Insights

May 12, 2025

Beyond their U.S. investments, Gulf states are reshaping global finance, attracting top financial institutions with favorable tax codes and regulations, simple setup processes, and immense pools of capital.

• In the past year, firms including BlackRock, Lazard, Goldman Sachs, JP Morgan, and others have established regional hubs, seeking to tap into vast pools of capital and Sovereign Wealth Funds (SWFs) in the region.
• “It feels, when you’re in the region, almost palpable that they are in this position of power that they really have never been in, like this, quite before,” said Heather Perlberg, Bloomberg’s senior wealth reporter, on Gulf SWFs.
• The U.S. Treasury is reportedly considering granting Gulf SWFs special ‘fast-track’ status, eliminating some regulatory hurdles for Gulf foreign direct investment in the U.S. 
• The region is also experiencing a crypto surge, with Dubai’s TOKEN2049 drawing 15,000 attendees and Abu Dhabi’s MGX investing $2 billion in Binance.
• Go deeper: The six largest Gulf SWFs control over $4 trillion in assets—a number expected to double by 2030—with Abu Dhabi in particular having seen a 226% increase in assets under management last year alone. 

The business of sports: As part of broader economic diversification efforts, Gulf countries have invested heavily in sports—from Abu Dhabi’s ownership of Manchester City, to Saudi Arabia’s backing of LIV Golf, the Women’s Tennis Association, and upcoming hosting duties for the 2034 FIFA World Cup, following in the footsteps of Qatar’s historic 2022 tournament. 

Media is also riding the wave. Global outlets are expanding their presence and planning events (see below) in the region, with CNN announcing earlier this year its plans to move into Qatar’s Media City to enhance its Middle East coverage while Semafor last year launched a Gulf-focused newsletter, its third, following U.S. and Africa editions (see more on Semafor below). Fortune is hosting two major events in Riyadh this year: the upcoming Most Powerful Women International Summit in partnership with the Saudi Conventions and Exhibitions General Authority, and its Global Forum in October. “Fortune strives to be at the center of new frontiers of global business, and Saudi Arabia is one of those places,” said CEO Anastasia Nyrkovskaya.

The big picture: The Gulf’s transformation extends beyond those operating in the region. Its growing influence in geopolitics, finance and media impacts global technology, wealth flows and cultural narratives. Organizations, even those not active in the Gulf, are increasingly recognizing its role in shaping global markets and perceptions – and are paying close attention to stay competitive in an interconnected world.

• AI advantage: With early adoption and major investment, the Gulf is emerging as a prime environment to test and scale AI, supported by a regulatory framework that encourages innovation. 
• ‘America First’: The Gulf’s foreign direct investment strength is central to President Trump’s foreign-policy vision. Companies can leverage this era of bilateral cooperation to tap new capital and engage federal stakeholders.
• Shape global perceptions: Gulf media expansions and events amplify the region’s influence, shaping perceptions among investors and the general public. Organizations should align their brand with these trends to stay relevant and reach new audiences.