Business & Economy in Qatar: Spring/Summer 2023

Business & Economy in Qatar

Feature – Qatar’s Government Entities Go High Tech

The Ministry of Communications and Information Technology is unveiling a slew of new initiatives to help businesses and individuals complete transactions more easily.

Banking and Finance

• Useful Numbers: Banks and Exchange Houses

• Currency • The Banking Sector

• The Banking Network in Qatar

• Qatar Central Bank

• Loans, Bank Charges and Interest Rates

• Financial Services and Insurance

Economy

• Accounts

• Islamic Finance

• Qatar Credit Bureau

• Economic Growth and Gross Domestic Product (GDP)

• The Budget

• Inflation and Cost of Living

Commerce Useful Numbers

Investment and Trade

• Incentives • Investment Regulations

• Company Structures

• Intellectual Property

• Trade Surplus

• Population and the Labour Force

• Choosing a Business Structure

• Commercial Registration

• Export and Import • Taxation

• Regulatory Bodies and Government‑owned Entities

• Qatar Financial Centre

• Qatar Exchange

• Real Estate

• Developers and Real Estate Agents Selling Property

• Business Etiquette

The Hydrocarbon Industry

• Qatar’s Energy Companies

• International Companies

Infrastructure in Qatar

An overview of local infrastructure, ongoing megaprojects and new developments.

Business and Economy Business and Economy

The information contained in this guide has been checked and verified as correct as at the time of compilation. Due to the COVID 19 pandemic, information is subject to change. Follow marhaba.qa for the latest updates.

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Hilary Bainbridge

Editorial

Sarah Palmer (Editor)

Ola Diab (Deputy Editor)

Terry Sutcliffe

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Howard Bainbridge

Charlotte Wright

Maria Anicas

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Ayen Molina

Online/Digital

Lalaine Turqueza

Weslee Dizon

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Dick Tamayo

Mar Principe

Marhaba endeavours to quote accurate information and updates each of its sections every issue. However, the company accepts no responsibility or liability for any false, inaccurate, inappropriate or incomplete information presented, whether in print, on the website, or on social media channels.

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Qatar's Government Entities Go High Tech

By Sarah Palmer

Qatar is leading the way in embracing the latest and most advanced technology to improve government services and transform the economy.

The tech-savvy population and state-of-the-art research, development and innovation (RDI) environment has enabled Qatar to embrace Artificial Intelligence (AI) – the science of making machines do intelligent human tasks – to create a user-friendly experience for companies and individuals using government websites and apps.

The Ministry of Communications and Information Technology leads the way

In partnership with the Ministry of Communications and Information Technology (MCIT), Microsoft launched its new datacentre region in Qatar in August 2022, the country's first hyperscale cloud datacentre to deliver enterprise-grade services in the country in the Azure Qatar Cloud. The Microsoft cloud datacentre region in Qatar enhances Qatar’s competitiveness on a global and regional level and will have a significant impact on the development of the local economy, supporting efforts to diversify the economy, build talent and attract foreign investment.

The new world-class datacentre is open for business with Microsoft Azure and Microsoft 365 available. Customers can begin leveraging Microsoft Azure, a cloud computing platform, to develop advanced applications using AI, data and analytics, Internet of Things (IoT) and hybrid capabilities with advanced digital security, as well as Microsoft 365, the world’s foremost productivity cloud.

MCIT, through its national initiatives such as TASMU PLATFORM and Qatar Digital Government, along with the Supreme Committee for Delivery & Legacy and many other entities, are already using the Microsoft cloud to develop their digital capabilities.

The Microsoft cloud datacentre region in Qatar is expected to drive growth for the more than 100 Microsoft partners in the country, as well as for

global partners looking to establish in the country. Microsoft partners including Ooredoo, Vodafone, PWC, Malomatia, Intel and Starlink are already using the Microsoft services to deliver transformative solutions and drive customer success.

Later, in October 2022, MCIT awarded the framework agreement of cloud computing services for the government sector to Google Cloud, to accelerate digital transformation in the country.

MCIT and Google Cloud will work together on projects and initiatives to enhance digital transformation in accordance with Qatar National Vision 2030 and use the capabilities of cloud computing on a larger scale. MCIT’s strategy is to employ technology in the service of innovation and creativity through cloud computing technology and AI to offer computing, networking, storage and flexibility services needed to develop and manage applications and big data.

