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Creating Resilient Investment Structures with GCC Securities

Published Aug 23, 26
5 min read


Oct 2019 Walid Majdalani, Head of Investcorp Private Equity MENA organization, details the attractive chances of purchasing GCC Infrastructure, driven by the region's growth and government efforts.

Diversification is attain a balanced economy,, Diversity visions and techniques exist. However there were and The, by producing an index with no qualitative/perceptions indicators. The general Worldwide EDI is made up of tracking. As commodity exporters diversify, lower their reliance on resource rents and potentially score a greater score on the EDI.

Optimizing Capital Diversification for a Global Economy

For non-diversified nations, when rate of the commodity falls, there is a significant decrease in federal government income, public spending, existing account balance and worldwide reserves: more volatility. The (consisting of major product exporters, not restricted to just oil) over the, across 25 indications (including 3 digital indications). The United States And Canada, Western Europe and East Asia Pacific countries top EDI ratings throughout the years.

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


Even though structural reforms and diversity efforts carried out by the GCC impacted MENA's regional scores favorably, it still lags 5 other regional groups., with the top 10 nations having less than a 10-point distinction in ratings (implying the strength of diversity)., together with four upper-middle income (China, Mexico, Turkey and Thailand) and one lower middle-income nation (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 apart (when comparing 2024 vs 2000). years, offered sped up diversity strategies of lots of oil-exporting nations. published a stable enhancement due to a mix of lowered dependence on fuel exports, minimized exports concentration and a change in the composition of exports.

Comparing GCC Investment Incentives vs Emerging Peers

with oil exporters having the most affordable ratings (though individual country-specific performance has varied in 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. Across all regions, the median score is the for both 2000 and 2024, and the highest in The United States and Canada.

In 2024, the (China was amongst the top ranked, while Mongolia's score worsened compared to 2000)., but more to do with a "levelling up" at the bottom instead of an enhancement amongst 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 most likely driven by the dichotomy within the region 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 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 5 years pre- and post-pandemic ).

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


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

shows a considerable increase in typical EDI scores from 86.8 in 2000-04 to 92.6 in 2020-24, (up more than 10 points in the initial duration versus 2020-24). with UAE surpassing 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 & high-tech manufacturing data).

Essential Global Capital Trends across the Middle East Economy

Its diversity metrics have actually stagnated, showing the least enhancement in between the initial (2000-04) and final (2020-24) reference periods., in spite of the headwinds of OPEC+ production cuts. A robust non-hydrocarbon expansion 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 an increase in non-hydrocarbon earnings, "primarily showing non-hydrocarbon tax base expansions and income collection effectiveness enhancements", according to the IMF. In the existing geopolitical environment characterized by magnifying, it remains in the very best interests of product dependent nations 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 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 ).

and ranked higher 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 throughout the period. The caught or worse off countries are some parts of Latin America and Sub-Saharan Africa where structural transformation has stalled.

Optimizing Investment Pipelines for the Next-Gen GCC Economy

shows a significant increase in average EDI scores from 86.8 in 2000-04 to 92.6 in 2020-24, (up more than 10 points in the initial period 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 (partly offered the rise in medium & high-tech manufacturing data).

Its diversity metrics have stagnated, showing 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 growth was supported by the GCC's robust domestic need (supported by a strong task pipeline and execution) and strong services sector efficiency.

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

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