Why Does Operational Excellence Vital for 2026 Growth?

The sector also dealt with broader macro headwinds, including a more mindful policy backdrop in China and worldwide risk-off sentiment driven by geopolitical tensions and higher energy rates. Thematic ETFs Struggled for the most part, particularly those connected to carbon and high-growth technology, as assessment pressures and global rate characteristics weighed on performance.

Flows in Q1 2026 were modest and extremely concentrated, reflecting selective allocation rather than broad market participation. Despite weak efficiency, ETFs tape-recorded $27.1 million in net inflows, with just a small number of products attracting brand-new capital.

Trading activity remained steady, with typical 30-day volumes around 33,000 shares, focused in a handful of larger and more liquid ETFs. Many activity appears to have taken place in the secondary market, enabling financiers to adjust positions without significant primary productions or redemptions.

In January, Boreas released its S&P Global High-end UCITS ETF, including a specific niche thematic direct exposure concentrated on international high-end and customer 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 introduce in April pending a last approval from ADX.

Q1 2026 revealed some progress connecting to ETFs in the GCC. We expect more international and thematic ETFs to list in the GCC during 2026. While the conflict has affected sentiment and prices during the quarter, it has driven more volume and interest in local assets.

Achieving Operational Excellence in the GCC

Regardless of ongoing geopolitical tensions and security threats throughout the Middle East, the economies of the Gulf Cooperation Council (GCC) have continued to demonstrate resilience, maintaining favorable growth momentum recently. While disputes in the broader region and worldwide economic unpredictability stay a structural constraint, GCC nations have actually up until now limited their influence on domestic financial performance through strong financial positions, policy connection, and continual investment.

The World Bank, on the other hand, projects 3.2 percent growth in 2025, speeding up to 4.5 percent in 2026. The IMF 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 toward more positive total conditions.

The IMF's World Economic Outlook (October 2025) projects global development alleviating 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 comparison, a 4.44.5 percent GCC expansion would position 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 reasonably high-growth pocketprovided that local risk conditions remain contained and reform momentum holds.

Boosting ROI Using Data-Driven Middle East Market Analysis

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 financial investment in services, facilities, and technology. According to Oxford Economics, non-energy activity throughout the GCC is forecasted to grow by around 4.1 percent in 2026, supported by strong labor markets, improving credit conditions, and rising investment in technology and AI-related infrastructure.

Public-sector investment and reform remain main to sustaining this pattern. Policy procedures targeted 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 decrease the area's exposure to oil rate volatility. While hydrocarbons no longer control the development outlook, oil incomes are expected to play a helpful role in 2026.

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

The IMF's World Economic Outlook (October 2025) tasks international development 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 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 regional risk conditions remain contained and reform momentum holds.

ANSR July GCC PRs 50DR+

How Does Business Excellence Essential for 2026 Growth?

Information from the GCC Statistical Center show that non-oil sectors already represent more than 73 percent of total GDP, a share that has continued to rise as federal governments expand financial investment in services, facilities, and technology. According to Oxford Economics, non-energy activity throughout 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 technology and AI-related facilities.

Public-sector financial investment and reform stay central to sustaining this trend. Policy procedures aimed at bring in foreign direct financial investment, easing foreign ownership rules, broadening capital markets, and supporting private-sector involvement continue to underpin non-oil growth and minimize the area's exposure to oil price volatility. While hydrocarbons no longer dominate the development outlook, oil earnings are anticipated to play a supportive function in 2026.