Oman’s economy expanded 5% in real terms in the second quarter of 2026, supported by higher oil production and increased trade through its ports, as the country benefited from its location outside the Strait of Hormuz amid the ongoing US-Iran conflict.

The sultanate has maintained energy exports and attracted shipping activity diverted from the strait, where disruptions have affected trade across the Gulf. However, economists warn that prolonged regional instability could weigh on foreign direct investment (FDI), which has supported Oman’s efforts to diversify its economy.

“Oman has been resilient to the shock in the Gulf due in large part to its position outside the Strait of Hormuz,” said Cedric Berry, director at Fitch Ratings.

“It has benefited tremendously from that by raising production of oil and other hydrocarbon products and as an alternative logistical route for goods entering and exiting the GCC.”

Oman’s nominal GDP rose 26% year-on-year to nearly $34 billion in the second quarter, with the oil and gas sector’s contribution increasing 55%. Hydrocarbon output grew nearly 15% in real terms, compared with growth of just 0.7% in non-oil activities.

Crude oil production averaged 935,000 barrels per day in the third quarter, its highest level since at least 2020. Re-exports also increased 20% in value during the first seven months of the year, reflecting greater activity through Omani ports.

Fitch Ratings expects Oman’s real GDP to grow 5% in 2026 before slowing to 3.1% in 2027, assuming oil prices average $70 per barrel next year.

The International Monetary Fund (IMF) forecasts growth exceeding 4% for Oman this year, making it the only Gulf Cooperation Council (GCC) economy expected to expand amid the conflict.

The IMF expects Saudi Arabia’s economy to contract 3.3% and the UAE’s 3.9%, while Qatar, Kuwait and Bahrain are projected to record double-digit declines.

Oman’s tourism sector has faced challenges, however, with activity at three- to five-star hotels declining by approximately 12% during the first nine months of 2026.

Foreign investment remains another concern. Berry said FDI had played an important role in supporting non-oil development, creating employment and reducing pressure on government spending.

Oman has also strengthened its fiscal position through debt reduction, spending restraint and the sale of stakes in state-owned companies.

The government has nearly halved its debt-to-GDP ratio since 2020, contributing to credit rating upgrades and improved investor confidence.

State energy group OQ has listed five subsidiaries on the Muscat exchange since early 2023, raising approximately $4.2 billion through initial public offerings. The latest, Oman India Fertiliser Company, listed in July.

The Muscat stock market has also benefited from increased investor interest, with its benchmark index reaching a record high in May after doubling over the preceding year, although it has since declined 13%.

The IMF, following a delegation visit to Muscat from October 25 to November 8, said Oman had continued to withstand the conflict's economic impact, supported by its largely unaffected energy infrastructure, logistics sector and fiscal management.

“The economic outlook remains favorable, despite heightened uncertainty,” said Abdullah AlHassan, the IMF’s mission chief for Oman and Afghanistan.

The IMF expects Oman’s fiscal and external reserves to remain stable, although higher food, transport and import costs linked to the conflict could increase inflationary pressures.

Oman’s longer-term economic prospects will depend on sustaining investment and expanding non-oil activities after the immediate benefits of higher energy prices and diverted trade begin to ease.

Türkiye and Uzbekistan have signed a joint action plan on cooperation in tourism for three years, starting 2026 as they aim to develop new travel routes and increase visitor flows. 

The plan details specific areas of cooperation aimed at expanding mutual tourist exchanges, developing pilgrimage tourism, creating joint travel routes as well as joint participation in international events, and improving the professional skills of industry specialists, UzDaily.uz reported. 

Abdulaziz Akkulov, chairman of Uzbekistan’s Tourism Committee met with Mehmet Nuri Ersoy, Türkiye’s Minister of Culture and Tourism, in Istanbul. 

Both countries expressed interest to create joint tourism products in pilgrimage tourism, tourism related to the heritage of Islamic civilisation and MICE tourism. Talks also included prospects of organizing familiarisation trips for media representatives and bloggers from both countries and facilitating the exchange of expertise among industry professionals.

