Almost 65% of decision-makers in the Gulf Cooperation Council (GCC) expect regional progress to continue through the end of 2024 despite challenges from geopolitical, macroeconomic and technological disruptions, according to a new study by Teneo, a New York-based global CEO advisory firm.

Although the overall outlook for regional economic growth remains positive, there is a clear disparity among GCC countries. Saudi Arabia and the UAE report strong confidence, with 82% and 74% of respondents expressing robust positive sentiment, respectively.

In contrast, Oman (53%) and Kuwait (54%) are adopting a more cautious stance, mirroring a cautious outlook on the future of both regional and global economies.

The divergence within the GCC is largely attributed to differing national strategies and varying assessments by international rating agencies.

The UAE and Saudi Arabia benefit from optimistic growth forecasts by global institutions such as the International Monetary Fund, reflecting the effectiveness of their economic diversification strategies.

The survey, which is based on the opinions of 500 senior leaders across the public and private sectors in the GCC, found geopolitical instability remains a significant concern. Only 26% of decision makers indicated that their organisations are prepared for an escalation in geopolitical tensions.

While most GCC countries admit their limited preparedness for geopolitical instability the UAE stands out, with 54% of respondents indicating a high level of readiness.

Cybersecurity also emerges as a notable challenge, with 25% of respondents identifying it as the top threat to growth.

Perspectives on the impact of national vision programmes vary across the GCC, with over 90% of respondents from Saudi Arabia and the UAE highly positive of Vision 2030 and UAE Vision 2031 impact on their organizations.

GCC decision-makers are mainly optimistic about the region's long-term future, the Teneo survey said, with most anticipating the region solidifying its position as a major international business hub within the next 25 years.

Editing by Brinda Darasha; brinda.darasha@lseg.com