Postcard from the Gulf: Thinking forward to an optimistic year ahead
From Saudi Arabia’s aviation projects to Oman’s quiet yet key role in the region’s future.
It’s hard to point to a part of the globe that is changing more quickly than the Gulf. In 2026 and beyond, however, all of that ambition, vision and topdown decision-making that defined the region’s rise will give way to a need for longer-term thinking. The long-delayed, region-wide GCC Railway Project, a route of about 2,000km, is finally edging forward – a symbol of a region learning that integration matters as much as spectacle. In the UAE, Etihad Rail is becoming one of the country’s most consequential projects as road traffic reaches breaking point. A passenger rail service linking Abu Dhabi, Dubai and other key locations could transform daily life.
The UAE is a young nation but there’s plenty of ambition on show on Saadiyat Island. The Louvre Abu Dhabi will be joined by the Zayed National Museum, Guggenheim Abu Dhabi and the Natural History Museum in 2026. In them, you will be able to spot the shift from “building tall” to “building meaning”. That said, clustering marquee institutions on a single stretch of coastline could risk concentrating this clout instead of creating vibrant neighbourhoods.
In Dubai, the aspiration to delve beneath the surface rather than merely develop the skyline will only grow. Elon Musk’s Dubai Loop is slated to begin operations by mid-2026. It’s an audacious idea: 17km of tunnelling that could deliver 20,000 passengers in pods through the city’s core every hour. If the Loop works, it could become a model for urban innovation. If not, it might be a symbol of a place that dreams more convincingly than it can build.
Saudi Arabia’s aviation projects, from Riyadh Air to Neom’s futuristic airports, show a nation determined to rise, even as announcements confirm that elements of the Neom megacity project are being scaled back. That in itself feels like maturity – a country learning to scale sensibly and be more realistic.
Oman, one of the Gulf’s quietest players, is proving to be its most courageous, with a plan to introduce personal income tax by 2028. A modest 5 per cent levy on higher earners might not sound radical but it’s an act of fiscal realism. Oman might be pioneering the Gulf’s next era – one in which economic sustainability is valued as highly as the optics.
Inzamam Rashid is Monocle’s Gulf correspondent, based in Dubai.