Benefits of Expanding Industrial Ventures across the Middle East thumbnail

Benefits of Expanding Industrial Ventures across the Middle East

Published Aug 24, 26
5 min read


Oct 2019 Walid Majdalani, Head of Investcorp Private Equity MENA organization, details the appealing opportunities of purchasing GCC Facilities, driven by the area's development and government efforts.

Diversity is accomplish a balanced economy,, Diversification visions and strategies exist. The total Worldwide EDI is composed of tracking.

Refining Capital Pipelines for the 2026 Gulf Outlook

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

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


Even though structural reforms and diversity efforts undertaken by the GCC impacted MENA's regional ratings favorably, it still lags 5 other regional groups., with the top 10 nations having less than a 10-point distinction in ratings (indicating the strength of diversification)., along with 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 efficiency of Moldova, Indonesia, Armenia and Honduras stand apart (when comparing 2024 vs 2000). years, given accelerated diversification strategies of numerous oil-exporting nations. posted a steady improvement due to a mix of decreased reliance on fuel exports, decreased exports concentration and a modification in the composition of exports.

Why the Middle East Becoming Primary Investment Hub?

with oil exporters having the most affordable ratings (though individual country-specific performance 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 top ranked, while Mongolia's score aggravated compared to 2000)., however more to do with a "levelling up" at the bottom rather than an improvement among the top countries. 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 variation 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 total, followed by Latin America and the Middle East (the latter 2 together representing over 40% of the total). Including, 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 countries are some parts of Latin America and Sub-Saharan Africa where structural improvement 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 preliminary period versus 2020-24). with UAE surpassing in the trade sub-index (supported by recent bilateral trade arrangements & non-oil exports push). vs its pre-pandemic reading (partly given the rise in medium & modern manufacturing information).

Key Drivers Shaping Gulf Market Outlooks for 2026

Its diversity metrics have stagnated, showing the least improvement in between the initial (2000-04) and last (2020-24) reference 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 task pipeline and application) and strong services sector performance.

Kuwait and Saudi Arabia clocked in a boost in non-hydrocarbon earnings, "mostly reflecting non-hydrocarbon tax base growths and profits collection efficiency enhancements", according to the IMF. In the current geopolitical environment characterized by magnifying, it remains in the best interests of commodity reliant nations to diversify its export base, exports and trade partners.

Sub-Saharan African countries 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). 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 ).

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 rose 17 ranks during the period. The trapped or worse off nations are some parts of Latin America and Sub-Saharan Africa where structural improvement has actually stalled.

Why Economic Diversification Boosts GCC Stability in 2026

shows a significant boost 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 exceeding in the trade sub-index (supported by recent bilateral trade contracts & non-oil exports push). vs its pre-pandemic reading (partially provided the surge in medium & modern manufacturing information).

Its diversity metrics have actually stagnated, revealing the least improvement in between the preliminary (2000-04) and last (2020-24) referral periods., in spite 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 task pipeline and application) and strong services sector efficiency.

Is GCC Becoming Global Investment Powerhouse?

Kuwait and Saudi Arabia clocked in a boost in non-hydrocarbon revenue, "primarily reflecting non-hydrocarbon tax base growths and revenue collection performance improvements", according to the IMF. In the current geopolitical environment characterized by heightening, it is in the very best interests of commodity reliant countries to diversify its export base, exports and trade partners.

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