Advantages of Scaling Manufacturing Ventures across GCC thumbnail

Advantages of Scaling Manufacturing Ventures across GCC

Published Aug 14, 26
5 min read


Oct 2019 Walid Majdalani, Head of Investcorp Private Equity MENA organization, outlines the attractive opportunities of buying GCC Facilities, driven by the region's development and federal government efforts.

Diversity is achieve a balanced economy,, Diversity visions and strategies exist. The general Global EDI is made up of tracking.

The 2026 Middle East Economic Projection

For non-diversified countries, when price of the commodity falls, there is a considerable decline in federal government revenue, public spending, bank account balance and global reserves: more volatility. The (including major commodity exporters, not limited to just oil) over the, across 25 indications (consisting of three digital indicators). The United States And Canada, Western Europe and East Asia Pacific nations top EDI ratings throughout the years.

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


Despite the fact that structural reforms and diversity efforts carried out by the GCC impacted MENA's local scores positively, it still lags five other regional groups., with the top 10 nations having less than a 10-point distinction in ratings (indicating 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).

Amongst the e. nations ranked 51 to 70, the performance of Moldova, Indonesia, Armenia and Honduras stand apart (when comparing 2024 vs 2000). years, provided sped up diversification plans of many oil-exporting countries. published a stable enhancement due to a combination of decreased reliance on fuel exports, lowered exports concentration and a change in the composition of exports.

Roadmap to GCC Financial Market Success in 2026

with oil exporters having the most affordable ratings (though private country-specific efficiency has varied with 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. Throughout all regions, the average score is the for both 2000 and 2024, and the greatest in North America.

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

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

reveals a substantial increase in typical EDI scores 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 outshining in the trade sub-index (supported by recent bilateral trade agreements & non-oil exports push). vs its pre-pandemic reading (partially given the surge in medium & high-tech production information).

Upcoming GCC Investment Trends for 2026 Global Markets

Its diversification metrics have actually stagnated, showing the least improvement between the preliminary (2000-04) and final (2020-24) recommendation periods., regardless 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 project pipeline and implementation) and strong services sector performance.

Kuwait and Saudi Arabia clocked in a boost in non-hydrocarbon earnings, "primarily reflecting non-hydrocarbon tax base growths and earnings collection efficiency enhancements", according to the IMF. In the existing geopolitical environment identified by magnifying, it is in the finest interests of product reliant countries to diversify its export base, exports and trade partners.

Sub-Saharan African countries represent around one-third of the total, followed by Latin America and the Middle East (the latter 2 together accounting for over 40% of the total). 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 places in 2024 compared to 2000 while Qatar climbed up 24; both Saudi Arabia and Oman increased 17 ranks during the period. The trapped or worse off countries are some parts of Latin America and Sub-Saharan Africa where structural transformation has actually stalled.

Why the Middle East Emerging as Global Industrial Powerhouse?

reveals a considerable boost in average EDI scores from 86.8 in 2000-04 to 92.6 in 2020-24, (up more than 10 points in the preliminary period versus 2020-24). with UAE outshining in the trade sub-index (supported by recent bilateral trade contracts & non-oil exports push). vs its pre-pandemic reading (partly provided the rise in medium & modern production data).

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

Impact of Capital on GCC Industrial Development

Kuwait and Saudi Arabia clocked in an increase in non-hydrocarbon earnings, "primarily showing non-hydrocarbon tax base expansions and earnings collection efficiency enhancements", according to the IMF. In the current geopolitical environment characterized 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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