This chapter concentrates on a post-pandemic political economy analysis of the Gulf region. It examines the institutional quality (i.e., corruption and participatory democracy scores) of the Gulf Cooperation Council (GCC) members (Bahrain, Kuwait, Oman, Qatar, the Kingdom of Saudi Arabia, and the United Arab Emirates (the UAE)) by looking at the Transparency International and Varieties of Democracy (V-Dem) data sets. The data reveals that the region was resilient during the pandemic due to the policies implemented by each government; however, there is an acute need for institutional improvement, particularly for democratic governance at the local and national levels. The chapter examines the fiscal breakeven oil prices for each country. The findings highlight the inevitability of an increased pace of diversification, considering the present dependence on oil. The analysis underlines that GCC countries performed relatively well compared to the rest of the world due to their financial resources. However, countries with higher-quality institutions before COVID-19 (e.g., the UAE and Kuwait) were more resilient to the negative repercussions of the pandemic. Finally, the chapter examines regional and country-specific policies implemented during the pandemic to improve institutional quality and strengthen economic resilience in the long term.