The decline in oil revenues is due to the expenses of expansion projects in liquefied natural gas production
We are preparing studies and executive regulations for the Health Insurance Law
Promoting investment in economic sectors and supporting the private sector
His Excellency Ali bin Ahmed Al Kuwari, Minister of Finance, opened the door to questions from the media that attended the press conference. In response to a question about the decline in oil revenues, despite the fact that the average price of a barrel in the new budget is the same price in the current budget at $60 per barrel, His Excellency the Minister of Finance said that revenues It remains an estimate, and our financial policy adopts a conservative price for oil in anticipation of any changes in the market, adding that the decline in oil revenues compared to the 2024 budget estimates may be due to directing capital expenditures due to… Expansion projects in liquefied natural gas production.
Regarding the expectations of a jump in domestic product growth in 2027 to 7.9%, as was indicated during the presentation of the general budget, compared to the coming years until 2029, the Minister of Finance said that this is mainly due to the start of production in liquefied natural gas expansion projects, and its gradual increase starting from From 2026 to 2030 to reach the highest level, which is to increase our gas production by 85% compared to current production levels of 77 million tons annually. He added that this gradual increase starting in 2026 will reflect positively on domestic product growth.
GDP growth
He added: What concerns us in this aspect is that the average growth of the gross domestic product during the years until 2030 will exceed 4% annually, which are high rates and among the best in the world, and reflect the sustainability of the growth of the national economy.
Regarding the rise in the credit rating of the State of Qatar, His Excellency the Minister of Finance said that one of the main reasons for this is financial discipline in the country, which is considered one of the most important pillars of raising the credit rating of countries, as the country continues to invest in the economy, raise the efficiency of human resources, enhance financial reserves, control expenses, and strategic plans. Good for dealing with crises. The Minister stressed that the credit rating of the State of Qatar is considered one of the best ratings in the region and the world, and it also reflects confidence in our national economy. Regarding health insurance, the Minister of Finance said that we are still preparing studies and executive regulations for the application, praising the performance of the private medical sector and the high levels of services it provides, which enhances the options for those wishing to obtain medical care services. He also emphasized the positive effects of health insurance on the private medical sector and insurance companies upon implementation.
Growth and economic sustainability
Regarding the contribution of the general budget to promoting growth and economic sustainability, the Minister of Finance pointed to the integrated role of economic sustainability and financial sustainability, by enhancing investment in various economic sectors, promoting economic growth and encouraging the private sector. He stressed that financial sustainability enhances the building of financial reserves at the Qatar Central Bank and strengthens the reserves of the Qatar Investment Authority.
During questions at the press conference, the Minister of Finance revealed the establishment of a special fund and directing special financial resources in times of financial surplus in the budget with the aim of dealing with any financial crises in the future, and in a way that gives flexibility to deal with any developments, to ensure economic and financial sustainability. Regarding policies for dealing with surplus or deficit in the budget, the minister said that in the event of a surplus, existing debt obligations are paid, the reserves of the Qatar Central Bank are strengthened, and the reserves of the Qatar Investment Authority are strengthened. In the event of a deficit, debts are refinanced and local and foreign debt instruments are issued.
He said that the foundations for preparing the 2025 budget include allocating financial resources to the main sectors that support economic diversification efforts and sustainable growth, supporting the private sector and facilitating business, in addition to raising the efficiency of spending by starting to implement budgeting based on programs and performance, and committing to a balanced spending policy that contributes to maintaining… The country’s financial position and high credit rating, achieving financial sustainability, and improving and raising the level and quality of government services provided to citizens, residents, and the private sector.