Competitiveness and Foreign Direct Investment Attractiveness in the GCC: A Comparative Regional Analysis

Abstract

This study examines the relative competitiveness of Gulf Cooperation Council (GCC) economies in attracting foreign direct investment (FDI) over the period 2021–2025. Using exclusively secondary data from credible national and international sources, the analysis compares key indicators of competitiveness and investment across GCC countries to identify the most attractive investment destination in the region. The study adopts a comparative, descriptive approach to assess how macroeconomic stability, institutional quality, policy orientation, and business environment conditions influence FDI inflows. The findings reveal notable differences in competitiveness levels among GCC economies, reflecting variations in reform intensity, diversification strategies, and investment facilitation frameworks. While reliance on secondary data limits insights into firm-level perceptions and informal institutional factors, the study provides a consistent, policy-relevant regional comparison. The results contribute to the literature on FDI and national competitiveness in emerging economies and offer practical implications for policymakers seeking to enhance the GCC’s attractiveness as a global investment destination.