Advantages of Scaling Manufacturing Projects in the Middle East thumbnail

Advantages of Scaling Manufacturing Projects in the Middle East

Published Aug 18, 26
5 min read


Oct 2019 Walid Majdalani, Head of Investcorp Private Equity MENA business, lays out the attractive chances of purchasing GCC Infrastructure, driven by the region's growth and federal government efforts.

Diversification is attain a balanced economy,, Diversity visions and methods exist. The overall Global EDI is composed of tracking.

Analysing the 2026 GCC Economic Projection

For non-diversified countries, when rate of the product falls, there is a significant decrease in federal government revenue, public costs, current account balance and worldwide reserves: more volatility. The (including major commodity exporters, not limited to simply oil) over the, across 25 indicators (consisting of 3 digital signs). North America, Western Europe and East Asia Pacific nations leading EDI scores throughout the years.

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


Despite the fact that structural reforms and diversity efforts undertaken by the GCC impacted MENA's regional ratings positively, it still lags five other regional groups., with the leading 10 countries having less than a 10-point distinction in scores (implying the strength of diversification)., alongside four upper-middle income (China, Mexico, Turkey and Thailand) and one lower middle-income country (India, ranked 20th, driven by its services export boom).

Among the e. nations ranked 51 to 70, the performance of Moldova, Indonesia, Armenia and Honduras stand apart (when comparing 2024 vs 2000). years, offered accelerated diversity plans of numerous oil-exporting countries. published a steady improvement due to a mix of reduced dependence on fuel exports, decreased exports concentration and a modification in the composition of exports.

Strategies for Capital Diversification for 2026 World Markets

with oil exporters having the lowest ratings (though individual country-specific performance has varied in 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 mean rating is the for both 2000 and 2024, and the greatest in North America.

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

Sub-Saharan African nations account for 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 actually been an (from 90.3 in 2000-04 to 92.6 and 92.3 in the five years pre- and post-pandemic ).

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


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

reveals a considerable boost in typical 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 arrangements & non-oil exports push). vs its pre-pandemic reading (partly provided the surge in medium & high-tech manufacturing data).

Key Factors Shaping GCC Economic Forecasts for 2026

Its diversity metrics have stagnated, showing the least enhancement in between the preliminary (2000-04) and last (2020-24) referral periods., regardless of the headwinds of OPEC+ production cuts. A robust non-hydrocarbon expansion was supported by the GCC's robust domestic need (supported by a strong project pipeline and implementation) and strong services sector efficiency.

Kuwait and Saudi Arabia clocked in an increase in non-hydrocarbon earnings, "mainly showing non-hydrocarbon tax base growths and earnings collection effectiveness improvements", according to the IMF. In the existing geopolitical environment defined by magnifying, it is in the finest interests of product dependent countries 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 two together representing over 40% of the overall). Consisting of, there has actually been an (from 90.3 in 2000-04 to 92.6 and 92.3 in the five years pre- and post-pandemic ).

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 rose 17 ranks throughout the period. The trapped or even worse off countries are some parts of Latin America and Sub-Saharan Africa where structural transformation has actually stalled.

Comparing GCC Capital Climates vs Global Markets

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

Its diversity metrics have stagnated, revealing the least improvement between the preliminary (2000-04) and final (2020-24) recommendation periods., despite the headwinds of OPEC+ production cuts. A robust non-hydrocarbon expansion was supported by the GCC's robust domestic demand (supported by a strong job pipeline and implementation) and strong services sector performance.

Kuwait and Saudi Arabia clocked in a boost in non-hydrocarbon revenue, "mainly showing non-hydrocarbon tax base growths and profits collection efficiency enhancements", according to the IMF. In the existing geopolitical environment defined by intensifying, it remains in the very best interests of commodity dependent nations to diversify its export base, exports and trade partners.

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