HE Mohammed bin Ali Al Mannai, Minister of Communications and Information Technology said: 'MCIT is proud to strengthen and enhance its strategic partnerships with major international companies specialised in the digital sector, in an effort to advance this vital sector for the benefit of the national economy and to achieve the Sustainable Development Goals in line with Qatar National Vision 2030.'

Thomas Kurian, CEO of Google Cloud, said: 'Google Cloud technologies that the government of Qatar can leverage, such as data and analytics, AI, machine learning (ML), infrastructure, application modernisation, and highly-tailored industry solutions, will help boost innovation across the country.'

MCIT and Microsoft then announced in February 2023 the activation of OpenAI GPT technology powered by the Azure cloud. This means that government entities will now have access to the most advanced AI models in the world to innovate, create and develop applications and improve efficiency.

The launch of the OpenAI GPT feature aligns with MCIT’s aim to provide government entities with the latest technologies and support their digital transformation journey, as per Qatar National Vision 2030. Large-scale AI models are quickly becoming an essential platform to find creative, innovative solutions for the issues and challenges faced by institutions. This is also in line with the National Artificial Intelligence Strategy, under which the Qatar e-Government Portal 'Hukoomi' will be among the first portals in the region to adopt OpenAI GPT capabilities via Azure. This will improve user experience, deliver unprecedented levels of efficiency and speed, and raise the quality and performance of the portal.

Kahramaa also adopts new technology

In March 2023, the Qatar General Electricity and Water Corporation (Kahramaa), in collaboration with Microsoft and KPMG, launched a new largescale platform backed by cloud computing and

What is GPT?

AI to improve operational efficiency and enhance customer experience.

Speaking at the launch, HE Eng Essa bin Hilal Al Kuwari, President of Kahramaa, affirmed the strategic importance of adopting advanced technologies, in order to upgrade the quality of operations. 'Kahramaa places great significance on comprehensive digital transformation and is keen on achieving corporate excellence in line with the development pillars of the Qatar National Vision 2030 and Qatar Digital Government Strategy. This project adds tremendous value and represents a new model in government institutions. It supports transparency, accelerates modernisation processes, and encourages advanced digital solutions’ adoption and localisation, contributing to the Qatari excellence which has become a global standard of competence.'

Speaking at a press conference following the launch, Eng Mohammed Mubarak Al Badr, Assistant Manager IT Smart Solutions at Kahramaa, commented that this new collaboration would represent a step forward in improving customers’ experiences. 'I believe adopting such technology will further develop the cloud computing services integrated in Kahramaa's work, especially in relation to big data analysis and machine learning.'

Al Badr further stated that the platform would aid in analysing electricity and water consumption patterns in the country, leading to better decision-making and strategic planning for the production and distribution of Kahramaa services.

Kahramaa is a pioneer in digital transformation in Qatar, providing customers with a wide range of easy digital solutions, and supporting the country’s development priorities with modern, reliable infrastructure.

Generative Pre-trained Transformer technology (GPT) is a language model released in 2020 that uses deep learning to produce human-like text. Using any initial text like a phrase or sentence, it will then produce text that continues the prompt. GPT-3 is the third-generation language prediction model in the GPT series, the successor to GPT-2 created by OpenAI, a San Francisco-based artificial intelligence research laboratory. GPT-3 was introduced in May 2020 and is part of a trend in natural language processing (NLP) systems of pre-trained language representations.

According to OpenAI, over 300 apps are using GPT-3 across a number of categories and industries, everything from education to creativity and games. OpenAI is continuously looking to exploit new capabilities of GPT-3 and actively invites users and developers to interact with them.

By introducing the OpenAI GPT-3 language platform, does this then mean that ministries will be using virtual assistants on their websites like ChatGPT for online customer support services? It will be interesting to see what MCIT will launch next in Qatar!

