By Roman Ziemian — Entrepreneur & Investor
The Gulf Cooperation Council (GCC) is witnessing an unprecedented transformation of its capital markets, positioning itself as a global hub for investment and innovation. From blockbuster IPOs to the introduction of SPAC regulations, the region is moving from being a regional economic player to a competitive force on the world stage.
An IPO Boom Redefining the Region
In 2024, the GCC recorded 53 listings, raising approximately $13.2 billion. The UAE led the way, contributing nearly half of the total ($6.2 billion), while Saudi Arabia accounted for 31%.
The momentum has carried into 2025. In Q1, Saudi Arabia raised $1.1 billion across 11 listings, and Q2 saw $2.4 billion from 12 IPOs—76% of which came from Saudi markets. These numbers reflect growing investor confidence in economic diversification and regulatory reforms.
High-Profile Listings Making Global Headlines
Major names have recently gone public, underscoring the GCC’s appeal for both regional and international investors. Dubai-based food delivery giant Talabat raised $2 billion, while retail powerhouse Lulu secured $1.7 billion—cementing the city’s status as a venue for major new-economy IPOs.
Saudi Arabia’s entry into SPAC regulation, which mandates deal closures within 24 months, marks another milestone in modernising the region’s financial toolkit and offering faster routes to liquidity.
Why the GCC is Magnetising Investors
- Built-In Economic Diversification
Saudi Arabia’s Vision 2030 and the UAE’s post-oil growth strategies are actively shaping capital markets and driving investment-friendly reforms. - Strong Foreign Capital Inflows
Q2 2025 saw a 50% jump in net foreign equity inflows into GCC markets, led by Saudi Arabia’s $1.4 billion contribution—evidence of global trust in policy transparency. - Expanding Listing Platforms
Markets such as Saudi Arabia’s Nomu are attracting SMEs through lighter listing requirements, while large private companies leverage IPOs for strategic exits and growth. - Global Capital Relocation
Amid geopolitical uncertainty and inflation pressures, investors are shifting capital to the GCC for stability, returns, and responsive regulation.
Opportunities and Caution
While the IPO market is thriving, not all listings sustain strong post-debut performance. Experts caution that regulatory integrity and fundamental market strength must match the pace of IPO enthusiasm to maintain long-term stability.
The Road Ahead
The GCC’s capital markets are no longer following global trends—they’re setting them. With SPACs gaining traction, mega-IPOs making headlines, and foreign capital flowing in, 2025 is shaping up to be a defining year for the region’s financial sector.
“The GCC’s financial metamorphosis is genuine, enduring—and only just beginning,” says Roman Ziemian.
