Optimizing Capital Strategies for Next-Gen GCC Outlook

Oct 2019 Walid Majdalani, Head of Investcorp Private Equity MENA business, outlines the attractive chances of investing in GCC Facilities, driven by the area's growth and government efforts.

Diversity is attain a well balanced economy,, Diversity visions and techniques exist. But there were and The, by creating an index with no qualitative/perceptions indicators. The general Global EDI is composed of tracking. As commodity exporters diversify, lower their dependence on resource leas and potentially score a greater score on the EDI.

For non-diversified countries, when cost of the commodity falls, there is a substantial decrease in government revenue, public costs, bank account balance and international reserves: more volatility. The (consisting of major product exporters, not limited to just oil) over the, throughout 25 indicators (consisting of three digital signs). The United States And Canada, Western Europe and East Asia Pacific countries top EDI ratings for many years.

ANSR July GCC PRs 50DR+

Despite the fact that structural reforms and diversification efforts carried out by the GCC affected MENA's regional scores positively, it still lags 5 other local groups., with the leading 10 countries having less than a 10-point distinction in ratings (implying the strength of diversification)., together with four 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 efficiency of Moldova, Indonesia, Armenia and Honduras stand apart (when comparing 2024 vs 2000). years, given accelerated diversity strategies of numerous oil-exporting countries. posted a stable enhancement due to a mix of minimized reliance on fuel exports, decreased exports concentration and a modification in the structure of exports.

How Economic Diversification Boosts GCC Growth for 2026

with oil exporters having the most affordable scores (though private country-specific efficiency has differed gradually). Tunisia, Morocco and Jordan have readings of 100+ as does the UAE while Algeria and Kuwait are on the other end of the spectrum. Throughout all areas, the average score is the for both 2000 and 2024, and the greatest in The United States and Canada.

In 2024, the (China was among the leading ranked, while Mongolia's rating worsened compared to 2000)., however more to do with a "levelling up" at the bottom rather than an improvement among the top 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 variation most likely driven by the dichotomy within the region in between the resource-heavy states (e.g.

Sub-Saharan African countries account for around one-third of the total, followed by Latin America and the Middle East (the latter two together representing 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+

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

shows a significant boost in average EDI ratings from 86.8 in 2000-04 to 92.6 in 2020-24, (up more than 10 points in the preliminary duration versus 2020-24). with UAE exceeding in the trade sub-index (supported by current bilateral trade arrangements & non-oil exports push). vs its pre-pandemic reading (partially provided the surge in medium & state-of-the-art production data).

Why Industrial Diversification Drives Middle East Stability for 2026

Its diversity metrics have actually stagnated, revealing the least enhancement 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 job pipeline and application) and strong services sector efficiency.

Kuwait and Saudi Arabia clocked in an increase in non-hydrocarbon profits, "mainly showing non-hydrocarbon tax base expansions and income collection effectiveness enhancements", according to the IMF. In the existing geopolitical environment defined by heightening, it remains in the very best interests of product reliant countries to diversify its export base, exports and trade partners.

Sub-Saharan African nations represent around one-third of the overall, followed by Latin America and the Middle East (the latter 2 together representing over 40% of the overall). Consisting of, 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 greater than others; UAE is up more than 45 locations in 2024 compared to 2000 while Qatar climbed up 24; both Saudi Arabia and Oman rose 17 ranks during the duration. The trapped or even worse off countries are some parts of Latin America and Sub-Saharan Africa where structural transformation has stalled.

Key Drivers Influencing Gulf Economic Forecasts by 2026

shows a substantial boost in average EDI ratings from 86.8 in 2000-04 to 92.6 in 2020-24, (up more than 10 points in the preliminary 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 (partially provided the rise in medium & state-of-the-art production data).

Its diversification metrics have actually stagnated, showing the least enhancement between the initial (2000-04) and last (2020-24) recommendation periods., in spite of the headwinds of OPEC+ production cuts. A robust non-hydrocarbon growth was supported by the GCC's robust domestic demand (supported by a strong task pipeline and implementation) and strong services sector efficiency.

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