Driving Dubai Industrial Growth through Innovation

Rather than marking a cyclical rebound, 2026 is progressively viewed as a debt consolidation year, in which diversification-led growth ends up being more deeply embedded in the area's financial model, reducing dependence on hydrocarbons and increasing strength to external shocks. Forecasts from major institutions broadly converge on a more powerful GCC development profile in 2026 than in 2025, supported by durable domestic need, continued non-oil growth, 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 growth predicted to increase from 1.7 percent in 2024 to 3.3 percent on average in 2025, reflecting a shift towards more positive general conditions.

The IMF's World Economic Outlook (October 2025) tasks global growth alleviating to 3.1 percent in 2026, with advanced 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 region materially ahead of the world average and slightly above (or broadly in line with) the emerging-market aggregate, reinforcing the GCC's status as a relatively high-growth pocketprovided that local danger conditions stay included and reform momentum holds.

Data from the GCC Statistical Center reveal that non-oil sectors already represent more than 73 percent of overall GDP, a share that has continued to increase as federal governments broaden investment in services, facilities, and innovation. 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 technology and AI-related infrastructure.

ANSR July GCC PRs 50DR+

Navigating the 2026 GCC Corporate Landscape

Public-sector investment and reform remain central to sustaining this trend. Policy measures focused on drawing in foreign direct financial investment, easing foreign ownership guidelines, expanding capital markets, and supporting private-sector involvement continue to underpin non-oil growth and reduce the area's exposure to oil price 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 prices to fall below USD 60 per barrel in early 2026, restricting the near-term contribution of oil extraction to GDP. Nevertheless, oil supply is forecast to rise once again in the 2nd half of the year, with a complete unwinding of staying production caps most likely by mid-2027.

ANSR July GCC PRs 50DR+

Macroeconomic conditions across the GCC stay broadly supportive of development. Inflation is expected to stay low, with the IMF forecasting typical inflation of 2 percent across the area in 2026. Steady costs are helping preserve real family earnings and underpin consumer costs, which Oxford Economics expects to grow by an average of 3.5 percent over 20262027.