HE Minister of Economy and Commerce Sheikh Ahmed bin Jassim bin Mohammed Al-Thani stressed Tuesday that Macroeconomic analysis will provide a consistent view on the future of the Qatari economy, which enables better planning for it.
Speaking at the opening of Annual macroeconomic forum 2015, which saw the participation of Ministers and representative of public and private sector institutions, HE the Minister said that diversifying an economy requires a clear roadmap that understands the challenges of the future. His Excellency added that the ministry's latest initiative comes as part of the country's efforts to achieve Qatar National Vision 2030 under the leadership of HH the Emir Sheikh Tamim bin Hamad Al-Thani. The vision dictates a diversified economy where the private sector plays a strong role.
HE the Minister noted that the plan is to increase the participation of non-oil sector to the national GDP by 2030, which will decrease the effect global economic crises and changes to energy prices would have on the national economy.
HE the Minister then said that the analysis provides four possible directions that the Qatari economy could take in the next 15 years. His Excellency focused on of those scenarios, which he said was the best case scenario. In it, Qatar has a fully diversified economy living in a fast-growing global economy that has high energy prices. The high energy prices would then reflect positively on the Qatar trade balance, which would allow bigger spending directed towards production activities. In that scenario, the Qatari economy would grow at an annual rate of 5.7%.
His Excellency added that such a scenario would be the best because local consumption would increase while inflation would remain at its lowest levels. Additionally, the state would have large financial reserves and an increasing rate of investment.
HE the Minister said that all four scenarios would see the oil sector contribute less to the GDP, but it was this scenario where the sector offered the least contribution.