MENA GDP to Grow by 3.6% in 2026 Global Expansion

The Middle East and North Africa (MENA) region is projected to record 3.6% GDP growth in 2026, outpacing the global outlook of 3.1%, according to Mastercard Economics Institute’s Economic Outlook 2026 report.

Qatar is expected to lead the region with 4.9% growth, followed by Egypt at 4.4%. The UAE is forecast at 4.3%, and Saudi Arabia at 3.6%, with non-oil sectors in both countries approaching 5% growth. Oman, Bahrain and Kuwait are also set for expansion but at comparatively modest rates.

The report attributes the region’s stronger momentum to sustained public investment, resilient consumer demand, and ongoing structural reforms aimed at diversification and long-term economic stability. Investment in renewable energy, infrastructure, and technology continues to underpin multi-sector growth plans.

Inflation across the Gulf is expected to hold near 2%, while oil-importing economies are likely to see continued disinflation. This environment could allow central banks to ease interest rates, providing some relief to households and businesses.

The outlook also highlights risks, including geopolitical tensions and climate-related pressures that may disrupt economic activity.