An article by Nathan Farrugia, Managing Director of Vistage International, the UAE.

Expanding into the Gulf Cooperation Council (GCC) region offers unmatched opportunities in a world economy that is unpredictable. While many western countries grapple with economic downturns, the GCC boasts a rapidly growing economy and a buoyant business climate, supported by government initiatives and favorable tax policies.

According to the World Bank, the GCC economy is projected to grow by 3.6% in 2024 and 3.7% in 2025, outpacing major markets globally. This growth spans diverse industries as the region reduces its reliance on the oil and gas sector, embraces foreign investment opportunities, and fosters entrepreneurship.

Expatriates often find themselves drawn to the Middle East, with many eventually relocating due to the enticing lifestyle and business-friendly environment. As someone who conducts business in Europe and the US, I've been amazed by the can-do attitude prevalent in this region, which sets it apart from other countries. The rich cultural diversity, investment potential, vibrant social scene, and overall stability make it an attractive place to work and live.

However, success in the GCC hinges on understanding its unique challenges and opportunities. Whether you're considering relocation or expanding your business, here are some key considerations to maximise your success:

Understanding the local culture

Depending on your business and industry, you will be working alongside a wide range of nationalities, each with their own culture and sub-culture. The UAE for example, is home to more than 200 nationalities. A high degree of emotional intelligence goes a long way in understanding different perspectives and approaches to doing business in the region and will ensure a higher level of respect and collaboration. 

Navigating financial and governance changes

Governance structures vary across GCC countries, leading to frequent regulatory and economic changes. Staying informed and seeking professional advice is crucial, especially with recent developments like corporate taxation in the UAE. Getting the right advice and working with professionals to help manage these aspects of your business is critical to staying stress-free and out of trouble.

Making long-term or short-term choices

GCC countries have witnessed growth in the number of people seeking residency over the past few years. With ambitious plans to attract more investors and entrepreneurs, new opportunities across the Gulf allow expats to stop seeing the region merely as a transitional stepping stone in their careers. The Golden Visa in Dubai encourages non-Emiratis to make the region their home for a longer period of time, while more housing options and the increasing quality of schools encourages those with young families to lay down roots. Similarly, Qatar, Bahrain, Oman and Saudi Arabia are offering residency to investors in the region. 

Diversifying your business 

While doing business across the GCC is relatively straightforward, focusing on establishing stability in one location before expanding further is advisable. Choose a strategic base that aligns with your business goals and offers sustainable growth prospects.

Join local networks

When you first arrive in any new place, it’s important to embrace opportunities to meet new people and perhaps step out of your comfort zone more than you have before. If you are an owner or a CEO, join peer groups like VISTAGE to grow your local network and benefit from the wisdom of people who have been in the region for longer than you. Not only will you be able to share knowledge and tips, but inevitably, it will help you build lasting relationships and friendships in your sector and beyond.