Tourism in Türkiye and Uzbekistan offers different experiences. Tourism is a key contributor to Türkiye’s economy, with related revenues totalling a record $65.2 billion in 2025, increasing from $61.1 billion in 2024, according to the Organisation for Economic Co-operation and Development. Tourism revenues are estimated to reach around $68 billion by end of 2026, with Türkiye aiming to lock in $100 billion by the end of 2028. 

Uzbekistan, whose tourism industry is built around its historical significance, welcomed 11.7 million foreign tourists in 2025 and 7.75 million from January through July this year, according to its National Statistics Committee. 

Both countries signed a memorandum of cooperation and an action plan to develop bilateral tourism partnerships last February. Uzbekistan welcomed 149,146 visitors from Türkiye in 2024, up from 41,299 in 2019, while the number of Uzbek citizens visiting Turkey grew from 170,636 in 2021 to 229,968 in 2024. 

Türkiye's hosting of the COP31 UN climate summit in Antalya from November 9 to 20 could create new opportunities for green sukuk, as the country seeks to attract investment into renewable energy, climate-resilient infrastructure and other sustainable development projects.

The summit comes as Türkiye implements its National Green Finance Strategy and Action Plan 2026–2029, which aims to expand sustainable investment and strengthen green capital markets. While the strategy promotes sustainable financial instruments, it does not identify sukuk as a specific priority.

The strategy, introduced by the Ministry of Treasury and Finance, sets out 11 objectives and 45 actions focused on improving sustainability reporting, strengthening institutional capacity and developing financial products that support climate-related investment.

COP31's agenda emphasises implementation, while Türkiye's presidency is seeking to connect climate commitments with investment and project partnerships through its Climate Implementation Bridge initiative.

Green sukuk could support these efforts by raising capital for projects such as solar and wind farms, electricity grids, energy storage, water management and climate-resilient infrastructure.

Türkiye has set a target of reaching 120 gigawatts of combined solar and wind capacity by 2035, creating potential demand for financing instruments that can attract investment into clean energy infrastructure.

The country's sukuk market has also been expanding. According to Fitch Ratings, Türkiye's sukuk issuance rose 46% year-on-year during the first nine months of 2026, increasing its share of domestic debt capital market issuance to 16%, compared with 11% in the same period of 2025.

Global demand for sustainable Islamic financial instruments has also increased. According to the ICD–LSEG Islamic Finance Development Report 2026, global environmental, social and governance (ESG) sukuk issuance reached $23.8 billion in 2025, up 54% year-on-year, while outstanding ESG sukuk stood at $73.2 billion at year-end.

However, developing a green sukuk market will require a pipeline of eligible projects, reliable climate data and independent verification of environmental claims.

Türkiye's green finance strategy includes measures to strengthen sustainability disclosures and climate risk management, with plans to establish climate-related stress-testing infrastructure for banks by 2027.

Such measures could help investors assess the environmental performance of projects financed through green sukuk and reduce greenwashing risks, provided the claims are independently verified.

COP31 provides Türkiye with an opportunity to present its green finance framework to international investors, including those seeking Shariah-compliant investment opportunities.

The next step will be translating these policies into projects that can attract financing. Potential developments include sovereign and corporate green sukuk for renewable energy and infrastructure, as well as transition sukuk to support emissions reductions in energy-intensive industries. No dedicated COP31-linked sukuk issuance has been announced.

Saudi Aramco reported a 9% increase in third-quarter adjusted net income to $31.2 billion on Tuesday, supported by higher oil prices and continued exports despite attacks on its energy infrastructure and disruptions linked to the war in Iran.

The Saudi state-owned oil company's revenue rose by more than 25% year-on-year to $140.5 billion during the July-September period. Aramco said its average crude oil price reached $95 per barrel, up 35% from a year earlier, as the conflict disrupted global energy supplies and shipping through the Strait of Hormuz.

