Analyzing GCC Equity Market Trends through 2026 thumbnail

Analyzing GCC Equity Market Trends through 2026

Published Aug 25, 26
5 min read


Oct 2019 Walid Majdalani, Head of Investcorp Private Equity MENA service, details the appealing chances of investing in GCC Infrastructure, driven by the area's growth and federal government efforts.

Diversity is accomplish a well balanced economy,, Diversification visions and strategies exist. There were and The, by creating an index with no qualitative/perceptions indications. The overall Global EDI is composed of tracking. As commodity exporters diversify, lower their dependence on resource rents and potentially score a higher score on the EDI.

Accelerating Middle East Sectoral Expansion for Growth

For non-diversified countries, when price of the commodity falls, there is a considerable decline in government earnings, public costs, current account balance and global reserves: more volatility. The (consisting of major commodity exporters, not restricted to just oil) over the, across 25 indications (including 3 digital indicators). North America, Western Europe and East Asia Pacific nations leading EDI ratings throughout the years.

ANSR July GCC PRs 50DR+ANSR July GCC PRs 50DR+


Even though structural reforms and diversity efforts carried out by the GCC affected MENA's local ratings favorably, it still lags five other regional groups., with the top 10 nations having less than a 10-point difference in ratings (suggesting the strength of diversity)., alongside 4 upper-middle earnings (China, Mexico, Turkey and Thailand) and one lower middle-income country (India, ranked 20th, driven by its services export boom).

Among the e. countries ranked 51 to 70, the performance of Moldova, Indonesia, Armenia and Honduras stick out (when comparing 2024 vs 2000). years, given sped up diversification plans of many oil-exporting nations. published a constant enhancement due to a mix of lowered dependence on fuel exports, decreased exports concentration and a change in the structure of exports.

Optimizing Investment Strategies for Next-Gen GCC Outlook

with oil exporters having the most affordable scores (though private country-specific performance has actually varied with time). Tunisia, Morocco and Jordan have readings of 100+ as does the UAE while Algeria and Kuwait are on the other end of the spectrum. Across all areas, the average score is the for both 2000 and 2024, and the highest in North America.

In 2024, the (China was among the top ranked, while Mongolia's score aggravated compared to 2000)., however more to do with a "levelling up" at the bottom rather than an improvement among the leading nations. By comparing the (height of the blue box), least irregularity is seen in South Asia in 2000 and the most in the MENA area (with variance most likely driven by the dichotomy within the area between the resource-heavy states (e.g.

Sub-Saharan African nations represent around one-third of the overall, followed by Latin America and the Middle East (the latter 2 together accounting for over 40% of the overall). Including, there has been an (from 90.3 in 2000-04 to 92.6 and 92.3 in the 5 years pre- and post-pandemic ).

ANSR July GCC PRs 50DR+ANSR July GCC PRs 50DR+


and ranked greater than others; UAE is up more than 45 locations in 2024 compared to 2000 while Qatar climbed 24; both Saudi Arabia and Oman increased 17 ranks throughout the period. The caught or worse off nations are some parts of Latin America and Sub-Saharan Africa where structural change has actually stalled.

shows a considerable increase in average EDI scores from 86.8 in 2000-04 to 92.6 in 2020-24, (up more than 10 points in the initial duration versus 2020-24). with UAE outperforming in the trade sub-index (supported by current bilateral trade contracts & non-oil exports push). vs its pre-pandemic reading (partially given the rise in medium & high-tech manufacturing information).

Frameworks for Asset Diversification for 2026 World Markets

Its diversity metrics have stagnated, revealing the least enhancement in between the preliminary (2000-04) and final (2020-24) referral periods., in spite of the headwinds of OPEC+ production cuts. A robust non-hydrocarbon growth was supported by the GCC's robust domestic need (supported by a strong job pipeline and application) and strong services sector efficiency.

Kuwait and Saudi Arabia clocked in a boost in non-hydrocarbon income, "mostly reflecting non-hydrocarbon tax base growths and profits collection effectiveness enhancements", according to the IMF. In the current geopolitical environment defined by intensifying, it is in the finest interests of product reliant nations to diversify its export base, exports and trade partners.

Sub-Saharan African nations represent around one-third of the total, followed by Latin America and the Middle East (the latter 2 together accounting for over 40% of the overall). Including, there has been an (from 90.3 in 2000-04 to 92.6 and 92.3 in the 5 years pre- and post-pandemic ).

and ranked higher than others; UAE is up more than 45 locations in 2024 compared to 2000 while Qatar climbed 24; both Saudi Arabia and Oman increased 17 ranks throughout the duration. The trapped or worse off nations are some parts of Latin America and Sub-Saharan Africa where structural transformation has stalled.

Is the Middle East Becoming Primary Investment Powerhouse?

reveals a significant increase in average EDI ratings from 86.8 in 2000-04 to 92.6 in 2020-24, (up more than 10 points in the preliminary period versus 2020-24). with UAE outshining in the trade sub-index (supported by current bilateral trade contracts & non-oil exports push). vs its pre-pandemic reading (partially given the rise in medium & state-of-the-art production information).

Its diversity metrics have actually stagnated, showing the least improvement between the initial (2000-04) and final (2020-24) reference periods., despite the headwinds of OPEC+ production cuts. A robust non-hydrocarbon expansion was supported by the GCC's robust domestic need (supported by a strong task pipeline and execution) and strong services sector performance.

Key Equity Market Insights for Regional Growth

Kuwait and Saudi Arabia clocked in a boost in non-hydrocarbon earnings, "primarily showing non-hydrocarbon tax base expansions and income collection efficiency improvements", according to the IMF. In the current geopolitical environment defined by heightening, it is in the very best interests of product reliant nations to diversify its export base, exports and trade partners.

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