Banking and Finance

Alfardan Exchange 4453 7777 alfardanexchange.com.qa

Al Jazeera Exchange 4436 3822

aljazeeraexchangeqatar.com

Al Mana Exchange 4442 4226 almanaexchange.com

Al Sadd Exchange 4432 3334

Al Amir Street

Arabian Exchange 4443 8300 arabianex.com

Gulf Exchange 4438 3222 gulfexchange.com.qa/en

Travelex Qatar 4443 4252 travelex.qa

Unimoni Exchange 4436 5252 unimoni.com/qat

Western Union

* Prev. Barwa Bank; merged with International Bank of Qatar in April 2019

# Merged with Al Khalij Commercial Bank in November 2021

§ Prev. Qatar First Bank; name changed in October 2022

The Banking Network

Send money online and via the app, or find a branch at westernunion.com/qa/en

There are hundreds of bank branches and ATMs across the country, with most in Doha but also further afield, in nearly all of the malls, hotels, souqs, hospitals and petrol stations. Visitors can usually access funds in their home accounts by using their ATM cards here, and some allow the withdrawal of USD and Euro – check with the relevant bank(s) for commission or exchange rate fees. Major credit cards are widely accepted. Exchange houses provide remittance services and foreign exchange and are licensed by Qatar Central Bank. There are no exchange control regulations, but movement of money in and out of local accounts is monitored and a declaration of origin for large cash deposits may be required. Cash transactions above QAR50,000 are now prohibited. The GCCNET system, established by the GCC countries, acts as a single ATM network linking all the GCC point of sale switches – in Qatar this is NAPS (National ATM & POS Switch).

Opening hours: Generally Sunday – Thursday 7:30 am – 1 pm. Many banks have extended branch operations, particularly at malls; check the bank's website for up to date timings and locations of branches and ATMs.

Digital branches and services:

HSBC Msheireb Downtown Digital branch: Sunday – Thursday 9:30 am – 5 pm

QIB Video Banking: via the QIB mobile app

Virtual assistants: Dukhan Bank (Rashid), Qatar Islamic Bank (Zaki)

E-payment services:

Global digital wallet services (Apple Pay, Google Pay, Samsung Pay): All are available and accepted in Qatar. PayPal: Goods and Services only.

QCB authorised digital payment services: Ooredoo Money, Infinity Payment Solutions (iPay) by Vodafone Qatar. The Ministry of Commerce and Industry (MoCI) has stated all commercial outlets operating in the country must provide an electronic payment service to customers without adding additional charges, nor impose charges for the use of debit/credit cards.

Currency

The unit of currency is the Qatari Riyal (QAR), divided into 100 Dirhams (Dh), issued by Qatar Central Bank (QCB). It is pegged to the US dollar at a fixed exchange rate of USD1 = QAR3.64.

The fifth series of notes were introduced in December 2020. A new QAR200 note joins the QAR1, QAR5, QAR10, QAR50, QAR100 and QAR500 notes. The old notes ceased to be legal tender on 31 December 2021, although the public can change the old notes at QCB for another 10 years. Banknotes incorporate security threads, as well as special features for recognition by the blind and visually impaired, and the new QAR500 note features a holographic security thread, the first in the Middle East to do so. Coins remain unchanged at Dh5, Dh10, Dh25 and Dh50. Four GCC countries support the creation of a Gulf Monetary Union (GMU) – Qatar, Saudi Arabia, Kuwait and Bahrain; the UAE and Oman have withdrawn entry. The GCC Supreme Council in 2008 approved the Monetary Union Agreement and the Statute of the Monetary Council. The headquarters of the Gulf Monetary Council opened in Riyadh in 2013 with monetary union proposed later in the year. Qatar, Kuwait, Bahrain and Saudi Arabia subsequently agreed to establish a unified central bank with currency pegged to the USD. There has been no further action since 2013.

The Banking Sector

Overseen by Qatar Central Bank (QCB), the sector comprises a number of regional, foreign and Islamic banks. State-owned Qatar Development Bank provides financing to SMEs, while QInvest focuses on investment banking, asset management and investing its own capital.

Barwa Bank and International Bank of Qatar (IBQ) signed a final agreement in August 2018 to merge the two banks, the first in Qatar's banking history, to create a Sharia-compliant financial institution with more than USD22 bn in assets. The legal merger was completed in April 2019, trading as Barwa Bank, with IBQ products converted to Shariacompliant equivalents. Barwa changed its name to Dukhan Bank in October 2020.

