From January 2025 to February 2026, the Gulf Cooperation Council (GCC), particularly Saudi Arabia, the UAE, and Qatar, embarked on a calculated mission. They aimed to stabilize the Levant with financial and political muscle while building clout in Syria and Lebanon. Their tactics? Liquidity boosts, infrastructure investments, and diplomatic maneuvers to balance Iranian and Turkish influence. Although Syria showed more progress than Lebanon, the Gulf countries pressed on with strategic foresight.

A Saudi-led narrative unfolded as they shaped Syria’s return to the Arab sphere. The UAE saw a chance to anchor the Levant as a strategic shipping hub, while Qatar masterfully combined financial support with energy diplomacy. Lebanon’s hesitation to disarm Hezbollah kept Gulf investments at bay, revealing a waiting game in Beirut.

For the Gulf States, engaging Syria quickly was crucial after Bashar al-Asad headed to Moscow on December 8, 2024. Arab heavyweights like Qatar restored air links and poured natural gas into Syria to ease its power woes. Diplomatic overtures followed, with Syria’s transitional president Ahmed al-Sharaa forging ties with Saudi heavyweights. The Gulf’s efforts sketched a roadmap, avoiding the dismal fate seen in war-torn regions like Iraq and Libya.

The region’s rebuilding required vast resources. The World Bank pegged Syria’s reconstruction bill at a staggering $216 billion. This meant big shifts, even in the U.S., which reconsidered sanctions to spur regional investment. Many believed that the Trump administration’s decision to relax sanctions was anchored in faith in the Gulf’s regional leadership.

GCC’s strategy wasn’t just numbers and deals. It was about weaving political and economic textures for a more resilient Syria. A unique “transactional stabilization” emerged, blending diplomatic recognition, financial backing, and high-stakes projects. This approach aimed at blunting Iran’s sway and countering Turkey’s rising leverage while looking forward to a healthier commercial climate.

Al-Sharaa’s trustworthiness was tested as Gulf leaders placed weighted bets on his administration. Despite not holding sway over all factions, his alignment with GCC goals was promising. Saudi Arabia, in particular, envisioned a future where Syria played a central role in regional security frameworks. This vision was evidenced by Syria’s participation in Gulf and regional security talks.

Qatar’s refusal to disarm Hezbollah highlighted Lebanon’s entangled path. Despite Washington’s involvement, the threat of Israeli actions loomed large, further complicating diplomatic efforts. Nonetheless, Saudi Arabia and its GCC allies saw Syria as a future bastion of stability.

Economically, the Gulf allocated funds to pay Syrian salaries and pledged millions for necessary public services. This financial bridge aimed to prevent collapse and ingratiate the Gulf into the emerging Syrian bureaucracy. Meanwhile, debt settlements with institutions like the World Bank opened new avenues for international collaboration.

Key infrastructural investments underscored the GCC’s confidence in the new Syrian regime. By July 2025, Saudi Arabia initiated telecom projects worth over $6.4 billion, also laying plans for a fiber-optic network and airport developments. Abu Dhabi zeroed in on Tartous with an $800 million port development venture, cementing its logistical and transportation prowess.

The energy front saw Qatar and Western companies like Chevron exploring Syrian oil and gas potentials. The UAE joined forces to revamp Syrian natural resource production, further aligning Syria with global energy structures.

But Lebanon’s journey was cautious, illustrated by President Joseph Aoun’s steps that didn’t rally Gulf fervor. Riyadh and Abu Dhabi hesitated, scrutinizing Lebanon’s reform signs and distrustful of its Hezbollah entanglement. While Qatar extended financial support, a lack of comprehensive reforms kept broader Gulf investments on hold.

Looking ahead, Saudi Arabia appears poised to lead GCC integration efforts, with Syria aligning more closely with Gulf and Turkish interests over Iran. Gulf investments demand responsible management, given Syria’s notorious corruption woes. A stable Syria, fortified by Gulf ties, could withstand regional security quakes and lure back refugees. Yet, Lebanon’s progress stalls, still tangled in political hurdles.

In the intricate dance of geopolitical ambitions, Saudi Arabia, UAE, Turkey, and Qatar continue to invest with minimal friction, shaping the Levant’s future. It’s a tapestry of diplomatic and economic strategies where the GCC’s role in Syria offers a glimpse into potential regional realignments. As challenges persist—like Iran and Hezbollah’s resistance—the GCC’s seeds of stability aim to foster a promising tomorrow in the Levant.

