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FINANCIAL NEWS
Qatar’s economy forecasted to fall by USD16b
16 Jul 2014
(MENAFN) Qatar’s economy is expected to see a USD16 billion loss if FIFA decides to change the country of the 2022 World Cup due to bribery allegations, according to Arabian Business.
A major American bank estimates that if Qatar is stripped of the World Cup, direct capital expenditure will shrink by USD16 billion, which is equivalent to 7.5 percent of GDP, or 1-1.5 percent in each year in the run-up to 2022.
It added that the annual drag on real GDP growth was likely to be smaller at around 0.5 percent.
In addition, as much of the money would have been paid in salaries and goods to overseas providers.
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