Globally, the average tenure of departing CEOs fell to 7.1 years in 2025, down from 8.3 years in 2021, reflecting boards’ shifting expectations of “what good looks like” and how quickly results must be delivered.
Middle East CEOs Feel the Heat as Boards Demand Faster Results and Deeper Transformation
Dubai: CEOs across the Middle East are facing mounting pressure as boards accelerate expectations for performance and transformative change, reflecting a global trend of record executive churn.
According to Russell Reynolds Associates’ Global CEO Turnover Index Annual Report 2025, CEO departures worldwide reached 234 last year, up 16% year-on-year and 21% above the eight-year average. The average tenure of departing CEOs fell to 7.1 years in 2025, down from 8.3 years in 2021, signaling that boards are recalibrating “what good looks like” and how quickly it must be achieved.
“The CEO role has become materially more complex,” the report notes, “with boards far more explicit about what results must be delivered — and when.” The proportion of CEOs leaving within 30–36 months jumped 79% year-on-year, reflecting a global emphasis on rapid momentum, especially in underperforming or activist-pressured organizations.
Middle East-listed companies navigating economic diversification, digitization, and new regulatory frameworks face similar pressures. Nicolas Manset, Head of the Middle East at Russell Reynolds Associates, said, “The Gulf continues to strengthen its position as a globally competitive hub. This vibrant business landscape presents significant opportunity, with leadership effectiveness a decisive factor in sustaining growth.”
Investor scrutiny is intensifying the pressure, with activist campaigns accelerating exits globally. Barclays data shows a record 32 CEOs resigned within a year of an activist campaign in 2025, up from 27 in 2024.
Succession trends also present challenges: first-time CEOs accounted for 86% of incoming appointments globally in 2025, a pattern mirrored in the Middle East. While investing in homegrown leadership strengthens pipelines, it compresses the “grace period” historically given to new CEOs. “Today, CEOs are expected to demonstrate momentum almost immediately,” noted Laura Sanderson, RRA’s UK leader.
The tech sector illustrates the stakes: after record churn in 2024, tech CEO exits halved in 2025 as boards paused leadership changes amid intense operational demands. Regional companies scaling AI, connectivity, and data centers face similar dynamics — stability can be strategic, but near-term proof points remain essential.
The report also highlights persistent gender gaps: women comprised just 9% of incoming CEOs globally last year, down from 11% in 2024, underlining the need for early exposure to P&L and operational leadership before succession decisions.
For Middle East boards, the playbook is shifting from episodic succession to continuous development, defining 24–36-month outcomes early, and embedding structured support from day one. As Sanderson warns, boards are often “handing the keys of a Ferrari to rookies” — in a fast-transforming market, the runway is shorter, the stakes are higher, and performance plus transformation is the mandate.
