 4.3 percent by 2027, driven by broadening non-oil sectors.
Non-oil activities represented 73.2 percent of overall GDP, up from 70.6 percent at the end of 2024, highlighting the region's ongoing progress toward diversification. According to Oxford Economics, GCC customers will be standout entertainers in 2026 and are expected to exceed their international peers. Oxford Economics stated that low inflation has assisted safeguard development in real disposable income, which has actually also been supported by strong demand and very low joblessness rates."We do not envision any let-up, as federal governments continue to promote 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 heading inflation is anticipated to remain below 2 percent in Bahrain, Oman, and Qatar, close to 2 percent in the Kingdom and the UAE, and somewhat above 2 percent in Kuwait in 20252026. According to Oxford Economics, credit growth is anticipated to stay raised in the GCC area throughout 2026, as access to monetary services is expected to grow and loaning is forecasted to be supported by further cuts in rate of interest."Owing to their currency pegs to the US dollar, GCC main banks are expected to follow the US Federal Reserve by alleviating monetary policy even more, which in turn will decrease debt maintenance costs and improve disposable income and need," said the report.
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