Qatar economy to grow 7.7 percent in 2015

15 Dec 2014

(MENAFN) Qatar, the world’s top exporter of liquefied natural gas, said that it predicts that its economy would grow 7.7 per cent next year, slightly less than the 7.8 percent it was predicted earlier this year, signaling that the country’s economy will be little affected by the plunge of oil prices, Gulf News reported.

Oil Prices, which have been declining since June, has reached their five-year low, leading to several countries to revise their growth and some even to cut spending like neighboring countries Kuwait and Oman.

If Qatar is able to achieve a growth of 7.7 percent in 2015, it would be the country’s fastest expansion since 2011 and an increase from the 6.3 percent growth it is estimated for this year.

Qatar said that according to its forecast, the country’s overall fiscal balance is expected to stay in surplus next year, though it might decrease due to the country’s high public spending on infrastructure projects, with the country’s fiscal surplus is forecast at 8.7 percent of gross domestic product in 2015, instead of 5.5 percent predicted earlier this year, while this year’s surplus is expected to increase to 12.9 percent from the previous forecast of 9.3 percent.

“Solid expansion in non-hydrocarbon activities will continue to drive overall economic momentum, propelled by investment spending, an expansionary fiscal stance and population growth,” The Qatari Ministry for Planning and Development said.