{"id":111509,"date":"2026-01-15T00:00:00","date_gmt":"2026-01-15T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/uae\/2026\/01\/15\/world-bank-reaffirms-uaes-2026-growth-at-5-while-gcc-is-poised-to-outpace-global-growth\/"},"modified":"2026-01-15T00:00:00","modified_gmt":"2026-01-15T00:00:00","slug":"world-bank-reaffirms-uaes-2026-growth-at-5-while-gcc-is-poised-to-outpace-global-growth","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/uae\/2026\/01\/15\/world-bank-reaffirms-uaes-2026-growth-at-5-while-gcc-is-poised-to-outpace-global-growth\/","title":{"rendered":"World Bank reaffirms UAE\u2019s 2026 growth at 5%, while GCC is poised to outpace global growth"},"content":{"rendered":"<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"> <strong>Th<\/strong><strong>e World Bank <\/strong><strong><a target=\"_blank\" href=\"https:\/\/enterpriseam.com\/uae\/2025\/12\/08\/world-bank-maintains-forecast-for-uaes-gdp-at-4-8\/\" style=\"\" rel=\"noopener\">reaffirmed<\/a><\/strong><strong> the UAE\u2019s growth forecast for this year <\/strong><strong>at <\/strong><strong>5.0% revised upward its forecast for next year to 5.1%<\/strong>, according to the bank\u2019s latest <a target=\"_blank\" href=\"https:\/\/openknowledge.worldbank.org\/server\/api\/core\/bitstreams\/f53549d4-6c5b-43b8-ae8e-9432ab8917b9\/content\" style=\"\" rel=\"noopener\">Global Economic Prospects report (pdf)<\/a>. This comes as the broader Middle East, North Africa, Afghanistan, and Pakistan region navigates a fragile recovery characterized by rising oil production and persistent geopolitical instability.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Remember the growth drivers: <\/strong>The <a target=\"_blank\" href=\"https:\/\/enterpriseam.com\/uae\/2026\/01\/08\/uae-set-to-be-a-fiscal-outlier-and-the-fastest-growing-country-in-the-gulf-this-year\/?repeat=w3tc\" style=\"\" rel=\"noopener\">UAE\u2019s outlook<\/a> is underpinned by its strong fiscal stance and massive sovereign wealth funds that provide substantial buffers against global shocks. While oil production is set to rise, non-hydrocarbon activity \u2014 now nearly 75% of the UAE\u2019s GDP \u2014 is the real story. This expansion is being fueled by high-value sectors like AI, cybersecurity, and a data-center ecosystem that\u2019s among the most advanced in the GCC.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\">\n<p class=\"tag-border-left\"> The GCC at large <\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>The GCC is <\/strong><strong>poised to grow at a clip of<\/strong><strong> 4.4% in 2026<\/strong> and 4.6% in 2027 \u2014 well above projected global growth rates of 2.6% in 2026 and 2.7% in 2027. This acceleration is underpinned by a \u201csteady expansion of non-hydrocarbon activity\u201d and a strategic pivot as Opec+ begins to reverse production cuts.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>The hydrocarbon rebound:<\/strong> After a larger-than-expected production increase in 2025, further Opec+ increases and expanding natural gas production \u2014 particularly in Qatar \u2014 will support the growth trajectory, according to the report.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Non-oil dynamism:<\/strong> Non-hydrocarbon activities now account for over 60% of total GCC GDP. This sector is being shored up by \u201cexpected large-scale investments\u201d in infrastructure and technology, particularly in Kuwait and Saudi Arabia.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Fiscal deficits are expected to shrink across the GCC in 2026-27<\/strong>, courtesy of a boost to oil revenues \u2014 despite lower oil prices \u2014 as well as tax reforms, including in the UAE, the World Bank said. <\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Risks for the region are \u201ctilted to the downside,\u201d <\/strong>however, the World Bank says, pointing to regional conflicts, trade uncertainty, and lower oil prices as potentially harmful for demand, business confidence, and capital spending. Meanwhile, upside risks include further investments in AI and additional structural reforms across MENA. <\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>(** Tap or click the headline above to read this story with all of the links <\/strong>to our background as well as external sources.)<\/p>\n","protected":false},"excerpt":{"rendered":"<p>GCC growth rate is projected at 4.4% in 2026 amid non-hydrocarbon expansion<\/p>\n","protected":false},"author":1,"featured_media":111510,"comment_status":"","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[1556],"tags":[19,7,96],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-111509","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-economy","tag-economy","tag-enterpriseam-uae","tag-world-bank","wpautop","entry"],"acf":{"mongo_id":"6fff5588-b0bf-44bd-93c6-4ee4db1cfb8e","order":"4","is_powered_by":false,"story_type":"1","photo_url":"https:\/\/ent.news\/2025\/1\/1292.jpg","photo_position":"above","homepage_title":"","full_issue_title":"World Bank reaffirms UAE\u2019s 2026 growth at 5%, while GCC is poised to outpace global growth","related_issue":[111504],"teaser":"GCC growth rate is projected at 4.4% in 2026 amid non-hydrocarbon expansion"},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.1 (Yoast SEO v27.1.1) - 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