THE ROLE OF SOVEREIGN WEALTH FUNDS IN SHAPING INTERNATIONAL INVESTMENT FLOWS: A CASE STUDY OF THE GULF COOPERATION COUNCIL (GCC) COUNTRIES

Sovereign Wealth Funds (SWFs) in the Gulf Cooperation Council (GCC) countries play a crucial role in global finance by channeling state-owned capital into strategic investments that support economic diversification and stability. Key SWFs like the Abu Dhabi Investment Authority, Kuwait Investment Authority, and Saudi Arabia’s Public Investment Fund invest heavily in sectors such as technology, real estate, and renewable energy. These investments drive job creation and market development, but challenges remain, including transparency issues, geopolitical risks, and reliance on oil revenues. To ensure sustainable growth, improving governance, broadening funding sources, and balancing local and global investments are essential. Keywords. Sovereign Wealth Funds, GCC Countries, International Investment Flows, Economic Diversification, Geopolitical Influence, Transparency, Oil Dependency, Sustainable Investments, Global Finance, Fiscal Stability