Gulf Development Boom Redefines the Consulting Industry

The consulting market in the Gulf is undergoing rapid transformation, driven by rising expectations, intensifying competition, and the pursuit of long-term value (Asharq Al-Awsat). 
The consulting market in the Gulf is undergoing rapid transformation, driven by rising expectations, intensifying competition, and the pursuit of long-term value (Asharq Al-Awsat). 
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Gulf Development Boom Redefines the Consulting Industry

The consulting market in the Gulf is undergoing rapid transformation, driven by rising expectations, intensifying competition, and the pursuit of long-term value (Asharq Al-Awsat). 
The consulting market in the Gulf is undergoing rapid transformation, driven by rising expectations, intensifying competition, and the pursuit of long-term value (Asharq Al-Awsat). 

The rapid acceleration of development programs across the Gulf, powered by national visions and landmark mega-projects, is transforming not only the region’s economies but also the consulting industry that supports them.

As governments and companies pursue unprecedented scale and ambition, they are increasingly seeking advisory partners capable of delivering measurable impact, practical execution, and long-term capability building, rather than strategies that remain confined to paper.

Recent studies indicate that as investment levels rise and expectations intensify, the central challenge is no longer the formulation of bold strategies, but their translation into tangible economic and institutional outcomes.

This shift has reshaped the consulting landscape, raising the bar for performance at a time when traditional advisory models are no longer sufficient. Clients now demand integrated solutions that generate real change, embed knowledge, and create value that extends well beyond theoretical recommendations.

According to a study by Strategy&, obtained by Asharq Al-Awsat, governments and companies across the region are increasingly prioritizing multidisciplinary expertise that combines global perspective with deep local understanding. In this new environment, a consulting firm’s credibility is defined by its ability to convert recommendations into measurable, on-the-ground results.

Jad Hajj, Managing Director and Regional Leader of Strategy& Middle East, part of the PricewaterhouseCoopers network, said ambitious transformation agendas will remain central to the region’s future.

“What distinguishes the current phase is the growing emphasis on sustainable value,” he said. “Governments and private-sector companies are looking for partners who can deliver outcomes, integrate knowledge transfer across the value chain, and bring a deep understanding of local priorities.”

The sector’s growth has attracted a broader range of players, from specialized local firms and in-house advisory teams within government entities and corporations, to technology companies offering innovative consulting services. This diversification is reshaping the market and intensifying competition. “This environment compels all participants to clearly demonstrate the value they bring,” Hajj added.

Mega-Projects and Integrated Ecosystems

Mega-projects and economic diversification initiatives across the Gulf underscore the importance of value creation in this phase, as they reshape regional economies at scale. The central challenge lies in execution, ensuring that investments translate into lasting economic impact by building integrated ecosystems, strengthening institutional and industrial capabilities, and embedding technology and artificial intelligence to support long-term growth.

These dynamics are most evident in Saudi Arabia, the largest and fastest-growing consulting market in the Gulf. Flagship developments such as the Red Sea destination and Qiddiya continue to advance the Kingdom’s diversification agenda and drive transformation across multiple sectors.

This fast-evolving environment requires consulting firms to strengthen coordination during execution, apply rigorous performance measurement, and deliver targeted insights aligned with national priorities to maximize impact.

“We are experiencing a fundamental transformation across all sectors, and consulting is no exception,” Hajj stated, adding: “Clients now expect a seamless link between strategy and execution, which requires close collaboration with local partners and sustained capability building. At the same time, innovations such as artificial intelligence are reshaping delivery models and governance to ensure lasting results.”

Technology and Gulf Talent

Artificial intelligence sits at the center of the consulting sector’s evolution, offering both efficiency gains and structural change. Hajj noted that AI enables faster and deeper analysis, allowing consultants to devote more time to stakeholder engagement and long-term strategic design.

AI is also narrowing the gap between strategy and execution by overcoming scale and capability constraints and enabling firms to provide practical tools that help clients implement strategies and track outcomes. While AI enhances speed and quality, Hajj emphasized that critical judgment, accountability, and sector insight remain core human responsibilities.

Alongside technological change, firms are investing in local talent development to ensure sustainable impact. Strategy& has launched initiatives such as the 10-month “Qadat Program for Gulf Nationals,” aimed at equipping high-potential graduates with hands-on experience and leadership skills to support national visions.

A Rapidly Evolving Market

The Gulf consulting market is undergoing rapid change, driven by higher expectations, intensifying competition, and a growing focus on long-term value. Success is no longer measured by advice alone, but by the tangible outcomes delivered and the capabilities embedded within organizations after projects conclude.

