All Categories
Featured
Table of Contents
The sector also faced more comprehensive macro headwinds, consisting of a more cautious policy background in China and international risk-off belief driven by geopolitical stress and higher energy prices. Thematic ETFs likewise had a hard time for the many part, particularly those linked to carbon and high-growth technology, as appraisal pressures and international rate dynamics weighed on performance.
The petrochemical ETF substantially surpassed. Circulations in Q1 2026 were modest and extremely concentrated, reflecting selective allowance rather than broad market involvement. In spite of weak efficiency, ETFs taped $27.1 million in net inflows, with only a small number of items attracting new capital. This suggests that investors were targeting particular exposures, while minimizing or turning out of others.
Trading activity stayed consistent, with typical 30-day volumes around 33,000 shares, focused in a handful of larger and more liquid ETFs. Many activity appears to have actually happened in the secondary market, enabling financiers to adjust positions without considerable primary developments or redemptions. While current geopolitical events have resulted in more financial pressure on GCC countries, the area stays durable and well capitalized to handle the circumstance.
In January, Boreas launched its S&P Global High-end UCITS ETF, adding a specific niche thematic exposure focused on international luxury and consumer brands. ETFs by the CMA for cross-listing on ADX.
Q1 2026 showed some development associating with ETFs in the GCC. We expect more worldwide and thematic ETFs to list in the GCC throughout 2026. While the conflict has impacted belief and costs throughout the quarter, it has driven more volume and interest in local properties.
Despite ongoing geopolitical stress and security threats throughout the Middle East, the economies of the Gulf Cooperation Council (GCC) have actually continued to demonstrate resilience, preserving favorable growth momentum over the last few years. While disputes in the broader region and global economic uncertainty remain a structural restraint, GCC nations have actually up until now limited their effect on domestic financial efficiency through strong fiscal positions, policy continuity, and continual financial investment.
3.2 percent growth in 2025, accelerating to 4.5 percent in 2026. Sees momentum improving, with GCC output growth predicted to rise from 1.7 percent in 2024 to 3.3 percent on average in 2025, showing a shift towards more favorable overall conditions.
Driving Organizational Change in the 2026 GCCThe IMF's World Economic Outlook (October 2025) jobs international development alleviating to 3.1 percent in 2026, with innovative economies around 1.5 percent and emerging market and developing economies just above 4 percent. On that comparison, a 4.44.5 percent GCC growth would place 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 relatively high-growth pocketprovided that local danger conditions remain consisted of and reform momentum holds.
Data from the GCC Statistical Center show that non-oil sectors currently represent more than 73 percent of total GDP, a share that has actually continued to increase as governments expand investment in services, infrastructure, and technology. According to Oxford Economics, non-energy activity across the GCC is forecasted 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.
Public-sector investment and reform remain main to sustaining this trend. Policy measures focused on drawing in foreign direct investment, reducing foreign ownership rules, broadening capital markets, and supporting private-sector participation continue to underpin non-oil growth and decrease the area's exposure to oil cost volatility. While hydrocarbons no longer control the development outlook, oil incomes are anticipated to play an encouraging function in 2026.
3.2 percent growth in 2025, accelerating to 4.5 percent in 2026. Sees momentum improving, with GCC output growth predicted to rise from 1.7 percent in 2024 to 3.3 percent on average in 2025, reflecting a shift towards more favorable general conditions.
The IMF's World Economic Outlook (October 2025) tasks worldwide growth easing 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 region 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 local risk conditions remain consisted of and reform momentum holds.
Information from the GCC Statistical Center reveal that non-oil sectors already represent more than 73 percent of total GDP, a share that has continued to rise as governments expand investment in services, facilities, and technology. According to Oxford Economics, non-energy activity across the GCC is forecasted to grow by around 4.1 percent in 2026, supported by strong labor markets, improving credit conditions, and increasing financial investment in innovation and AI-related facilities.
Public-sector investment and reform remain central to sustaining this pattern. Policy measures aimed at drawing in foreign direct financial investment, relieving foreign ownership rules, broadening capital markets, and supporting private-sector participation continue to underpin non-oil expansion and lower the region's direct exposure to oil price volatility. While hydrocarbons no longer control the development outlook, oil profits are anticipated to play a helpful role in 2026.
Latest Posts
Ways to Leverage GCC Research for 2026 Growth
Bridging Policy and Operational Excellence in the Middle East
Unlocking Process Excellence in the Industrial Landscape
