Real estate in Qatar - A growth story: The economic background
Qatar’s burgeoning economy has tripled in size over the past four years. A drive to diversify has achieved striking results in reducing dependence on oil and gas.
In recent years, Qatar’s story has been one of breathtaking economic growth. Between 2003 and 2006 alone, nominal GDP growth averaged 24.6%, bringing GDP to $52.7 billion, meaning that in those four years the economy tripled in size. The result, according to a recent Standard & Poor’s report, is that GDP per capita reached $57,000 in 2007, compared with $27,000 as recently as 2002. That makes Qatar one of the world’s wealthiest nations, closing the gap on the leaders in the most recent ranking published by the IMF – which made Luxembourg the richest country, with a GDP per capita in 2005 of just over $80,000, followed by Norway ($64,193).
Other macroeconomic yardsticks paint a similarly impressive picture of Qatar’s recent economic development. The fiscal balance, which was in deficit throughout much of the 1990s, has recorded an average surplus of almost 8% of GDP since the start of this decade. The current account deficit has also swung from being in deficit in the 1990s to a surplus of more than 30% of GDP in 2006.