In the first quarter of 2025, Gulf Cooperation Council (GCC) countries accounted for over 35% of all emerging-market U.S. dollar debt issued, excluding China. This marks a significant increase from approximately 25% in 2024. The surge is attributed to regional governments and corporations seeking to diversify funding sources amid fiscal pressures and global economic uncertainties. Fitch Ratings forecasts this trend to continue through 2025 and 2026, supported by strong regional and Islamic investor liquidity.