In June 2020 negotiations began for another merger between Masraf Al Rayan and Al Khalij Commercial Bank (al khaliji). Masraf Al Rayan was previously involved as a third bank in the merger between Barwa Bank and IBQ. Masraf Al Rayan and al khaliji's merger agreement in January 2021 was completed in November 2021. al khaliji's business was absorbed into Masraf Al Rayan's, with the latter becoming the remaining legal entity operating in accordance with Islamic Sharia principles. It is now one of the largest Sharia-compliant banks in Qatar and the region, with over QAR182 bn in total assets.

The Cabinet approved a draft resolution in December 2021, allowing a non-Qatari investor to own up to 100% of the capital in four banks: Commercial Bank of Qatar, Masraf Al Rayan, Qatar Islamic Bank, and Qatar National Bank.

A new loan-to-deposit requirement of 100% came into effect in 2018. The adoption of International Financial Reporting Standard (IFRS) 9 by QCB has strengthened the provision coverage at Qatar’s commercial banks – under the IFRS standard, banks and financial entities have to set aside a certain proportion of profit against losses for unseen reasons. QCB set up the Supreme Emergency Committee in 2018 to monitor the day-to-day activities of financial institutions in the country, addressing emergency matters and easing the flow of work.

Both the Institute of International Finance and the Economist Intelligence Unit have noted that Qatar's banking system 'remains resilient' during the COVID-19 pandemic. The ability to fully service its debt obligations is good, thanks to ample foreign reserves and the assets of sovereign wealth fund Qatar Investment Authority (QIA).

Qatar Central Bank

Under Law No 13 of 2012

Qatar Central Bank and the Regulation of Financial Services, QCB is deemed an autonomous corporate body, with a capital of QAR50 bn and under the direct control of

The Amir. It is headed by a governor appointed by The Amir, and primary goals include financial stability, supporting developmental activities and strengthening the national economy. The law

covers banks, insurance companies, exchange houses, Qatar Exchange and QFC-registered entities. Amiri Decision No 65 of 2021 appointed HE Sheikh Bandar bin Mohammed bin Saoud Al Thani as Governor of QCB.

Under Law No 13 of 2012, the Financial Stability and Risk Monitoring Committee shall study existing and future risks related to all banking, financial, insurance and stock market activities. The panel works closely with the Ministry of Finance to frame general policies. The law provides strict penalties for anyone accepting deposits from the public without a valid licence from the banking regulator – violators can face a jail term of up to five years and/or a fine of up to QAR5 mn. For those refusing to accept the legal tender of Qatar, there is a jail term of three years and/or a fine of up to QAR5 mn. Issuing forged currency means 10 years in jail and/or a fine of QAR10 mn. Manipulating accounts incurs a prison term of up to three years and/or a fine of up to QAR200,000.

Regulations in 2013 curbed investment options for local banks. Equities and bonds can account for up to 25% of a bank’s capital and reserves; debt issued by the government and national banks are exempt. There is also a limit on the amount placed with individual companies and unlisted securities: a maximum of 5% of capital and reserves for foreign investments and 10% domestically. Total foreign equities is capped at 15%.

The Qatar Renminbi Centre opened in 2015 and is the first in the region to offer Renminbi (RMB) clearing and settlement, increasing financial connectivity between China, Southwest Asia and the MENA region. The centre provides access to China’s onshore RMB and foreign exchange markets to local financial institutions – Chinese companies have become active partners in Qatar, and the RMB centre will facilitate trade via their agreement with QCB. qatarrmbcentre.com

Law No 20 of 2019 on combating money laundering and terrorism financing was issued in September 2019, replacing Law No 4 of 2010, with implementing regulations following in December. The law is in accordance with the latest standards adopted by major international organisations including Financial Action Task Force, highlighting Qatar's regional role in setting standards in its legal and regulatory framework for combating money laundering and terrorism financing.

Fintech regulations

Noting the increasing growth and popularity of fintech, QCB has established the Fintech Regulatory Sandbox and launched Qatar FinTech Hub (QFTH) as a means of boosting financial

innovation, one of the objectives of its strategic plan (see below). The regulatory sandbox, co-founded by Qatar Development Bank, invites entities to safely live-trial their services in the digital payment services space. A new fintech strategy is expected soon. fintech.qa

The Second Strategic Plan for Financial Sector Regulation 2017–2022

QCB, the QFC Regulatory Authority (QFCRA) and the Qatar Financial Markets Authority (QFMA) jointly launched in December 2017 the Second Strategic Plan 2017–2022 for the future of financial sector regulation in Qatar, an extension of the First Strategic Plan 2013–2016. The new plan comprises five main goals:

• Enhancing financial sector regulation and promoting regulatory cooperation.

