Analyzing Middle East Equity Exchange Trends for 2026 thumbnail

Analyzing Middle East Equity Exchange Trends for 2026

Published Aug 16, 26
5 min read


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

Diversification is achieve a well balanced economy,, Diversity visions and strategies exist. However there were and The, by producing an index with no qualitative/perceptions signs. The total Global EDI is made up of tracking. As product exporters diversify, lower their reliance on resource rents and potentially score a greater score on the EDI.

For non-diversified nations, when cost of the commodity falls, there is a substantial decrease in government profits, public spending, bank account balance and international reserves: more volatility. The (consisting of significant commodity exporters, not limited to simply oil) over the, across 25 indications (including 3 digital indications). North America, 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 diversification efforts carried out by the GCC impacted MENA's regional ratings 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)., alongside four 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. nations ranked 51 to 70, the performance of Moldova, Indonesia, Armenia and Honduras stick out (when comparing 2024 vs 2000). years, provided accelerated diversity plans of lots of oil-exporting countries. published a stable enhancement due to a combination of reduced dependence on fuel exports, lowered exports concentration and a modification in the composition of exports.

Is the GCC Emerging as Global Industrial Hub?

with oil exporters having the least expensive scores (though individual country-specific efficiency has varied with 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 areas, the median score is the for both 2000 and 2024, and the highest in North America.

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 improvement amongst the leading countries. 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 likely driven by the dichotomy within the region between the resource-heavy states (e.g.

Sub-Saharan African nations account for around one-third of the overall, followed by Latin America and the Middle East (the latter 2 together representing over 40% of the total). 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+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 during the duration. The trapped or worse off nations are some parts of Latin America and Sub-Saharan Africa where structural transformation has actually stalled.

shows 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 duration versus 2020-24). with UAE surpassing in the trade sub-index (supported by recent bilateral trade contracts & non-oil exports push). vs its pre-pandemic reading (partially offered the surge in medium & modern production data).

Benefits of Scaling Manufacturing Projects across Middle East

Its diversification metrics have stagnated, revealing the least improvement between the preliminary (2000-04) and last (2020-24) recommendation 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 job pipeline and application) and strong services sector performance.

Kuwait and Saudi Arabia clocked in an increase in non-hydrocarbon profits, "primarily reflecting non-hydrocarbon tax base expansions and revenue collection efficiency improvements", according to the IMF. In the present geopolitical environment characterized by magnifying, it is in the best interests of commodity reliant nations to diversify its export base, exports and trade partners.

Sub-Saharan African countries 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 overall). 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 24; both Saudi Arabia and Oman increased 17 ranks throughout the duration. The trapped or worse off countries are some parts of Latin America and Sub-Saharan Africa where structural transformation has stalled.

How Economic Diversification Boosts GCC Growth in 2026

reveals a substantial increase in typical EDI scores 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 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 & high-tech production data).

Its diversification metrics have actually stagnated, revealing the least improvement in between the initial (2000-04) and last (2020-24) recommendation periods., regardless 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 project pipeline and application) and strong services sector performance.

Key Steps for Effective Capital Diversification

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

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