97% of Saudi and UAE firms see global expansion scope despite volatility

AI investment and supply chain redesign drive resilience and growth plans

Last updated:
Nivetha Dayanand, Assistant Business Editor
Organisations are also extending their investment timeframes to align with a more complex landscape.
Organisations are also extending their investment timeframes to align with a more complex landscape.
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Dubai: Businesses in Saudi Arabia and the UAE are pressing ahead with international expansion plans despite regional volatility, with 97% saying they still see room to grow globally.

That confidence is holding even as companies navigate disruption across trade routes and rising uncertainty in the broader geopolitical environment, according to a new HSBC survey.

The study, which polled 3,000 firms and institutional investors across ten markets including 600 from the UAE and Saudi Arabia, shows companies are adjusting how they operate without stepping away from long-term growth plans.

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Regional strength

Senior executives in both markets are showing stronger belief in their ability to reposition compared to global peers. Around 57% of respondents in Saudi Arabia and 50% in the UAE said they strongly believe they can realign their organisations for the future, against a global average of 36%.

That confidence is closely linked to the region’s economic backdrop and ongoing diversification efforts, which continue to support business planning even during periods of stress.

“As a lynchpin of global trade, this survey gives a glimpse of the immediate response measures undertaken by firms in Saudi Arabia and the UAE to secure the flow of goods and trade, amid disruption in the region,” said Selim Kervanci, CEO, Middle East, North Africa and Türkiye at HSBC Bank Middle East

Supply chains turned into a growth lever

Companies across both markets are reworking supply chains with expansion in mind. Nearly all respondents see international opportunities emerging from these changes, with 98% in Saudi Arabia and 95% in the UAE pointing to growth linked to supply chain adjustments.

At the same time, trade is expected to become more regionally concentrated. Around 94% of respondents believe cross-border activity will tilt further towards intraregional corridors over the next five years, while still keeping global connections in place.

This approach is helping firms keep goods moving while reducing exposure to external shocks that have disrupted trade flows in recent years.

Businesses in Saudi Arabia and the UAE remain committed to medium-term strategies, anchored by their confidence in the GCC’s economic fundamentals and long-term diversification plans. The survey shows that, while international growth remains a priority in the long term, firms also see opportunities to realign intraregional supply chains to keep trade flowing. They are also looking to deploy investment in AI and digital capabilities to help improve productivity, decision-making and competitiveness. As a leading international connector, HSBC is supporting clients to keep trade, capital and investment moving to support their growth ambitions
97% of Saudi and UAE firms see global expansion scope despite volatility
Selim Kervanci CEO (MENAT) at HSBC Bank Middle East

AI spending moves higher on the agenda

Technology investment is moving up the priority list. Around 60% of respondents said access to technology and infrastructure will play a major role in shaping strategy over the next three years.

AI is a key part of that push, with companies using it to improve planning, strengthen decision-making and manage operational risk more effectively.

Portfolio strategies are moving in the same direction. Increasing exposure to AI and technology themes ranked among the top drivers of investment decisions, cited by 52% of respondents in the UAE and 46% in Saudi Arabia.

Longer investment horizons are also becoming more common. Around 73% of respondents in Saudi Arabia and 67% in the UAE said their timeframes have extended compared to three years ago, pointing to a more measured approach to capital deployment.

Nivetha Dayanand
Nivetha DayanandAssistant Business Editor
Nivetha Dayanand is Assistant Business Editor at Gulf News, where she spends her days unpacking money, markets, aviation, and the big shifts shaping life in the Gulf. Before returning to Gulf News, she launched Finance Middle East, complete with a podcast and video series. Her reporting has taken her from breaking spot news to long-form features and high-profile interviews. Nivetha has interviewed Prince Khaled bin Alwaleed Al Saud, Indian ministers Hardeep Singh Puri and N. Chandrababu Naidu, IMF’s Jihad Azour, and a long list of CEOs, regulators, and founders who are reshaping the region’s economy. An Erasmus Mundus journalism alum, Nivetha has shared classrooms and newsrooms with journalists from more than 40 countries, which probably explains her weakness for data, context, and a good follow-up question. When she is away from her keyboard (AFK), you are most likely to find her at the gym with an Eminem playlist, bingeing One Piece, or exploring games on her PS5.

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