Qatar’s focus on economic diversification and its determination to carry out reforms under the wise leadership of Emir H H Sheikh Tamim bin Hamad Al Thani has won huge praise from International Monetary Fund (IMF).
Christine Lagarde, Managing Director, IMF while attending a roundtable discussion on “Strategic Outlook: Qatar in its New Era” at Qatar University, said the steady growth in Qatar’s non-oil economy is a reflection of the country’s good diversification policy. Qatar’s growth in the non-oil sector is pretty much on a par with the non-oil growth in the oil importing countries.
“I spoke to His Highness the Emir and he explained to me the focus on diversification and determination on reforms will continue”, she said, adding that Qatar is an important partner of IMF.
According to the latest report by IMF, Qatar’s real GDP growth is expected to rise from 2.5 percent in 2017 to 3.1 percent in 2018. This indication is in itself commendable because as per IMF’s revised forecasts in its World Economic Outlook update, global growth is estimated at 3.7 percent in 2017 (compared to 3.2 percent in 2016) while the forecast for 2018 has been revised up from 3.7 percent to 3.9 percent.
Qatar adopted major projects that contributed to strengthening the economy, led by the inauguration of Hamad Port, which is one of the biggest ports in the region. The launching of a network of highways and logistics centres and special economic zones, in addition to establishing projects aimed at supporting innovation as well as expanding economic partnerships with many countries in the region and around the world, has helped in boosting the economy.
The latest available trade data showed imports rebounded by 40 percent, close to the pre-siege level. It created alternative sources of import and established new trade routes. The value of non-oil exports to all countries of the world during November 2017 was about QR1.8bn, compared with QR1.7bn during October, registering an increase of about 5.9 percent.
The total value of non-oil exports during the first eleven months of last year was QR16.8bn.
In order to achieve a balanced industrial development, the government offered industrial incentives starting with exempting industrial establishments from fees imposed on machinery, equipment, spare parts and raw materials in order to encourage national industry, especially small and medium-sized.
The government also continues to develop and support industries in sectors like food, pharmaceutical, environmental and knowledge industries.
Qatar’s economy has shown considerable stability and strength that enabled it to cope with the effects of the siege. The economy continues to excel and develop at a fastest pace in the region.
