GCC tops global remittance outflows at $161bn

05/10/2026 03:59 AST

Gulf Cooperation Council countries recorded the highest value of outward workers' remittances globally in 2025, with transfers reaching about $161 billion, official data showed.

The figure rose 13.6 percent from 2024, marking a second consecutive year of growth after remittance outflows declined in 2023, according to GCC-Stat data cited by the UAE's state news agency, WAM.

The GCC's remittance flows have increased alongside the region's economic expansion and continued reliance on expatriate workers. The bloc's population reached 63.3 million in 2025, while non-oil activities accounted for 70.6 percent of combined gross domestic product and grew 5.1 percent during the year.

The increase comes as Gulf economies continue to attract expatriate labor to support infrastructure, services, industry and other non-oil sectors. The shift toward more diversified economies has also increased demand for workers across a broader range of industries.

The International Monetary Fund said economies with larger non-hydrocarbon sectors, including Bahrain, Saudi Arabia and the UAE, were better positioned to cushion the impact of recent disruptions, although weaker trade and business confidence have constrained activity.

"The data highlighted the exceptional global standing of the GCC countries when comparing their total outgoing remittances with the remittance values recorded in a number of major economies individually," the WAM report stated.

It added: "They clearly outperformed the United States of America, whose remittances amounted to about $107 billion, Switzerland with about $43 billion, Germany with about $27 billion, and France with about $21 billion."

Remittances reach 6.6% of GDP
Worker remittances accounted for about 6.6 percent of the GCC countries' combined GDP in 2025, up from 6 percent in 2024, 5.7 percent in 2023 and 5.6 percent in 2022.

The report said the ratio measures the relative scale of remittance flows against the size of GCC economies and should not be viewed as a direct measure of economic performance.

These remittance flows extend beyond their direct financial value, supporting household incomes, consumer spending and economic stability in recipient countries.

The continued rise in remittances underscores the GCC's growing role in global financial flows, while also reflecting the region's expanding non-oil economy and demand for expatriate workers.

Arab News