For more on this unfolding regional narrative, see Qatar’s gas aid to Syria, and the World Bank’s insights on Syria’s reconstruction costs.

Ultimately, the Gulf’s journey in the Levant is winding and complex. A road paved with collaborations, risks, and the promise of change.

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Saudi Arabia is shaking up its wealth game.

Back in April 2016, they rolled out “Saudi Vision 2030”, setting their sights on catapulting Saudi Arabia into the world’s top 15 economies by 2030. They’re shooting to bump the Public Investment Fund (PIF) assets from $160 billion to almost $1.9 trillion. Plus, they aim to leap from 25th to somewhere in the top 10 on the Global Competitiveness Index. Not too shabby, right?

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Reimagining wealth: Goodbye oil, hello innovation

The days of leaning solely on oil are winding down. Saudi Vision 2030 shows the government’s push to ditch reliance on the black gold, aka oil. Large AI models are now the talk of the town. Computing power’s the new “oil”, and Saudi’s all in.

Fast forward to the end of 2023, Saudi’s messing around with 22 active data centers. Expectations are to hit 62 soon. Keeping with the trend, during Trump’s second visit to Saudi in May 2025, AMD joined hands with a local AI firm, Humain. (For a deep dive on Humain, see “Semiconductors in the Middle East, the Future is Bright” on ICViews.)

Come August 2025, Humain kick-started building data centers in Riyadh and Dammam. Humain CEO Tareq Amin hinted they’ll switch the lights on by mid-2026. By 2030, they’re planning an impressive 1.9 gigawatts of capacity. Meanwhile, the Stargate project eyes 4.5 gigawatts for the U.S. alone.

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Saudi’s sandy shores: The next big tech frontier

NVIDIA and AMD, tech’s big guns, didn’t come alone. Even Intel’s Pat Gelsinger popped in for a chat on semiconductors and AI. And they’re not the only ones sniffing out Saudi’s burgeoning market.

ICViews dished out juicy tidbits on data center investments since 2021. Turns out, plenty of these centers are a Saudi-China love affair, initially serving cloud needs across the Middle East.

2025 was Tencent Cloud’s year for its first Middle Eastern venture, pledging over $150 million. This might just be the beginning of Saudi’s tech transformation.

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Why tech firms are eyeing Saudi Arabia

Energy bills got ’em hooked. Data centers guzzle energy, making U.S. giants sweat over rising costs. They project data centers might use up 12% of U.S. electricity by 2028. Saudi’s state-owned Saudi Electricity Company offers a sweet deal, meeting massive industrial demands with surplus capacity.

It’s not just the power prices—there’s ample infrastructure in the works. They’re laying down thousands of kilometers of transmission lines and throwing in new nuke plants to boot.

Don’t forget the electricity rates. In the U.S., they’re rising fast. Conversely, Saudi promises costs between 5 to 8 cents per kilowatt, making data centers smile wide.

Plus, no green spaces to mind. With the desert’s barren landscapes, data centers settle comfortably without worrying about disrupting lush nature. It’s a win-win for tech giants looking to expand seamlessly.

Not to say they’re anti-green. In line with Vision 2030, Saudi’s charging ahead with renewable energy projects, reducing its oil shackles.

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Building more than just data centers

Saudi wants more than to be a “power-richer”. They’re beefing up in science. Enter King Abdullah University of Science and Technology (KAUST), a hub of innovation since 2009. They’re churning out cutting-edge research in semiconductors and much more.

One standout project from KAUST? Chips that stack 41 layers high, crushing the competition, all while trimming energy use. KAUST’s aligning research with innovation, having set up a cool 750 million Saudi Riyals deep-tech fund.

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Saudi Arabia’s path ahead

By 2024, Saudi’s GDP hit $1.09 trillion. They’ve also got their eyes on the tourism pie, projected to balloon to $110.1 billion by 2033.

According to the Global Innovation Index of 2024, they’re riding high, now in the 47th spot. There’s significant buzz in China about investing here too.

Yet, as with all good stories, caution’s wise. Many boast ties to the royal circle, but sometimes wind up spinning wheels. When diving into Saudi investments, keeping both eyes open is key.

This deep dive originally appeared via “Semiconductor Industry Insights” by Liu Qian, published on 36Kr with permission.

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