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To reverse a decade of compromising overall aspect performance, regional labour market policy is moving from simple task development to managing active workforce shifts. Federal governments and companies are scaling short, modular training programmes and micro-credentials in information analytics and digital operations to equip workers for emerging roles. Workplace-based knowing and apprenticeship-style paths are becoming more common as firms integrate AI tools into daily workflows.
With oil costs forecasted to average $55-60 per barrel in 2026, local federal governments are magnifying their focus on expense discipline and private capital mobilisation. Fiscal policy is pivoting toward the monetisation of state-owned possessions in logistics, energies, and desalination to redirect funds toward higher-impact investments. While loaning via sukuk and sustainability-linked bonds is anticipated to increase to fund strategic deficits, the focus remains on enhancing non-oil revenue frameworks.
PwC Middle East financial policy and technique partner Jing Teow said: "Having currently mobilised capital and policy at scale, GCC federal governments are now concentrated on shipment. In 2026, the priority is enhancing financial durability through more protected trade and investment relationships, efficient AI release, managed workforce shifts and disciplined financial policy in a more difficult and fragmented global environment.".

Saudi Arabia and UAE are poised to lead the Gulf region's financial growth in 2026, supported by strong private-sector performance, resilient domestic need and renewed financial investment momentum, according to the most recent ICAEW Economic Insight Q4 2025 report, produced by Oxford Economics. The GCC is expected to outperform most international areas peers next year, with regional GDP forecast to grow by 4.4%. Across the GCC, non-energy activity is forecasted to broaden by 4.1% in 2026, driven by strong labour markets, enhancing credit conditions and increasing financial investment in innovation and AI-related infrastructure.
Oil incomes will be under pressure in the first half of 2026, production is anticipated to rise once again in the 2nd half of 2026, supporting the area's medium-term outlook, it stated. Saudi Arabia will stay a major factor to GCC momentum, with GDP forecast to grow 4.3% in 2026.

Growth will be supported by industrial growth and policy reforms, consisting of eased foreign ownership guidelines that aim to promote further investment. The fiscal deficit is projected to expand to 5.6% of GDP next year amid softer oil costs, while the current five-year lease freeze in Riyadh aims to alleviate inflationary pressures, though it might constrain future real estate supply.
Strong domestic fundamentalsThe UAE is likewise placed for another strong year of performance, with GDP forecast to increase 5.6% in 2026 as non-oil sectors continue to expand. Tourist, trade and monetary services stay crucial growth chauffeurs, supported by population development and continual domestic need. Dubai's economy grew 4.4% in the first half of 2025, showing broad-based non-oil strength.

Oil production is anticipated to select up once again in the 2nd half of 2026, matching continuous investment in facilities, innovation and international trade collaborations. Hanadi Khalife, the Head of Middle East, ICAEW, stated: "This quarter's outlook strengthens how far the GCC has come in structure varied, resistant and globally competitive economies.
Methods for Scaling Regional Strategy in 2026Scott Livermore, ICAEW Economic Advisor, and Chief Financial Expert and Handling Director, Oxford Economics Middle East, said: "Saudi Arabia and the UAE are going into 2026 with strong structures. Saudi non-oil activity is gaining speed, supported by robust demand and rising investment, even as fiscal pressures increase.""The UAE continues to benefit from solid domestic fundamentals, a sharp uplift in federal government spending and sustained diversification efforts.
What identifies 2026 from preceding years is not simply the velocity of technological modification, though that velocity is real, however rather a fundamental shift in how business conceive of their GCCs' function. The is expected to grow to four hundred thirteen billion dollars by 2040, however this growth masks a more profound improvement.
Instead, they ask whether these centers drive innovation, own profit-and-loss duty, and contribute to competitive distinction. In 2026, the most effective GCCs will behave like internal start-ups, nimble, cross-functional, insight-driven, and deeply lined up with worldwide service outcomes. This shift from execution to ownership represents perhaps the single most significant tactical recalibration in the GCC model's evolution.
Today, we're assembling more than 3000 meetings between investors and 119 Gulf-listed business with a combined value of $2.4 trillion at the HSBC GCC Exchanges Conference 2026, in London. We're uniting financiers, companies, exchanges, and policymakers to discuss what is changing in the area, and what comes next, consisting of the growth and continuous advancement of the Gulf's capital markets, and the region's growing role in global networks of capital and trade.
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