Driving Dubai Industrial Expansion through Innovation

Instead of marking a cyclical rebound, 2026 is increasingly viewed as a combination year, in which diversification-led growth becomes more deeply embedded in the area's financial design, minimizing reliance on hydrocarbons and increasing durability to external shocks. Projections from major institutions broadly converge on a more powerful GCC growth profile in 2026 than in 2025, supported by resilient domestic demand, continued non-oil expansion, and (to differing degrees) a firmer hydrocarbon contribution.

ANSR July GCC PRs 50DR+

The World Bank, on the other hand, projects 3.2 percent development in 2025, speeding up to 4.5 percent in 2026. The IMF similarly sees momentum improving, with GCC output growth predicted to rise from 1.7 percent in 2024 to 3.3 percent usually in 2025, reflecting a shift toward more favorable overall conditions.

The IMF's World Economic Outlook (October 2025) tasks global growth relieving 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 contrast, a 4.44.5 percent GCC expansion would position the area materially ahead of the world average and slightly above (or broadly in line with) the emerging-market aggregate, enhancing the GCC's status as a relatively high-growth pocketprovided that local danger conditions remain included and reform momentum holds.

Data from the GCC Statistical Center reveal that non-oil sectors already account for more than 73 percent of total GDP, a share that has continued to increase as federal governments expand investment in services, infrastructure, and technology. 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, enhancing credit conditions, and rising financial investment in technology and AI-related infrastructure.

ANSR July GCC PRs 50DR+

The Strategic Benefits of Advanced Market Intelligence

Public-sector investment and reform stay central to sustaining this pattern. Policy measures aimed at attracting foreign direct investment, easing foreign ownership guidelines, broadening capital markets, and supporting private-sector involvement continue to underpin non-oil expansion and minimize the area's direct exposure to oil price volatility. While hydrocarbons no longer dominate the development outlook, oil earnings are anticipated to play a helpful function in 2026.

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

ANSR July GCC PRs 50DR+

Macroeconomic conditions throughout the GCC stay broadly encouraging of growth. Inflation is expected to stay low, with the IMF forecasting average inflation of 2 percent across the area in 2026. Steady prices are assisting maintain real family earnings and underpin customer spending, which Oxford Economics expects to grow by approximately 3.5 percent over 20262027.