In a resounding testament to Qatar’s unwavering commitment to economic diversification, the non-oil sector experienced a remarkable surge of 9.9% growth in the fourth quarter of 2022, while the oil sector saw a commendable increase of 4.8%. Prime Minister and Minister of Foreign Affairs, Sheikh Mohammed bin Abdulrahman Al Thani, shared this groundbreaking achievement during the esteemed Qatar Economic Forum.
This exceptional performance in Qatar’s non-oil sector was attributed to the nation’s relentless efforts in fostering a conducive business environment, supported by the establishment of robust financial institutions. Such developments have laid the groundwork for encouraging business growth and facilitating a substantial rise in both domestic and foreign investments. Furthermore, the momentum was fueled by a vibrant services sector, bolstered by Qatar’s momentous hosting of the FIFA World Cup in November-December 2022.
Underscoring the country’s dedication to energy diversification, Prime Minister Al Thani proudly announced the inauguration of Qatar’s maiden solar power station. This groundbreaking initiative will diversify the nation’s energy sources and ensure a more sustainable future. Set to provide approximately 10% of the national electricity grid’s energy during peak times, this solar power station signifies Qatar’s proactive approach to embracing renewable energy.
Acknowledging the pivotal role of small and medium-sized enterprises (SMEs) in driving prosperity, Prime Minister Al Thani emphasized the government’s continuous efforts to support these enterprises through targeted initiatives. By fostering an entrepreneurial spirit and providing necessary resources, Qatar aims to empower SMEs and unlock their full potential for economic growth.
The sovereign wealth fund, Qatar Investment Authority (QIA), also received noteworthy mention from the prime minister. Highlighting the QIA’s substantial contributions, Al Thani emphasized its role in securing economic stability for future generations. Collaborating with the private sector, the QIA plays a pivotal role in bridging local market gaps by investing in companies and sectors that bolster Qatari industries and facilitate their global expansion.
Despite these impressive achievements, analysts from S&P Global Market Intelligence anticipate a slight deceleration in Qatar’s real GDP growth, projected to reach 2.7% in 2023, followed by a modest increase to 3.4% in 2024. Notably, the 4.8% growth experienced in 2022—unseen since the middle of the previous decade—was fueled by robust economic activity in the fourth quarter.
As Qatar continues its journey towards economic diversification, the nation’s unwavering focus on nurturing a dynamic business environment and leveraging strategic investments paves the way for sustained progress and prosperity. With a steadfast commitment to sustainable growth and innovation, Qatar stands as a shining example of economic resilience on the global stage.
