Qatar Non-Oil Sector to Grow by 10% Annually - Minister

Doha , April 08 (QNA) - HE Minister of Economy and Finance Youssef Hussein Kamal said Monday that he expected the non-oil sector in Qatar to record 10% growth in the coming few years. HE the Minister of Economy and Finance also expected building and construction sector to grow 10% annually until 2019. That came in a speech delivered by Managing director and member of the Qatar Financial Authority (QFC) board Abdul Rahman Al Shibi on behalf of HE the Minister of Economy. The speech was delivered by Al Shibi at the opening ceremony of the second Doha Bloomberg Conference. He added that the sector of transportation and telecommunications will record a growth of 15%, while services will contribute 60% of the country's economic growth. HE the Minister noted in the speech that oil and gas still contribute 45% to the GDP and added that the country was working on diversifying its economy. In behind oil and gas, Financial services, real estate and business are the biggest contributors to the GDP. He noted that the long-term strategy of the state focuses on careful fiscal planning. The state has also allocated its resources towards meeting the needs of sustainable development. HE the Minister stressed the importance of investing in infra-structure, the state plans to invest $140 billion in the next five years in projects including a new airport a new port, a railway project and a metro. More than $200 billion will be invested in preparation for hosting the 2022 World Cup. HE the Minister of Economy and Finance Hussein Kamal noted that such a big investment indicates that the State of Qatar has become a destination for investment. HE the Minister added that investment in the infra-structure will become one of the primary sources of diversifying the economy. Especially because it encourages growth in national industry, HE the Minister added noting that development investments will benefit the entire region. He cited the railway project as an example and said that it is part of a plan to extend a railway network that covers the GCC. The new port and the airport, another two examples, will provide a boost to trade in the region as well, particularly with Asia's emerging markets. HE the Minister stressed that the future was bright as the forecast for the next five years was extremely positive. Especially that political stability and a long-term commitment by the government to development will boost the economy even more. HE the Minister added that Qatar has placed a long-term strategy in line with Qatar National Vision 2030 that focuses on economic, social and cultural pillars to achieve sustainable development and establish a knowledge-based economy in compliance with the culture and religion. HE the Minister of Economy and Finance Hussein Kamal said that the State of Qatar was one of the fastest growing economies in the world. The average growth between 2008 and 2012 was 13%, which made the State of Qatar one of the top countries in the world in terms of GDP per Capita. The country also occupies the top places in terms of the number of wealthiest families in the world. Also, the standard of living has risen to match leading industrial countries. HE the Minister noted that the recent period saw a deceleration in growth rate due to the stability of the production of natural gas. Qatar obtains the third largest natural gas reserves in the world, which keeps the Qatari economy remains strong. Qatar continues to garner recognition from a number of credit rating institutions; Standard and Poor's awarded Qatar an +AA rating, equivalent to that of the US. Moody's gave the State of Qatar an AA2 rating. HE the Minister said that Qatar is looking to raise its rating by two grades to attain the AAA rating. The World Economic Forum rated the State of Qatar as the most suitable country for Business in the Middle-East for 2012-2013. HE the Minister of Economy and Finance Hussein Kamal said that maintaining political stability is key to maintain and improve such rating. It was not only important for Qatar, but for the entire GCC, His Excellency added. HE the Minister said that the State of Qatar played a huge role in the economic expansion of the GCC. The region is now rated one of the biggest 20 economies in the world with $1.5 trillion. As for the State's foreign investments, HE the Minister of Economy and Finance said that bodies such as Qatar Investment Authority and Qatar Petroleum among others were