Middle East business confidence and wholesale volumes show resilience

Small and medium-sized enterprises (SMEs) in the Middle East are showing signs of resilience and growth despite regional economic pressures. A Mastercard study indicates that 74% of UAE business decision-makers remain confident in their outlook for the next 12 months, even though confidence levels dropped from 96% following recent regional conflicts. Approximately 72% of these businesses expect revenue increases over the coming year, with 83% identifying digital and online payments as critical drivers for efficiency and growth.

In the wholesale sector, transaction volumes in the Middle East increased by 18% in the first half of 2026 compared to the previous year, according to the wholesale management platform Joor. While a conflict involving Iran in February caused a temporary 5% dip in March transactions, volumes recovered through the second quarter. This momentum is attributed to anticipated domestic demand and a recovering tourism sector. The Middle East's share of gross merchandise volume on the Joor platform rose to 4.4% in the first half of the year, up from 3.1% during the same period in 2023.