Strategic Planning for Regional Success

The sector likewise dealt with wider macro headwinds, including a more cautious policy backdrop in China and global risk-off sentiment driven by geopolitical tensions and greater energy rates. Thematic ETFs Struggled for the most part, particularly those connected to carbon and high-growth innovation, as assessment pressures and international rate dynamics weighed on performance.

The petrochemical ETF substantially outperformed. Circulations in Q1 2026 were modest and highly concentrated, showing selective allocation rather than broad market participation. Regardless of weak efficiency, ETFs tape-recorded $27.1 million in net inflows, with only a small number of products bring in brand-new capital. This indicates that financiers were targeting particular direct exposures, while lowering or turning out of others.

Trading activity remained stable, with average 30-day volumes around 33,000 shares, concentrated in a handful of larger and more liquid ETFs. The majority of activity appears to have actually taken location in the secondary market, enabling investors to adjust positions without substantial primary developments or redemptions.

In January, Boreas released its S&P Global High-end UCITS ETF, including a specific niche thematic direct exposure focused on international luxury and consumer brand names. Momentum continued into April with the approval of KraneShares AGIX and KWIN ETFs by the CMA for cross-listing on ADX. These funds are anticipated to release in April pending a final approval from ADX.

Q1 2026 showed some development associating with ETFs in the GCC. We anticipate more global and thematic ETFs to list in the GCC throughout 2026. While the dispute has impacted belief and prices during the quarter, it has actually driven more volume and interest in local possessions.

How Does Operational Excellence Crucial for Future Expansion?

Despite continuous geopolitical tensions and security threats across the Middle East, the economies of the Gulf Cooperation Council (GCC) have actually continued to show strength, preserving positive development momentum in current years. While conflicts in the wider area and international economic uncertainty stay a structural constraint, GCC nations have actually up until now limited their effect on domestic economic performance through strong fiscal positions, policy continuity, and sustained financial investment.

3.2 percent development in 2025, accelerating to 4.5 percent in 2026. Sees momentum improving, with GCC output development projected to rise from 1.7 percent in 2024 to 3.3 percent on average in 2025, showing a shift toward more positive total conditions.

The IMF's World Economic Outlook (October 2025) projects worldwide growth reducing to 3.1 percent in 2026, with sophisticated economies around 1.5 percent and emerging market and developing economies simply above 4 percent. On that comparison, 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, reinforcing the GCC's status as a fairly high-growth pocketprovided that regional danger conditions remain included and reform momentum holds.

Comparing Modern Models Versus Legacy Frameworks

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

Public-sector investment and reform remain main to sustaining this trend. Policy measures focused on drawing in foreign direct financial investment, relieving foreign ownership rules, broadening capital markets, and supporting private-sector involvement continue to underpin non-oil expansion and minimize the area's direct exposure to oil cost volatility. While hydrocarbons no longer control the growth outlook, oil revenues are expected to play a helpful function in 2026.

3.2 percent growth in 2025, speeding up to 4.5 percent in 2026. Sees momentum improving, with GCC output development predicted to rise from 1.7 percent in 2024 to 3.3 percent on average in 2025, reflecting a shift towards more positive overall conditions.

The IMF's World Economic Outlook (October 2025) projects international development relieving to 3.1 percent in 2026, with innovative economies around 1.5 percent and emerging market and establishing economies simply above 4 percent. On that contrast, a 4.44.5 percent GCC growth would put 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 reasonably high-growth pocketprovided that local risk conditions stay included and reform momentum holds.

ANSR July GCC PRs 50DR+

Driving Corporate Growth Within Dubai and the GCC

Information from the GCC Statistical Center show that non-oil sectors currently account for 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 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.

Public-sector investment and reform stay central to sustaining this trend. Policy measures aimed at attracting foreign direct investment, relieving foreign ownership rules, broadening capital markets, and supporting private-sector participation continue to underpin non-oil expansion and reduce the region's direct exposure to oil rate volatility. While hydrocarbons no longer dominate the growth outlook, oil earnings are anticipated to play a helpful role in 2026.