Saudi Arabia has emerged as the Gulf Cooperation Council's (GCC) leading nation for mergers and acquisitions (M&A), according to a recent report.

The country is spearheading dealmaking activity in the region, driven by its ambitious economic diversification agenda under Vision 2030.

Strategic investors accounted for 61% of insured deals within the Kingdom, underscoring the pivotal role of high-value transactions in achieving long-term transformation.

According to insurance broker and risk advisory firm Marsh, M&A rebounded globally in 2025 with a total deal value approaching $5 trillion and heightened demand for risk mitigation tools to facilitate larger, more complex transactions.

The Middle East saw historically low premium rates despite rising costs elsewhere—by 16% in North America, 5% in Europe, and 8% in Asia.

This trend bolstered the region's attractiveness for structuring deals using warranty and indemnity insurance.

Marsh noted that Saudi Arabia led dealmaking with domestic transactions accounting for 44%, outbound deals 32%, and inbound transactions 24%.

The average deal size in the region was $438 million, with several mega-deals exceeding $1.5 billion to $2.5 billion.

Activity spanned multiple sectors including energy, technology, financial services, industrials, real estate, education, and healthcare, reflecting a broad-based rebound in cross-border engagement.

Marsh's findings align with separate research by PwC, which reported a 33% year-on-year increase in Middle East M&A volumes to 635 completed transactions in 2025.

Both reports highlight the resilience of regional economies and deepening integration among GCC countries as key drivers of dealmaking activity.