• Developing financial markets and fostering financial innovation.

• Maintaining integrity of and confidence in the financial system.

• Promoting financial inclusion and financial literacy.

• Developing human capital.

The plan aims to create a regulatory framework allowing growth, is 'inclusive and sustainable', promotes innovation and fintech, and successfully tackles cyber-security threats. qcb.gov.qa

Qatar Credit Bureau

Bad loans have been reduced since the Bureau started operations in 2011. The centre cannot grant credit facilities to individuals nor impose restrictions on banks. Qatar Credit Bureau provides analytical data and supports banks’ use of advanced techniques in risk management, as well as support sustainable growth of credit in Qatar. It provides banks with information on customers' total exposure in the market and the loans they hold, enabling banks to choose prospective customers. cb.gov.qa

Loans, Bank Charges and Interest Rates

Loans: Under QCB rules, the default period for a substandard loan is three months or more, for a doubtful loan six months, and a bad loan nine months. Banks have to closely monitor loan disbursement and forward reports on customer creditworthiness to QCB. There is also a duty to track and follow defaulting customers and seek resolution – if this fails, they will take legal action.

Non‑payment of loans could lead to a travel ban for Qatar and possibly the GCC.

QCB has imposed ceilings on the amounts a bank can lend as a personal loan to citizens and expatriates. Banks cannot lend more than QAR400,000 to an expatriate, over a maximum repayment period of 48 months, against a maximum 50% of total monthly salary, and at a maximum 6.5% interest rate. For Qatari citizens there is a maximum loan of QAR2 mn over a maximum 72 months. Banks cannot use post‑dated cheques for the loan value.

Mortgages: Check with each bank first. Documents usually required: • Valuation Report from an approved real estate agent • Salary assignment letter if the home loan is the first facility with the bank • ID for Qataris or passport and valid residence card for expatriates • Copy of the Title Deed and map • Building insurance cover. Discuss provision for life assurance against any loan amount taken and consider updating your will.

Bank charges: Banks must prominently display all interest rates on personal loans and credit cards, as well as publish them in local newspapers.

Credit cards: A maximum 12% annual interest rate and usually only issued when customers transfer their salary or have an adequate deposit at the bank.

Interest rates: Announced by QCB on overnight deposit and loan transactions between QCB and local banks via the Qatar Money Market Rate Standing Facility, a monetary instrument through which local banks can request access to loan and deposit facilities with QCB at daily interest rates. QCB and Bloomberg jointly launched the first Qatar interbank offer rate (QIBOR) fixing in 2012. This is the interest rate charged by banks in Qatar for interbank transactions.

Given the fixed parity between the Qatari riyal and the US dollar, QCB short term interest rates policies are subordinated to the fixed exchange rate policy, making QCB overnight interest rates closely related to its USD counterpart, the Fed Funds Rate. Following adjustments by the US Federal Reserve, in March 2023 QCB increased the overnight lending to 5.75%, the deposit rate to 5.25% and the repo rate to 5.50%.

Accounts

Standard bank facilities: Debit/credit cards, standing orders, money transfers, personal loans, vehicle loans, and mortgages on current and savings accounts (including joint accounts). Some accounts offer longer terms, higher interest and the option to save in USD, GBP and Euros.

24/7 telephone and internet banking services and apps offer additional options, while some services such as ordering a cheque book can be accessed via the bank's ATM network. With mobile banking a customer relations officer can visit you at home or work to assist with banking requirements. Most banks offer premium banking services.

International bank account number (IBAN): Adopted in January 2014 as a standard for identifying and numbering all bank accounts in Qatar, and effective from May 2014. The system applies to all accounts in banks operating in the country, found on bank statements or online in account details. The existing account number is not replaced; additional characters appear in front of the account number to form a 29‑character IBAN. All incoming and outgoing transfers to and from banks and financial institutions must use IBAN.

