Accelerating Dubai Industrial Expansion through Strategy

Instead of marking a cyclical rebound, 2026 is progressively deemed a combination year, in which diversification-led growth ends up being more deeply ingrained in the area's financial model, minimizing dependence on hydrocarbons and increasing durability to external shocks. Forecasts from major organizations broadly assemble on a more powerful GCC growth profile in 2026 than in 2025, supported by resilient domestic demand, continued non-oil expansion, and (to varying degrees) a firmer hydrocarbon contribution.

ANSR July GCC PRs 50DR+

3.2 percent development in 2025, accelerating to 4.5 percent in 2026. Sees momentum improving, with GCC output development projected to increase from 1.7 percent in 2024 to 3.3 percent on average in 2025, reflecting a shift towards more favorable total conditions.

The IMF's World Economic Outlook (October 2025) jobs global development alleviating to 3.1 percent in 2026, with sophisticated economies around 1.5 percent and emerging market and establishing economies just above 4 percent. On that comparison, a 4.44.5 percent GCC growth would put the area materially ahead of the world average and a little above (or broadly in line with) the emerging-market aggregate, strengthening the GCC's status as a fairly high-growth pocketprovided that regional risk conditions remain contained and reform momentum holds.

Information from the GCC Statistical Center show that non-oil sectors already account for more than 73 percent of overall GDP, a share that has continued to rise as governments broaden financial investment in services, infrastructure, and innovation. According to Oxford Economics, non-energy activity throughout the GCC is predicted to grow by around 4.1 percent in 2026, supported by strong labor markets, improving credit conditions, and increasing financial investment in technology and AI-related facilities.

ANSR July GCC PRs 50DR+

Reviewing New GCC Research for Future Insights

Public-sector financial investment and reform remain main to sustaining this trend. Policy steps intended at drawing in foreign direct financial investment, alleviating foreign ownership guidelines, broadening capital markets, and supporting private-sector involvement continue to underpin non-oil expansion and decrease the area's direct exposure to oil rate volatility. While hydrocarbons no longer control the growth outlook, oil profits are anticipated to play a supportive function in 2026.

Oxford Economics anticipates Brent crude costs to fall listed below USD 60 per barrel in early 2026, limiting the near-term contribution of oil extraction to GDP. However, oil supply is forecast to increase once again in the second half of the year, with a full unwinding of remaining production caps likely by mid-2027.

ANSR July GCC PRs 50DR+

Macroeconomic conditions throughout the GCC remain broadly encouraging of growth. Inflation is anticipated to remain low, with the IMF forecasting average inflation of 2 percent throughout the area in 2026. Steady rates are assisting protect real family earnings and underpin consumer costs, which Oxford Economics anticipates to grow by an average of 3.5 percent over 20262027.