Companies in the Gulf Cooperation Council (GCC) raised $2.5bn through initial public offerings (IPOs) in the second quarter of 2025, according to PwC Middle East’s latest IPO Watch report, as investor appetite for regional equities remained strong despite global volatility.

Saudi Arabia dominated issuance, accounting for 76 per cent of total IPO proceeds, bolstered by landmark deals including Flynas, the first airline IPO in the GCC in over 15 years, and Specialized Medical Co, which raised $500m in June.

Three IPOs during the quarter raised over $500m each, signalling a trend toward larger deal sizes amid sustained institutional demand.

In total, the region recorded four IPOs on main exchanges and eight listings on Saudi Arabia’s Nomu Parallel Market, which collectively raised $128m, up from $81m in Q2 2024.

Slight decline in GCC IPO listings in Q2

Despite a slight decline in total listings, IPO proceeds remained broadly in line with Q2 2024’s $2.6bn, underlining continued investor confidence in GCC capital markets.

In the UAE, the Dubai Residential REIT marked the first real estate investment trust IPO since 2014, reinforcing renewed interest in alternative assets. The Dubai Financial Market (DFM) and Abu Dhabi Securities Exchange (ADX) posted strong quarterly gains of 15 per cent and 7 per cent respectively, helped by rebounds in the real estate, financials and industrials sectors.

“The global market volatility at the start of Q2, driven by uncertainty over global trade tariffs, understandably prompted some companies to reassess their IPO plans,” said Muhammad Hassan, Capital Markets leader and partner at PwC Middle East. “Despite slower IPO activity across the GCC, Tadawul and DFM witnessed landmark IPOs such as Flynas and Dubai Residential REIT. The outlook remains cautiously optimistic for the remainder of the year, subject to macroeconomic and geopolitical factors.”

Bond and sukuk issuance sees rise in Q2

Bond and sukuk issuance also saw sharp increases compared to the same period last year.

Total bond issuance reached $4.9bn in Q2 2025, up from $0.5bn in Q2 2024, while sukuk issuance rose to $11.4bn from $9.7bn over the same period.

Equity markets delivered mixed performances. Early-quarter turbulence, including a roughly 20 per cent drop in Brent crude prices, weighed on Saudi Arabia’s Tadawul index, which fell 6 per cent over the quarter. However, recovery in the latter half of Q2 helped restore investor sentiment across the region.

PwC noted that while Q3 is typically a quieter season for IPOs, a strong and diversified pipeline remains in place across the GCC, with several issuers eyeing listings in late 2025 and early 2026.

The Public Investment Fund (PIF) has once again been named the world’s most valuable sovereign wealth fund (SWF) brand, according to the latest rankings by Brand Finance, a leading independent brand valuation consultancy.

In its 2025 edition of The Asset Management and Sovereign Wealth Fund 50, released on July 28, Brand Finance valued PIF’s brand at $1.2bn, an 11 per cent increase from 2024. This marks the second consecutive year PIF has claimed the top spot globally, a PIF report said.

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With an A+ brand strength rating and a brand strength index score of 62.9 out of 100, up from the previous year, PIF continues to outperform global peers in both reputation and performance. Its brand strength surpasses the average for SWFs worldwide, reinforcing its leadership in the sector.

Sports partnerships fuel visibility

PIF was the only SWF to appear in the top 10 rankings for brand value to assets under management (AuM) ratio, placing seventh among all asset management and SWF brands. The fund’s AuM has seen strong growth, attributed to robust returns from key portfolio companies and long-term investments nearing maturity.

Brand Finance highlighted PIF’s expanding portfolio of high-profile sports sponsorships, including partnerships with ATP and WTA tennis, Formula E, Extreme E, and ownership of LIV Golf, as key drivers of its brand value. These initiatives fall under the fund’s E360 sports investment platform.

“Formula 1 and football are powerful ways for sovereign wealth funds to elevate their global profile,” said David Haigh, chairman and CEO of Brand Finance. “PIF’s investments continue to enhance awareness and strengthen its international reputation.”

Dubai International (DXB) recorded its busiest first half on record, welcoming 46 million guests in the first six months of 2025, marking a 2.3 per cent year-on-year increase.

This growth was achieved despite temporary regional airspace disruptions in May and June, underscoring DXB’s operational agility and its vital role in global connectivity.

In Q2 alone, DXB served 22.5 million passengers, up 3.1 per cent from the same period last year.

April was the busiest month of the quarter and the most active April on record, with 8 million guests.

Paul Griffiths, CEO of Dubai Airports, stated, “DXB’s continued growth through a period of regional challenges highlights the strength of Dubai and the UAE, the agility of our operations, and the commitment of our airport community.”

He added that the airport expects annual traffic to reach 96 million this year, nearing the symbolic 100 million milestone.

Average monthly traffic in H1 stood at approximately 7.7 million, with daily volumes averaging 254,000. January was the busiest month of the period, setting a new monthly record with 8.5 million guests.

DXB H1 highlights

DXB handled 222,000 total flights in the first half of the year, achieving a load factor of 76 per cent. A total of 41.8 million bags were processed, with 91 per cent delivered within 45 minutes on arrival.

The mishandled baggage rate remained low at 2 bags per 1,000 guests, significantly outperforming the 2024 industry average of 6.3 reported by SITA. The airport is projected to process over 85 million bags by year-end.

