- GCC economies are projected to grow by 4% in 2025, up from 1.8% in 2024.
- Non-oil sectors, especially tourism and infrastructure, are driving growth.
- OPEC+ policy shifts will boost oil production, aiding economic expansion.
The Gulf Cooperation Council (GCC) economies are demonstrating resilience amid global challenges, with a robust 4% growth forecast for 2025. Economic diversification efforts, including investments in tourism, infrastructure, and industrial free zones, are key drivers of this expansion.
Despite the headwinds of fluctuating oil prices and geopolitical uncertainties, the region remains well-positioned to capitalize on economic reforms and investment inflows.
GCC Economic Outlook: Growth Accelerates Amid Global Challenges
The GCC’s economic prospects remain strong, with regional growth expected to reach 4% in 2025. This acceleration is fueled by robust non-oil sector expansion, particularly in tourism and infrastructure, alongside a gradual increase in oil production.
Saudi Arabia and the UAE are leading this transformation, with their economies benefiting from strategic investments and a surge in tourism. Qatar is set for substantial growth in 2026, bolstered by increased LNG production, while Bahrain continues its diversification push despite fiscal challenges.
Oil prices have dipped due to rising supply and global trade tensions, but the GCC economies are adapting by strengthening their non-energy sectors. The pan-GCC visa is expected to further enhance tourism, making it a major economic contributor in the coming years.
Despite ongoing global economic uncertainties, the GCC remains resilient, leveraging strategic reforms and investment-friendly policies to sustain long-term growth.
The GCC economies are well-positioned for growth, driven by diversification efforts and strategic policy shifts. With a focus on tourism, infrastructure, and energy production, the region is set to navigate global uncertainties and maintain strong economic momentum.
“Resilience is not about avoiding challenges, but about thriving despite them.” – Anonymous