Opening an Account: Documents usually required:

• A valid residence card or work visa. A worker’s dependants (eg spouse and family) can open an account but may require his permission as he is their sponsor (check with the individual bank).

• Valid passport.

• For current accounts, a letter from the employer/ sponsor confirming the monthly salary in Qatari Riyals, with the company’s official stamp. You may have to transfer your salary to the new account but check with the individual bank.

• Some banks may ask to see your tenancy agreement to establish your residential address.

• Take copies of these documents, along with identity photographs. Ask for photocopies of any documents signed.

The Wage Protection Scheme (WPS) is an electronic salary transfer system that ensures workers are paid as per their employment agreement, initiated by the Ministry of Labor and QCB. Employees therefore need a local bank account in order to receive their wages from the employer.

Cheques: A chequebook can be issued with a current account. They are not widely accepted for instant payment; post‑dated cheques are commonly used for house rental payments. The onus of responsibility is on the banks not to encash cheques before the designated date. Issuing a cheque without the necessary funds in your account is a serious criminal offence and the bank or creditor may notify the police, leading to possible prosecution.

Punishment for causing a cheque to bounce due to insufficient funds can be severe: jail terms of between three months and three years, and/ or fines of between QAR3,000 and QAR10,000. Cases being filed are on the rise in the country, mostly for cheques for large amounts, and the Capital Security Department records all cases electronically to speed up the process.

Under new QCB instructions, the Qatar Credit Bureau lists individuals and companies who have issued at least one bounced cheque. Banks are not obligated to issue new cheque books to these customers unless the amount has been settled and their name removed. Banks must also report any customer who has issued a bounced cheque.

Credit cards: Widely available with all the usual privileges, with the credit limit determined by the cardholder's salary or savings balance. Family members may also be eligible for a card. Check at the time of applying for issuance and renewal fees, conversion charges, and payment options.

Since 2014 all card transactions made using the magnetic stripe inside and outside of Qatar will be declined. However, as certain countries (eg the US, India and the Philippines) still use the magstripe for transactions, customers should activate their card before travelling.

Offshore banking: Offshore banking can be a secure anchor for an expat's finances while out of their home country. Check with local banks for availability of international bank accounts in USD, GBP, or Euros.

Complaints: Unresolved consumer complaints can be made online to QCB's Consumer Protection Department. qcb.gov.qa

Financial Services and Insurance

Financial services are provided by entities registered with the Qatar Financial Centre (QFC). Insurance products are widely available from local and international companies (see Living in Qatar).

Under Law No 13 of 2012 QCB and the Regulation of Financial Services, only local insurance providers are permitted to underwrite any kind of risk against properties in Qatar. Decision No 1 of 2016 issued by the Governor of QCB provides instructions related to licencing, regulation and controls, risk management, accounting, and other requirements. Listed companies must have capital in excess of QAR100 mn or a risk-based capital, while unlisted companies must have capital higher than that set by QCB or their risk-based capital.

QCB continues to regulate and develop the insurance market under the Second Strategic

Plan for Financial Sector Regulation 2017–2022. Decision No 7 of 2019 sets out further instructions for licensing, organising and supervising the services of supporting insurance providers. It sets out the competencies and expertise, the nature of the work, areas of responsibility and functions, and the establishment of professional and ethical codes of conduct.

Islamic Finance

Current Islamic institutions include Dukhan Bank, International Islamic, Masraf Al Rayan and Qatar Islamic Bank. Lesha Bank – regulated by the QFC Regulatory Authority – is the first independent, Sharia compliant investment bank.

Banks were required by QCB to separate their Islamic and conventional lending operations by 31 December 2011. Islamic banking by other conventional banks is now barred from Qatar's market. QCB took this action due to certain supervisory and monetary issues, namely that holding both Islamic and non-Islamic deposits incurs different risks and reporting methods.

Law No 13 of 2012 requires that Islamic banks must have a Sharia board with at least three qualified members approved by the shareholders. Neither they nor members of their family may be employed or hold shares in the entity.