“Geopolitical uncertainty and attacks on key energy facilities continued to amplify the global energy supply crisis in the third quarter of 2026,” Aramco CEO Amin Nasser said in a statement, describing the period as extraordinary.

The company's operations have faced several disruptions since the conflict began, including missile and drone attacks on refineries, an oil processing facility at Abqaiq and its headquarters in Dhahran.

One of the most serious incidents occurred in September, when drones struck Saudi Arabia's East-West pipeline, which transports crude oil from the Eastern Province to the Red Sea export terminal at Yanbu.

The pipeline provides an alternative export route that bypasses the Strait of Hormuz, where shipping has been severely disrupted by the conflict. Operations resumed within a week of the attack, and throughput subsequently reached approximately six million barrels per day.

Aramco plans to increase the pipeline's capacity to as much as 10 million barrels per day over the next two to three years to support exports and reduce reliance on shipping through the strait.

Nasser said work on the expansion had already begun, while the company was also examining additional routes for transporting crude oil.

Despite the disruption, Aramco exported an additional 1.1 million barrels of crude during the third quarter compared with the previous three months, according to Nasser. The company has also continued using tankers passing through the Strait of Hormuz to maintain shipments.

Saudi Arabia has additionally used a pipeline route to the Mediterranean near the Suez Canal to transport oil, although the longer journey increases shipping costs for deliveries to Asian markets.

Brent crude prices rose above $106 per barrel on Tuesday following US military strikes on Iran's Qeshm Island, adding to concerns about supply disruptions.

The conflict has also affected Saudi Arabia's wider economy, with attacks on civilian and energy infrastructure disrupting planned events and investment activities. The country recently postponed its Future Investment Initiative conference, while the 2027 Asian Cup, originally scheduled to begin in January, has also been delayed.

Higher crude prices have supported earnings across the global oil industry, even as the conflict continues to affect production infrastructure, shipping routes and energy costs.

Egypt has signed two agreements with the International Fund for Agricultural Development to strengthen its broader role in sharing agricultural expertise across the Middle East and Africa. 

The pacts aim to support small-scale farmers in improving water management, increase their incomes and adapt to climate change, according to a statement. 

The agreements cover two ongoing projects - the Climate-Resilient On-Farm Water Management in the Nile Valley (CROWN) and the Positioning Egypt for Agricultural Resilience and Leadership (PEARL) - backed by $64.85 million in IFAD financing, and a $470,000 grant, respectively.

The CROWN initiative, which combines modern irrigating and draining infrastructure with climate-smart farming, will support around 90,000 rural households and improve water management across about 12,600 hectares in Beni Suef and Minya. The PEARL project is also expected to benefit 2,000 people through strengthening Egypt’s capacity for agricultural innovation and South–South and Triangular Cooperation. 

The agreements come amid rising climate pressures, scarce water resources and growing regional uncertainty, underscoring the importance of investing in resilient food systems. 

Together, both pacts will help connect “financing for rural communities with technical expertise, institutions and partnerships”, the statement added.  
 
“Water investments deliver lasting results when farmers also have the knowledge, finance and market opportunities to make their businesses more productive and resilient,” said Naoufel Telahigue, IFAD regional director for the Near East, North Africa, Europe and Central Asia. 

“These agreements bring those elements together, while enabling Egypt to share practical solutions with other countries facing similar challenges.” 

Both pacts build on nearly five decades of partnership since Egypt joined IFAD in 1977. The fund, which has invested in rural people and their communities to build food security, have ploughed $23 billion in ongoing projects alongside its partners. 
    
 

Business succession and next-generation readiness have emerged as a top priority among regional family business leaders, a new study has revealed. 

More than one-third (34%) of senior family business leaders across the Middle East have cited business succession as their top long-term concern by 2035, illustrating how leadership priorities and governance agendas are evolving, the KPMG Middle East Family Business Report 2026 released on Tuesday has shown. 

The report, which surveyed 135 senior family business leaders across the region, revealed that 84% of family businesses in the Middle East expect to outperform their competitors over the next five to ten years, compared to 72% globally.