Efficiency at key guest touchpoints remained high, with 99.2 per cent of guests clearing departure passport control in under 10 minutes, 98.4 per cent clearing arrivals in under 15 minutes, and 98.7 per cent passing through security checks in under five minutes.

India remained DXB largest country market

India remained DXB’s largest country market in H1 with 5.9 million passengers, followed by Saudi Arabia (3.6 million), the UK (3 million), Pakistan (2.1 million), and the US (1.6 million).

London was the busiest city destination with 1.8 million passengers, followed by Riyadh (1.5 million), Mumbai (1.2 million), Jeddah and New Delhi (1.1 million each), and Istanbul (982,000).

DXB processed just over one million tonnes of cargo in H1 2025, a marginal increase of 0.1 per cent year-on-year. The airport is connected to over 269 destinations in more than 107 countries, served by over 92 international carriers.

With the second half underway, DXB anticipates intensified travel activity, including the late-summer peak and a winter season with high-profile events such as the Dubai Airshow 2025.

WeRide‘s Robotaxi was granted Saudi Arabia’s first Robotaxi autonomous driving permit, making it the world’s only technology company with products holding autonomous driving permits in six countries: Saudi Arabia, China, the UAE, Singapore, France, and the US.

With this permit, WeRide is authorised to operate an autonomous vehicle (AV) business and deploy Robotaxis nationwide in Saudi Arabia, starting with its pilot operations in Riyadh with Uber and local partner Ai Driver.

Launched earlier this month, the pilot covers King Khalid International Airport and several key locations throughout Riyadh, including major highways and selected city center destinations.

A full-scale commercial Robotaxi service is expected to launch by end-2025 through a partnership between WeRide and Uber.

WeRide‘s Robotaxi was granted the permit at an official ceremony last week, attended by Engineer Saleh bin Nasser Al-Jasser, Minister of Transport and Logistics Services and chairman of the Transport General Authority (TGA); Jennifer Li, CFO and head of International at WeRide; and other senior Saudi government officials.

WeRide’s Robotaxi completes TGA’s Regulatory Sandbox for AV Piloting in Saudi Arabia

WeRide is the first AV technology company whose Robotaxi has completed the TGA’s Regulatory Sandbox for AV Piloting in Saudi Arabia. The approval process, conducted in coordination with multiple government agencies, includes rigorous testing, assessments, and technology validation to secure the Robotaxi autonomous driving permit, to ensure the highest standards of safety and performance.

“This permit marks a major step in our global expansion, enabling us to scale Robotaxi services and unlock new commercial opportunities in Saudi Arabia. It drives large-scale deployment, unlocks new revenue streams, and reinforces our commitment to making autonomous mobility a reality worldwide. We thank the TGA for supporting our vision for safer, smarter transportation at scale,” said Jennifer Li, CFO and head of International at WeRide.

The announcement follows WeRide’s entry into Saudi Arabia in May.

In addition to its Robotaxi plans, WeRide has been testing and operating its Robobus in key locations including King Fahad Medical City, Aramco residential communities, AlUla, and the Ritz-Carlton, Riyadh.

Its Robosweeper S1 is also in operation at King Fahad Medical City, Riyadh Second Health Cluster, marking the first monetised autonomous sanitation project in both Saudi Arabia and the wider Middle East.

Beyond Saudi Arabia, WeRidehas been rapidly expanding across the region in the last few months.

Its Robotaxis are currently undergoing fully driverless Robotaxi testing in Abu Dhabi — the first deployment of its kind in Middle East — and will also soon extend its Robotaxi service to Dubai.

The Ministry of Human Resources and Emiratisation (MoHRE) has taken administrative and financial measures against 40 domestic worker recruitment offices in the UAE during H1 2025. This follows the confirmation of approximately 140 violations of the country’s Labour Law governing domestic workers and its implementing regulations.

The ministry said it would not show leniency toward any recruitment office found to have committed legal or administrative violations.

MoHRE warned that repeated non-compliance with regulations could lead to tougher penalties, including the potential cancellation of operating licences.

In a statement on social media platform, X, MoHRE said the action comes as part of ongoing efforts to regulate the domestic labour market, boost the competitiveness and performance of recruitment offices, and respond promptly to complaints from employers and families.

“Continuous monitoring is carried out using both field-based and digital systems to detect and address violations, and to ensure offices are adhering strictly to applicable legislation,” the ministry said.

The majority of violations were related to failure to refund full or partial recruitment fees within the legally mandated two-week period.

This refund should be issued when a domestic worker is returned to the recruitment office or is reported to have stopped working. Other infringements included failure to clearly display ministry-approved service package prices to customers.

MoHRE says its equipped to deal with violations

MoHRE affirmed that its inspection and monitoring systems were fully equipped to deal with violations seriously and transparently, and reiterated its commitment to hearing complaints from employers.

The ministry encouraged the public to report any negative practices through its digital platforms or by calling the Labour Claims and Advisory Call Centre at 80084.

It also urged customers to work only with licenced recruitment offices to avoid the risk of fraudulent or unprofessional conduct.

Compliant domestic worker recruitment offices praised

Despite the violations, MoHRE praised the majority of domestic worker recruitment offices for complying with regulations and providing competitive services at reasonable prices.

These practices, it said, support the growth and leadership of the domestic worker services sector in the UAE.