Intra-GCC trade witnessed a significant leap during 2024, as the Secretary-General of the Federation of GCC Chambers, Saleh Al-Sharqi, revealed that the volume of trade exchange between member states exceeded $146 billion , achieving a remarkable growth rate of 9.8% compared to 2023 levels. These figures reflect the strength of economic relations and the strategic direction towards enhancing economic integration in the region.
Indicators of economic growth and the general context
This announcement came during a recent media briefing held by the Federation of Gulf Chambers at its headquarters in Al-Khobar, dedicated to reviewing achievements and future plans. This growth is a continuation of a long history of economic cooperation that began with the establishment of the Gulf Cooperation Council (GCC), progressed through the launch of the Customs Union in 2003, and culminated in the Gulf Common Market in 2008. These figures underscore the success of economic policies aimed at diversifying income sources and reducing overall dependence on oil, thus opening the door for the industrial, logistics, and intra-GCC trade sectors to play a larger role in the GCC countries' GDP.
The role of the private sector and investment opportunities
During the meeting, Al-Sharqi emphasized that this increase in trade volume reflects the vast investment opportunities available to the Gulf private sector across multiple sectors. He noted that the Federation continues its diligent efforts to enhance the contribution of this vital sector, not only in increasing trade volume but also in shaping visions for developing regulatory frameworks. This aims to facilitate the flow of goods and services across border crossings and remove non-tariff barriers that may hinder trade, thereby enhancing the attractiveness of the investment environment in the region.
Regional and international impact
This growth extends beyond the Gulf region itself, bolstering the GCC's position as an influential economic bloc on the international stage. Increased intra-GCC trade strengthens regional supply chains and enhances food and industrial security, granting the GCC states greater negotiating power in free trade agreements with other global blocs. Furthermore, joint infrastructure projects, such as the Gulf Railway Network and the electricity grid interconnection, play a pivotal role in supporting this accelerated growth.
Future plans and challenges of the current phase
The meeting also reviewed the most significant achievements of the past period and the ambitious plans for the current and coming years. The Union is focusing on maximizing the benefits of economic forums to present opportunities and discuss challenges transparently. Through these plans, the GCC countries seek to create a more flexible and competitive business environment that keeps pace with global digital transformations and supports innovation, to ensure sustainable economic growth and achieve prosperity for the people of the region.
