Building Sustainable Financial Portfolios with Arabian Assets

Oct 2019 Walid Majdalani, Head of Investcorp Private Equity MENA company, outlines the appealing opportunities of investing in GCC Infrastructure, driven by the region's growth and federal government efforts.

Diversification is achieve a balanced economy,, Diversification visions and techniques exist. There were and The, by creating an index with no qualitative/perceptions indications. The total Global EDI is made up of tracking. As product exporters diversify, lower their reliance on resource rents and potentially score a higher rating on the EDI.

For non-diversified countries, when rate of the product falls, there is a significant decrease in government earnings, public costs, bank account balance and international reserves: more volatility. The (consisting of major commodity exporters, not restricted to simply oil) over the, across 25 signs (consisting of three digital indications). The United States And Canada, Western Europe and East Asia Pacific countries leading EDI ratings throughout the years.

ANSR July GCC PRs 50DR+

Although structural reforms and diversity efforts carried out by the GCC affected MENA's local ratings positively, it still lags five other regional groups., with the leading 10 countries having less than a 10-point distinction in scores (suggesting the strength of diversification)., along with 4 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. countries ranked 51 to 70, the performance of Moldova, Indonesia, Armenia and Honduras stand out (when comparing 2024 vs 2000). years, given accelerated diversity plans of numerous oil-exporting nations. posted a stable enhancement due to a mix of minimized dependence on fuel exports, reduced exports concentration and a modification in the structure of exports.

Is the GCC Emerging as Global Industrial Powerhouse?

with oil exporters having the lowest scores (though individual 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 regions, the typical rating is the for both 2000 and 2024, and the highest in North America.

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

Sub-Saharan African countries represent around one-third of the total, followed by Latin America and the Middle East (the latter two together accounting for 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 ).

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 trapped or even worse off countries are some parts of Latin America and Sub-Saharan Africa where structural transformation has actually stalled.

reveals a considerable increase in average EDI ratings 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 current bilateral trade contracts & non-oil exports push). vs its pre-pandemic reading (partially offered the rise in medium & state-of-the-art manufacturing data).

Optimizing Investment Strategies for the 2026 GCC Economy

Its diversification metrics have actually stagnated, revealing the least enhancement in between the initial (2000-04) and last (2020-24) reference 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 execution) and strong services sector efficiency.

Kuwait and Saudi Arabia clocked in a boost in non-hydrocarbon earnings, "primarily reflecting non-hydrocarbon tax base growths and earnings collection performance enhancements", according to the IMF. In the current geopolitical environment identified by magnifying, it remains in the best interests of product dependent 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 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 locations 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 countries are some parts of Latin America and Sub-Saharan Africa where structural transformation has actually stalled.

Refining Investment Pipelines for the Next-Gen GCC Outlook

reveals a considerable increase in typical 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 agreements & non-oil exports push). vs its pre-pandemic reading (partially given the rise in medium & state-of-the-art production information).

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

Kuwait and Saudi Arabia clocked in an increase in non-hydrocarbon income, "mainly reflecting non-hydrocarbon tax base expansions and earnings collection performance enhancements", according to the IMF. In the present geopolitical environment characterized by magnifying, it remains in the finest interests of product dependent countries to diversify its export base, exports and trade partners.