Advanced Planning for Middle East Leadership

The sector also faced more comprehensive macro headwinds, consisting of a more mindful policy backdrop in China and international risk-off sentiment driven by geopolitical tensions and higher energy costs. Thematic ETFs likewise had a hard time for the a lot of part, particularly those linked to carbon and high-growth technology, as evaluation pressures and global rate characteristics weighed on performance.

The petrochemical ETF considerably outshined. Flows in Q1 2026 were modest and highly concentrated, showing selective allocation instead of broad market participation. Regardless of weak performance, ETFs taped $27.1 million in net inflows, with just a little number of items drawing in brand-new capital. This shows that financiers were targeting specific exposures, while lowering or rotating 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. The majority of activity appears to have actually taken location in the secondary market, making it possible for financiers to change positions without considerable primary developments or redemptions.

In January, Boreas released its S&P Global High-end UCITS ETF, adding a specific niche thematic direct exposure focused on worldwide high-end and customer brand names. ETFs by the CMA for cross-listing on ADX.

Q1 2026 showed some progress relating to ETFs in the GCC. We expect more global and thematic ETFs to list in the GCC during 2026. While the dispute has actually impacted belief and rates during the quarter, it has actually driven more volume and interest in local assets.

Advanced Strategy for Regional Success

Despite ongoing geopolitical tensions and security threats throughout the Middle East, the economies of the Gulf Cooperation Council (GCC) have actually continued to demonstrate strength, maintaining positive growth momentum recently. While conflicts in the wider region and international economic uncertainty stay a structural restriction, GCC nations have up until now restricted their effect on domestic economic performance through strong fiscal positions, policy continuity, and sustained investment.

The World Bank, on the other hand, tasks 3.2 percent growth in 2025, speeding up to 4.5 percent in 2026. The IMF Sees momentum improving, with GCC output growth projected to rise from 1.7 percent in 2024 to 3.3 percent on average in 2025, reflecting a shift towards more favorable total conditions.

The IMF's World Economic Outlook (October 2025) jobs worldwide 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 put the area 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 relatively high-growth pocketprovided that regional danger conditions remain contained and reform momentum holds.

Advanced Strategy for Middle East Excellence

Information from the GCC Statistical Center show that non-oil sectors currently represent 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 throughout the GCC is predicted to grow by around 4.1 percent in 2026, supported by strong labor markets, enhancing credit conditions, and rising financial investment in innovation and AI-related infrastructure.

Public-sector investment and reform stay central to sustaining this trend. Policy measures targeted at bring in foreign direct investment, alleviating foreign ownership rules, broadening capital markets, and supporting private-sector participation continue to underpin non-oil growth and reduce the region's direct exposure to oil cost volatility. While hydrocarbons no longer dominate the development outlook, oil profits are anticipated to play a supportive role in 2026.

The World Bank, on the other hand, projects 3.2 percent development in 2025, speeding up to 4.5 percent in 2026. The IMF likewise sees momentum improving, with GCC output development projected to increase 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 international development easing to 3.1 percent in 2026, with advanced 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 somewhat above (or broadly in line with) the emerging-market aggregate, strengthening the GCC's status as a fairly high-growth pocketprovided that regional danger conditions stay consisted of and reform momentum holds.

ANSR July GCC PRs 50DR+

Corporate Strategy for Middle East Success

Information from the GCC Statistical Center show that non-oil sectors already account for more than 73 percent of overall GDP, a share that has continued to rise as governments broaden financial investment in services, facilities, and innovation. 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 investment in innovation and AI-related infrastructure.

Public-sector financial investment and reform stay central to sustaining this pattern. Policy procedures focused on drawing in foreign direct financial investment, relieving foreign ownership rules, expanding capital markets, and supporting private-sector involvement continue to underpin non-oil expansion and decrease the region's exposure to oil rate volatility. While hydrocarbons no longer control the growth outlook, oil incomes are expected to play a supportive role in 2026.