Strategic clarity stood out among family businesses, with 85% reporting a defined growth strategy for the next ten years and 80% reporting strong internal consensus among family members on how best to grow the business.

Family reputation and brand equity ranked as the most successfully leveraged assets among respondents, with 93% rating them as key value drivers, followed by shared values and purpose at 89%. 

More than a third of the respondents (36%) chose expanding their geographic footprint as their single highest-impact growth driver to 2035, with more than half placing it among their top two priorities. A prevalent long-term  mindset has emerged, with 55% of the respondents identifying reinvestment of earnings and shareholder equity as their preferred source of growth capital over the next two years, the study identified. 

More than two-thirds of family businesses are deploying artificial intelligence, while 56% of the respondents continue to view cybersecurity primarily as an IT responsibility rather than a board-level risk.

Indonesia and Iran are exploring potential cooperation across priority sectors such as academia and research to facilitate greater collaboration and exchange of expertise. 

Brian Yuliarto, Indonesian minister for Higher Education, Science, and Technology, expressed the country’s willingness for strategic education cooperation with Iran, Antara news agency reported. 

"We are happy to welcome Iranian professors as guest lecturers in Indonesian universities to enhance science and technology cooperation between Iran and Indonesia," said Yuliarto. 

Both nations are also exploring collaboration potential to develop science techno parks to support research optimisation. Discussions to cooperate in research downstreaming and business incubator development in strategic sectors, such as energy and aerospace, were also held. 

Meanwhile, the Iranian side reaffirmed their readiness to strengthen research and academic cooperation with Indonesia, especially on the science and technology parks development.

The two parties expect the cooperation to be formalised through a memorandum of understanding between the higher education ministries.

Both countries also signed a joint plan of action last week to deepen bilateral cooperation in developing their halal product ecosystems, with a primary focus on halal food and safety standards. 

"The step is part of BPJPH's strategy to expand international halal recognition and cooperation, opening greater opportunities for Indonesian products on a global scale and strengthening Indonesia's position as the epicenter of halal products," Ahmad Haikal Hassan, Indonesia's Halal Product Assurance Agency (BPJPH) said.

Iran's Ambassador Mohammad Boroujerdi expressed confidence that the action plan will elevate product quality and strengthen mutual food security.

The United Arab Emirates and Greece have announced 18 agreements and commercial partnerships worth €12.75 billion ($14.3 billion), alongside plans for an additional €15 billion in UAE investment to strengthen economic cooperation across technology, energy, infrastructure and other sectors.

The agreements were announced during the UAE-Greece Strategic Forum in Athens and cover digital infrastructure, artificial intelligence, renewable energy, logistics, transport, healthcare and food security. The proposed additional investment will be channelled through a bilateral investment initiative established in 2022.

Sheikh Khaled bin Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi, said the two countries' economic relations are built on shared interests and mutual trust. He highlighted the role of businesses in expanding bilateral investment, adopting advanced technologies and developing projects in sectors with growth potential.

The UAE-Greece investment initiative was established in May 2022 with an initial commitment of €4 billion to support joint investments in priority industries. Since its launch, the framework has facilitated transactions in energy and healthcare.

The planned €15 billion allocation is intended to expand investment activity under the existing framework, drawing on institutional capital from both countries and Greece’s position as a commercial link between Europe and other international markets.

The latest agreements also extend cooperation into sectors such as clean energy infrastructure, industrial development, ports and life sciences, reflecting efforts by both countries to diversify their economic partnerships.

The announcement follows similar investment commitments by the UAE in other international markets. The country recently outlined plans to invest an additional $25 billion in India, with discussions focused on strengthening supply chains and expanding opportunities under the India-UAE Comprehensive Economic Partnership Agreement.

The UAE has also announced plans for €40 billion in investment in Germany as part of a broader strategic dialogue covering trade, defence, energy and technology.

The agreements were announced on October 22, 2026. Official UAE statements confirmed the €12.75 billion deal value and the additional €15 billion investment intention, although the individual projects to be funded under the new allocation have not yet been disclosed.