Corporate Finance - GCC

The revenue in the Corporate Finance market is projected to reach US$2.68bn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 2.69% resulting in a projected total amount of US$3.06bn by 2029.
The average transaction value in the Corporate Finance market amounts to US$0.20bn in 2024.
From a global comparison perspective, it is shown that the highest revenue is reached in the United States (US$130.10bn in 2024).

Market

Region

Region comparison

Currency

Analyst Opinion

The Corporate Finance market in GCC is witnessing a significant shift driven by evolving customer preferences and local special circumstances.

Customer preferences: Customers in the GCC region are increasingly seeking more diverse and sophisticated financial products and services. This shift is mainly attributed to the growing awareness and education about investment opportunities, leading to a higher demand for tailored financial solutions that cater to individual needs and risk appetites.

Trends in the market: In the United Arab Emirates (UAE), there is a noticeable trend towards Islamic finance products in the Corporate Finance market. This trend is driven by the cultural and religious preferences of the local population, as Islamic finance aligns with Sharia principles. Additionally, there is a growing interest in sustainable finance and green investments, reflecting a global trend towards more environmentally conscious financial practices.

Local special circumstances: The regulatory environment in Saudi Arabia plays a significant role in shaping the Corporate Finance market. The country's Vision 2030 initiative has led to increased privatization efforts and an emphasis on diversifying the economy, creating new opportunities for corporate finance activities. Moreover, the presence of sovereign wealth funds in the region influences investment decisions and capital flows, adding a unique dynamic to the market.

Underlying macroeconomic factors: The stability of oil prices and government spending policies in the GCC countries have a direct impact on the Corporate Finance market. Fluctuations in oil prices can influence liquidity levels in the market, affecting investment decisions and capital raising activities. Additionally, geopolitical factors and global economic trends can create both challenges and opportunities for the Corporate Finance sector in the region.

Methodology

Data coverage:

Figures are based on the revenue generated by the Investment Banking market, as well as the transaction value, the number of transactions, and the average transactions size of the Mergers and Acquisitions (M&As) and Initial Public Offerings (IPOs) markets.

Modeling approach / Market size:

Market sizes are determined by a bottom-up approach and are based on a specific rationale for each market. As a basis for evaluating markets, we use market research and analysis, as well as data from annual financial reports. Furthermore, we use relevant key market indicators and data from country-specific associations and national data bureaus, such as GDP, wealth per capita, and total investment (% of GDP). This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. In this market, we use the HOLT-damped Trend method to forecast future development. The main drivers are GDP per capita and total investment (% of GDP).

Additional Notes:

The market is updated twice per year in the event that market dynamics change.