Comparing Modern Models Against Traditional Frameworks

3.2 percent growth in 2025, accelerating to 4.5 percent in 2026. Sees momentum improving, with GCC output growth forecasted to increase from 1.7 percent in 2024 to 3.3 percent on average in 2025, reflecting a shift towards more favorable total conditions.

ANSR July GCC PRs 50DR+

The IMF's World Economic Outlook (October 2025) projects worldwide development reducing 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 contrast, a 4.44.5 percent GCC growth would position the region materially ahead of the world average and slightly above (or broadly in line with) the emerging-market aggregate, strengthening the GCC's status as a relatively high-growth pocketprovided that local risk conditions remain included and reform momentum holds.

Information from the GCC Statistical Center show that non-oil sectors already represent more than 73 percent of total GDP, a share that has actually continued to increase as federal governments expand investment in services, infrastructure, 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 increasing financial investment in innovation and AI-related infrastructure.

ANSR July GCC PRs 50DR+

Public-sector investment and reform stay main to sustaining this trend. Policy steps targeted at bring in foreign direct financial investment, alleviating foreign ownership rules, expanding capital markets, and supporting private-sector involvement continue to underpin non-oil growth and lower the area's exposure to oil rate volatility. While hydrocarbons no longer control the development outlook, oil earnings are anticipated to play an encouraging role in 2026.