Will Gulf Non-Oil Growth Exceed Western Averages?

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

Diversification is accomplish a balanced economy,, Diversification visions and techniques exist. But there were and The, by developing an index with no qualitative/perceptions signs. The overall Worldwide EDI is made up of tracking. As commodity exporters diversify, lower their reliance on resource leas and potentially score a higher score on the EDI.

For non-diversified nations, when price of the commodity falls, there is a significant decline in government profits, public spending, bank account balance and global reserves: more volatility. The (consisting of major product exporters, not limited to just oil) over the, across 25 signs (including three digital indicators). North America, Western Europe and East Asia Pacific countries top EDI ratings for many years.

ANSR July GCC PRs 50DR+

Although structural reforms and diversity efforts carried out by the GCC affected MENA's local scores favorably, it still lags 5 other regional groups., with the top 10 nations having less than a 10-point distinction in scores (indicating the strength of diversity)., along with four upper-middle earnings (China, Mexico, Turkey and Thailand) and one lower middle-income nation (India, ranked 20th, driven by its services export boom).

Among the e. countries 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 reduced dependence on fuel exports, minimized exports concentration and a change in the composition of exports.

Comparing Regional Investment Incentives vs Global Peers

with oil exporters having the most affordable scores (though specific country-specific performance has actually varied 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 score is the for both 2000 and 2024, and the highest in North America.

In 2024, the (China was amongst the leading ranked, while Mongolia's rating intensified compared to 2000)., but more to do with a "levelling up" at the bottom rather than an improvement amongst the leading countries. By comparing the (height of the blue box), least irregularity is seen in South Asia in 2000 and the most in the MENA region (with variation most likely driven by the dichotomy within the region 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 overall). Consisting of, there has 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 greater 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 during the duration. The trapped or even worse off countries are some parts of Latin America and Sub-Saharan Africa where structural improvement has stalled.

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 period versus 2020-24). with UAE surpassing in the trade sub-index (supported by current bilateral trade agreements & non-oil exports push). vs its pre-pandemic reading (partly given the surge in medium & modern production information).

Upcoming Middle East Investment Trends for 2026 World Markets

Its diversification metrics have stagnated, showing the least enhancement in between the initial (2000-04) and final (2020-24) referral 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 task pipeline and execution) and strong services sector efficiency.

Kuwait and Saudi Arabia clocked in an increase in non-hydrocarbon earnings, "mainly showing non-hydrocarbon tax base expansions and income collection effectiveness enhancements", according to the IMF. In the present geopolitical environment identified by heightening, it is in the very best interests of product dependent nations to diversify its export base, exports and trade partners.

Sub-Saharan African nations account for around one-third of the total, followed by Latin America and the Middle East (the latter two 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 5 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 caught or worse off countries are some parts of Latin America and Sub-Saharan Africa where structural transformation has actually stalled.

Key Factors Shaping Gulf Market Forecasts for 2026

reveals a significant boost in typical EDI ratings 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 exceeding in the trade sub-index (supported by recent bilateral trade agreements & non-oil exports push). vs its pre-pandemic reading (partly provided the surge in medium & state-of-the-art manufacturing data).

Its diversification metrics have stagnated, showing the least improvement in between the initial (2000-04) and final (2020-24) referral 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 application) and strong services sector performance.

Kuwait and Saudi Arabia clocked in a boost in non-hydrocarbon profits, "mostly reflecting non-hydrocarbon tax base growths and income collection efficiency enhancements", according to the IMF. In the existing geopolitical environment defined by intensifying, it remains in the best interests of product dependent countries to diversify its export base, exports and trade partners.