GCC economies are set for a sharp rebound, with growth forecast to reach 8.5% in 2027, according to ICAEW’s latest Economic Insight Q1 2026 report, produced in partnership with Oxford Economics. In the near term, regional disruption is expected to weigh on activity, with GDP projected to contract by 0.2% in 2026. The outlook reflects strong underlying fundamentals, with diversification and policy reform supporting a return to growth as energy flows normalise and non-oil sectors strengthen. The pace of recovery will depend on how quickly current disruption subsides, with more prolonged pressure likely to delay the rebound, said the report. [...]