Qatar witnesses impressive growth in non-oil sectors
06/10/24
Qatar’s non oil revenues are expected to outperform all industries after recording growth of 2.2% this year, according to a report by Fitch Solutions. The company also indicated that numerous industries are poised for “stronger-than-expected” growth in the remaining months of 2024, demonstrating the resilience of Qatar’s economy.
Further figures released by the Qatar Planning and Statistics Authority revealed that the States Gross Domestic Product (GDP) reported growth of 1.2% year-on–year (y-o-y) during the third quarter of 2023. This was led by the non-oil sector which witnessed a hydrocarbon boost of 2.3% from the previous year. In comparison, the non-oil economy grew by 0.6% y-o-y during Quarter 3 (Q3) 2022. Most importantly, inflation eased from an average of 4.2% during the first three months of 2023 to 2.2% in the first quarter of 2024.
Fitch Analysts noted that these figures were achieved after Qatar had hosted the FIFA World Cup in 2022 that saw potent activity in all major sectors during the latter half of the year, in preparation for the tournament. The State heavily invested in improving its infrastructure which included new roads, three metro lines, an upgraded airport and thousands of new hotel rooms.
Moreover, experts at Fitch have forecasted Qatar’s economic growth growth to be in the region of 2% to 2.2% in 2024 due to lower inflation, stronger tourism activity and investment in construction and infrastructure projects. In support of this prediction, high-frequency data for Q1 2024 including Purchasing Manager’s Indices, new building permits and tourist arrivals all point to stronger non-oil activity. Further demonstrating this optimistic outlook, the States total foreign visitor arrivals in January and February this year have increased by 78% y-o-y, due to the hosting of two major sporting events in the country - the Asian Football Cup and the World Aquatics Championships.
Business Start Up Qatar offers a network of experts and specialists within the lifecycle of a business. We can offer expertise in Market Research and Assessment Qatar, Qatar Business Case, Qatar Business Model Development, Feasibility Study and Business Plan Qatar, Organizational and Operational Structuring Qatar, Qatar Sponsorship and Partnership, Company Formation Qatar among others.
Please click on the link to learn more about opportunities and possibilities in the State of Qatar as well as the initiatives of Business Start Up Qatar.