Hajj underlined: “This region is redefining what it means to be a trusted advisor... Clients expect measurable results, capability building, and sustained engagement. While the journey continues, this is a pivotal moment to contribute meaningfully to the region’s long-term ambitions.”

 

 



JMMC Holds 65th Meeting via Videoconference, Discusses Energy Security and Market Stability

General view of Saudi Aramco's Ras Tanura oil refinery and oil terminal in Saudi Arabia May 21, 2018. REUTERS/Ahmed Jadallah
General view of Saudi Aramco's Ras Tanura oil refinery and oil terminal in Saudi Arabia May 21, 2018. REUTERS/Ahmed Jadallah
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JMMC Holds 65th Meeting via Videoconference, Discusses Energy Security and Market Stability

General view of Saudi Aramco's Ras Tanura oil refinery and oil terminal in Saudi Arabia May 21, 2018. REUTERS/Ahmed Jadallah
General view of Saudi Aramco's Ras Tanura oil refinery and oil terminal in Saudi Arabia May 21, 2018. REUTERS/Ahmed Jadallah

The Joint Ministerial Monitoring Committee (JMMC), comprising Saudi Arabia, Russia, Iraq, UAE, Kuwait, Kazakhstan, Nigeria, Algeria and Venezuela holds its 65th Meeting via videoconference.

The JMMC reviewed current market conditions and emphasized the essential role of the Declaration of Cooperation (DoC) in supporting the stability of global energy markets, according to SPA.

In this context, the committee highlighted the critical importance of safeguarding international maritime routes to ensure the uninterrupted flow of energy.

It also expressed concern regarding attacks on energy infrastructure, noting that restoring damaged energy assets to full capacity is both costly and takes a long time, thereby affecting overall supply availability.

Accordingly, the committee stressed that any actions undermining energy supply security, whether through attacks on infrastructure or disruption of international maritime routes, increase market volatility and weaken the collective efforts under the DoC to support market stability for the benefit of producers, consumers, and the global economy.

In this regard, the committee commended the DoC countries that took the initiative to ensure the continued availability of supplies, particularly through the use of alternative export routes, which have contributed to reducing market volatility.

The JMMC will continue to closely monitor market conditions and retains the authority to convene additional meetings or request an OPEC and non-OPEC Ministerial Meeting, as established at the 38th ONOMM held on December 5 2024.

The next meeting of the JMMC (66th) is scheduled for June 7, 2026.


Saudi Market Edges Higher on Insurance and Basic Materials Support

An investor monitors stock prices on a screen at the Saudi stock market in Riyadh (AFP)
An investor monitors stock prices on a screen at the Saudi stock market in Riyadh (AFP)
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Saudi Market Edges Higher on Insurance and Basic Materials Support

An investor monitors stock prices on a screen at the Saudi stock market in Riyadh (AFP)
An investor monitors stock prices on a screen at the Saudi stock market in Riyadh (AFP)

Saudi Arabia’s benchmark Tadawul All Share Index (TASI) edged up 0.03 percent to 11,272 points on Sunday, supported by insurance and basic materials stocks. Total traded value reached SAR 4.27 billion ($1.1 billion).

Shares of Petro Rabigh and The National Shipping Company of Saudi Arabia (Bahri) rose 1 percent and 1.5 percent to SAR 10.9 and SAR 32.6, respectively.

Saudi Arabian Amiantit Co. (Amiantit) led gainers, rising 10 percent to SAR 15.63. In the materials sector, SABIC and Maaden advanced 0.84 percent and 0.46 percent to SAR 60.05 and SAR 65.7, respectively.

In insurance, The Company for Cooperative Insurance (Tawuniya) and Bupa Arabia climbed 1 percent and 2 percent to SAR 127.3 and SAR 174.1, respectively. Almarai rose 1.2 percent to SAR 44.48 after reporting its Q1 2029 results.

On the downside, Saudi Aramco—the index heavyweight—declined 0.22 percent to SAR 27.54.

ACWA Power fell about 1 percent to SAR 168 after announcing last week a temporary curtailment of power output at two of its solar projects. Emaar The Economic City (Emaar EC) was the biggest decliner, falling 7.6 percent to SAR 10.88.


