GCC retail industry to ‘grow 15.7% to $296.8bln in 2022’

GCC retail industry to ‘grow 15.7% to $296.8bln in 2022’

GCC retail industry will surpass pre-pandemic levels in 2022, register a 15.7% year-on-year growth and reach a revenue of $296.8 billion. The industry is expected to further grow at a compounded annual growth rate (CAGR) of 5.7% by 2026, says Alpen Capital’s latest retail sector report.

According to Alpen Capital, the GCC retail industry sales are forecast to grow at a pace of 5.7% CAGR between 2022 and 2026 to reach $370 billion.

The industry is expected to see renewed growth largely driven by the anticipated rebound in economic activity, increase in population, upcoming mega events and rising adoption of digital technologies.

Significant investments

Regional governments are also making significant investments to enhance the leisure and entertainment sector while also enhancing the tourism and hospitality infrastructure as it witnesses influx of tourists post the pandemic.

Non-food retail sales are forecast to grow at a CAGR of 6.2% between 2022 and 2026 while food retail sales are anticipated to increase at an annualised rate of 4.9% during the period.

Retail sales in the GCC nations are projected to grow in the range of 3.5% and 7.3% CAGR between 2022 and 2026. Saudi Arabia and UAE continue to lead the retail sales regionally, cumulatively accounting for 78.5% of