Gulf to Recover from War Scars

Oxford Economics expects the Gulf Cooperation Council economies to grow by 6.8% in 2027, following a contraction of 5.4% in 2026, as the region recovers from the repercussions of the regional war that began in 2026. The oil sector is anticipated to rebound after disruptions, with UAE oil production rising to 4.85 million barrels per day and Saudi Arabia continuing to enhance its export capacity. Qatar is also projected to grow by 11.5% thanks to the recovery in gas exports. Meanwhile, monetary policies will continue to maintain market stability and ensure the support of the banking sector, as shipping activity and logistical operations improve.

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