Saudi Airports Serve as Safety Valve for Regional Air Traffic as ‘Hormuz Fallout’ Hits Global Aviation

King Khalid International Airport in Riyadh (SPA)
King Khalid International Airport in Riyadh (SPA)
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Saudi Airports Serve as Safety Valve for Regional Air Traffic as ‘Hormuz Fallout’ Hits Global Aviation

King Khalid International Airport in Riyadh (SPA)
King Khalid International Airport in Riyadh (SPA)

Conflicts in the region are no longer confined to the geography of battlefields; their fallout has reached one of the world’s most vital and sensitive industries: aviation. Today, travelers and airlines alike face a harsh reality driven by record surges in jet fuel prices and a steep spike in insurance costs, pressures that have pushed ticket prices higher, threatening a severe economic squeeze that could derail global tourism plans and reshape travel patterns long taken for granted.

The surge in aviation costs cannot be separated from the turmoil in global energy markets. The link between crude oil and jet fuel prices peaked in early April 2026. As market confidence wavered amid US military threats, crude prices jumped to record levels due to the direct risk to supplies through the Strait of Hormuz, setting off an immediate spike in jet fuel prices. Given that jet fuel is among the most valuable refined products from a barrel of oil, these unprecedented crude levels pushed aviation fuel to nearly double its 2025 levels.

Compound pressures and a tourism slowdown

In remarks to Asharq Al-Awsat, aviation and airport management expert AlMotaz Al-Mirah said the current tensions, in an industry already operating on thin margins, are quickly reflected in both pricing and demand across the tourism sector.

“The rise in ticket prices today is not driven by a single factor,” he said, “but by a combination of pressures: higher fuel consumption, longer routes, elevated insurance costs, and reduced operational efficiency.”

The World Travel & Tourism Council confirmed that “the escalating conflict in Iran is already impacting travel and tourism across the Middle East by no less than $600 million per day in international visitor spending, as disruptions to air travel, traveler confidence, and regional connectivity weigh on demand.”

According to council data released in March, the Middle East plays a critical role in global travel, accounting for 5 percent of international arrivals and 14 percent of global transit traffic. Any disruption reverberates worldwide, affecting airports, airlines, hotels, car rental firms, and cruise lines.

The family travel bill

On leisure travel, Al-Mirah said fare increases have ranged from 15 percent to 70 percent across many routes- higher still on long-haul flights.

“A ticket that used to cost $500 now ranges between $800 and $1,000,” he noted, “meaning an increase of up to $2,000 for a family of four.” This is forcing many travelers to delay trips or opt for closer destinations, reshaping demand across regional markets.

He detailed the price surge since the crisis began in late February: jet fuel rose from around $85–90 per barrel to between $150 and $200. This has driven the cost per flight hour for long-haul aircraft from an average of $10,000 to more than $18,000 in some cases. A flight carrying 180 passengers could see total additional costs of about $15,000, forcing airlines to add roughly $80 per ticket just to break even.

Globally, Brazil’s Petrobras raised jet fuel prices by about 55 percent in early April, while the Philippines warned that some aircraft could be grounded due to fuel shortages, and Taiwanese carriers are preparing to increase international fuel surcharges by 157 percent.

Longer routes, heavier maintenance burdens

Al-Mirah explained that longer flight times to avoid unstable airspace carry steep financial costs, with each additional hour adding between $5,000 and $7,500. Route changes extending flight durations by one to two hours have increased fuel consumption by up to 30 percent. More time in the air also accelerates engine wear.

The strain goes beyond fuel. Increased flight hours speed up the deterioration of engines and components, bringing forward maintenance schedules and raising annual servicing costs- ultimately reducing fleet efficiency.

Airlines are also grappling with sharply higher war-risk insurance premiums. While such costs typically account for no more than 1 percent of total operating expenses, they have surged by between 50 percent and 500 percent in the current crisis, according to a March 2026 report by Lockton.

This buildup of fuel and insurance costs threatens to turn profitable routes into loss-making ones, potentially forcing cash-strapped or low-cost carriers to suspend some routes temporarily to preserve financial stability.

An aircraft from Riyadh Air at Le Bourget Airport (Reuters)

Saudi airports support regional air traffic

Amid these complexities, Saudi Arabia’s General Authority of Civil Aviation has deployed its capabilities to activate regional support protocols. Gulf airlines have shifted logistical operations to Saudi airports to keep regional air traffic safe and moving.

The authority announced that the Kingdom received more than 120 flights from neighboring countries’ carriers between February 28 and March 16, including Qatar Airways, Iraqi Airways, Kuwait Airways, Jazeera Airways, and Gulf Air.