GCC secures position as 6th-largest global trader with USD1.5T in trade
Date
1/27/2025 8:42:53 AM
(MENAFN) The Gulf Cooperation Council (GCC) achieved a significant milestone in 2023, with a total trade volume of $1.5 trillion, solidifying its position as the sixth-largest global trader. This figure accounts for 3.4 percent of global trade, showcasing the region’s growing economic influence. However, the GCC experienced a 4 percent decline in trade volume compared to 2022, according to the 2023 GCC Foreign Trade Report released by the Statistical Centre for the Cooperation Council for the Arab Countries of the Gulf.
In terms of merchandise trade, the GCC held the third position globally, with a trade surplus of $163.7 billion in 2023. This represents a sharp 57.1 percent decrease from the previous year's surplus of $381.3 billion. Despite this drop, the report highlights the continued expansion of the GCC's non-oil sectors, underscoring the region's ongoing efforts to diversify its economy.
The International Monetary Fund (IMF) also noted the strength of the GCC's foreign reserves, which are equivalent to approximately 10 months of the region's import needs. Furthermore, the IMF emphasized the GCC’s role as a key economic hub, with its open trade policies, liberal capital flows, and welcoming stance toward foreign labor contributing to its success.
The region's global trade influence is further confirmed by its position as the fifth-largest exporter of commodities, contributing 3.1 percent of the world's total commodity exports. However, this figure represents a 14.5 percent decline in commodity exports, which were valued at $0.8 trillion in 2023 compared to 2022.
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