The economies of the Gulf Cooperation Council (GCC) countries recorded solid growth in the first quarter of 2025, reflecting the region’s continued economic stability and progress toward sustainable development, according to new data released by the Statistical Centre for the Cooperation Council for the Arab Countries of the Gulf (GCC-Stat).
The report showed that the nominal gross domestic product (GDP) of GCC member states reached approximately $588.1 billion between January and March 2025 — a 5.7 per cent increase compared to the same period last year. In real terms, the GCC’s combined GDP stood at $466.2 billion, marking an annual growth rate of 3.0 per cent.
All six member countries — Saudi Arabia, the United Arab Emirates, Qatar, Kuwait, Oman, and Bahrain — posted positive growth during the first quarter, underscoring the region’s resilience amid shifting global economic conditions.
The oil sector remained a cornerstone of the Gulf economies, accounting for 22.9 per cent of total GDP. However, the report highlighted that non-oil industries continue to gain momentum. The manufacturing sector contributed 12.7 per cent, while wholesale and retail trade made up 9.6 per cent. Other diversified economic activities collectively represented 26.7 per cent of total output, reflecting the success of ongoing diversification strategies across the region.
GCC-Stat noted that the figures demonstrate “the effectiveness of economic reforms and strategic investments in non-oil sectors,” which have strengthened the Gulf’s ability to weather global market fluctuations. Efforts to expand renewable energy projects, enhance industrial production, and boost trade and tourism have played a key role in sustaining growth beyond hydrocarbons.
The latest results come as Gulf governments continue to advance long-term national visions — including Saudi Arabia’s Vision 2030, the UAE’s Centennial 2071, and similar plans across the region — aimed at fostering innovation, private-sector participation, and sustainable economic transformation.
Analysts say the first-quarter data reinforce the Gulf’s position as one of the most dynamic and stable regions in the global economy. Despite ongoing geopolitical and energy market uncertainties, the combination of strong fiscal management, diversified investments, and prudent monetary policies has helped maintain steady growth across the bloc.
According to GCC-Stat, the outlook for the remainder of 2025 remains broadly positive, with member states expected to continue balancing energy revenues with investments in emerging industries, technology, and infrastructure — key pillars for ensuring long-term prosperity.
