Strategies for Capital Allocation for 2026 Global Markets

Oct 2019 Walid Majdalani, Head of Investcorp Private Equity MENA service, outlines the attractive opportunities of buying GCC Infrastructure, driven by the area's development and government initiatives.

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

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

ANSR July GCC PRs 50DR+

Even though structural reforms and diversity efforts carried out by the GCC impacted MENA's local ratings favorably, it still lags 5 other regional groups., with the leading 10 nations having less than a 10-point distinction in ratings (implying the strength of diversity)., together with 4 upper-middle income (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 efficiency of Moldova, Indonesia, Armenia and Honduras stand out (when comparing 2024 vs 2000). years, offered accelerated diversity strategies of lots of oil-exporting countries. published a consistent enhancement due to a combination of reduced dependence on fuel exports, reduced exports concentration and a change in the composition of exports.

Vital Drivers Shaping GCC Market Forecasts for 2026

with oil exporters having the most affordable scores (though individual country-specific efficiency has actually differed over 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 areas, the mean rating 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 rating got worse compared to 2000)., but more to do with a "levelling up" at the bottom rather than an enhancement among 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 in between the resource-heavy states (e.g.

Sub-Saharan African countries represent around one-third of the overall, followed by Latin America and the Middle East (the latter 2 together representing over 40% of the total). Including, 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+

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

shows a considerable 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 duration versus 2020-24). with UAE outperforming in the trade sub-index (supported by current bilateral trade agreements & non-oil exports push). vs its pre-pandemic reading (partially provided the surge in medium & modern production information).

Can Gulf Industrial Growth Outpace Western Benchmarks?

Its diversity metrics have stagnated, showing the least improvement in between the initial (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 need (supported by a strong job pipeline and application) and strong services sector performance.

Kuwait and Saudi Arabia clocked in a boost in non-hydrocarbon income, "primarily showing non-hydrocarbon tax base growths and profits collection performance enhancements", according to the IMF. In the current geopolitical environment characterized by intensifying, it remains in the very best interests of product reliant nations to diversify its export base, exports and trade partners.

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

and ranked greater than others; UAE is up more than 45 locations in 2024 compared to 2000 while Qatar climbed up 24; both Saudi Arabia and Oman rose 17 ranks during the duration. The trapped or even worse off nations are some parts of Latin America and Sub-Saharan Africa where structural improvement has stalled.

Upcoming GCC Market Shifts for 2026 Global Markets

reveals a substantial 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 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 (partly offered the surge in medium & high-tech production information).

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

Kuwait and Saudi Arabia clocked in an increase in non-hydrocarbon earnings, "mainly reflecting non-hydrocarbon tax base expansions and income collection effectiveness improvements", according to the IMF. In the existing geopolitical environment defined by intensifying, it is in the best interests of product reliant countries to diversify its export base, exports and trade partners.