Driving Dubai Industrial Expansion through Strategy

Rather than marking a cyclical rebound, 2026 is progressively considered as a consolidation year, in which diversification-led growth becomes more deeply ingrained in the area's economic design, minimizing dependence on hydrocarbons and increasing strength to external shocks. Projections from major organizations broadly assemble on a more powerful GCC growth profile in 2026 than in 2025, supported by resilient domestic demand, continued non-oil growth, and (to varying degrees) a firmer hydrocarbon contribution.

ANSR July GCC PRs 50DR+

The World Bank, on the other hand, projects 3.2 percent growth in 2025, accelerating to 4.5 percent in 2026. The IMF similarly sees momentum improving, with GCC output growth forecasted to rise from 1.7 percent in 2024 to 3.3 percent typically in 2025, reflecting a shift toward more positive overall conditions.

The IMF's World Economic Outlook (October 2025) jobs worldwide development reducing 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 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 reasonably high-growth pocketprovided that local danger conditions remain contained and reform momentum holds.

Data from the GCC Statistical Center reveal that non-oil sectors currently account for more than 73 percent of total GDP, a share that has actually continued to increase as governments expand financial investment in services, infrastructure, and technology. According to Oxford Economics, non-energy activity across 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 technology and AI-related infrastructure.

ANSR July GCC PRs 50DR+

Driving Dubai Industrial Expansion through Innovation

Public-sector financial investment and reform stay main to sustaining this pattern. Policy measures targeted at bring in foreign direct investment, easing foreign ownership guidelines, broadening capital markets, and supporting private-sector participation continue to underpin non-oil growth and reduce the region's exposure to oil rate volatility. While hydrocarbons no longer dominate the growth outlook, oil profits are expected to play a supportive role in 2026.

Oxford Economics anticipates Brent crude costs to fall below USD 60 per barrel in early 2026, restricting the near-term contribution of oil extraction to GDP. Oil supply is forecast to rise again in the second half of the year, with a complete loosening up of staying production caps likely by mid-2027.

ANSR July GCC PRs 50DR+

Macroeconomic conditions across the GCC remain broadly encouraging of growth. Inflation is expected to remain low, with the IMF forecasting typical inflation of 2 percent throughout the region in 2026. Stable costs are assisting preserve real family earnings and underpin consumer spending, which Oxford Economics expects to grow by approximately 3.5 percent over 20262027.