Institutions and services must abide by regulations set out in the Holy Quran and Sharia (Islamic Law). Charging riba (interest) is haram (forbidden). Islamic banks charge fees for services and engage in profit sharing, enabling them to offer comparable facilities to those of conventional banks. Under a mudharabah (profit sharing) contract, the rabbul maal (owner of the money) authorises the bank to invest funds as per Sharia to make justifiable returns. Other concepts of Islamic banking include wadiah (safekeeping), musharakah (joint venture), and ijarah (leasing). Bai (saving) is halal (allowed). m

qatarchamber

qatar_chamber

Our main role is to organise business interests and represent the Qatari private sector locally and globally as well as support the country’s economic actors and productivity

www.qatarchamber.com info@qcci.org

Economic Growth and Gross Domestic Product (GDP)

One of the main aims of Qatar National Vision 2030 is to diversify the economy and reduce dependence on the hydrocarbon industries.

The economy has weathered the impact of both the COVID-19 pandemic and the blockade that was imposed on 5 June 2017, with positivity after borders reopened between Saudi Arabia and Qatar following the AlUla Declaration in January 2021. Qatar and the US topped global exports of LNG in 2022 due to the energy crisis following the war in Ukraine.

The World Bank stated in January 2023 in its ‘Global Economic Prospects’ report that Qatar’s economy is forecast to grow at 3.4% this year, exceeding that of MENA oil exporters’ growth in 2023. Estimates show the economy will have grown at 4% in 2022, higher than -3.6% in 2020 and 1.5% in 2021.

In December, Qatar reported a total revenue of QAR81.8 bn for Q3 2022, with oil and gas making up QAR76.3 bn of the total. Ongoing expansion of hydrocarbon activities and contributions from the global gas market will continue to drive the economy in 2023, following concerns by the International Monetary Fund of a new global recession happening this year.

According to the Planning and Statistics Authority (PSA), Qatar’s quarterly Gross Domestic Product (GDP) at current prices was QAR228.423 bn in Q3 2022, an increase of 5.9% against the previous quarter and an increase of 30.7% year-on-year (y-o-y). The quarterly GDP at constant prices was QAR175.028 bn, an increase of 3.6% against the previous quarter and an increase of 4.3% y-o-y.

Export, Import and Trade Surplus

In December 2022, PSA data states the total exports of goods (including exports of goods of domestic origin and re-exports) amounted to around QAR38.3 bn, an increase of 3.1% monthon-month (m-o-m) and an increase of 7.6% y-o-y. The y-o-y increase was mainly due to higher exports of petroleum gases/other gaseous hydrocarbons. China was the main country of destination (21.9%), followed by India and South Korea.

Imports of goods was around QAR10.1 bn, a decrease of 7.7% m-o-m and an increase of 1.4% y-o-y. The US was the main country of origin (19.7%), followed by China and Italy.

The foreign merchandise trade balance – the difference between total exports and imports –showed a surplus of QAR28.2 bn, an increase of

nearly QAR2.0 bn or 7.6% m-o-m and an increase of QAR2.6 bn or 10.0% y-o-y.

The Budget

The State Budget for 2023 was announced in December 2022, with total revenue estimates at QAR228 bn, a 16.3% increase compared to 2022. Expenditures will decrease by 2.6% to QAR199 bn, due to an end in expenses for the FIFA World Cup Qatar 2022TM. However, the allocations for salaries and wages has increased by 6.3% to QAR4.0 bn.

The QAR29 bn budget surplus will repay public debt, support the reserves of Qatar Central Bank (QCB) and increase the capital of Qatar Investment Authority (QIA), to stimulate and diversify the State's economy. The budget surplus is the highest in the last decade, thanks to a 20.8% increase in oil revenues. Figures have been based on an average oil price of USD65 a barrel, up from USD55 in the 2022 budget. HE Ali bin Ahmed Al Kuwari, the Minister of Finance, stated this was due to the remarkable recovery in global energy prices during 2022, adding that international estimates suggest that energy prices will continue to rise over the medium term.

The allocations for major projects for 2023 decreased by 13.6%, at QAR 63.9 bn, while current expenditures increases from QAR67.2 bn to QAR67.5 bn. The 2023 budget shows 22 new projects allocated QAR9.8 bn as part of the country’s scheduled QAR64 bn expenditure of the general budget on major projects for the next year. Of these projects, 14 are estimated to receive QAR5.5 bn, based on an assessment of priorities.

The State continues to focus on the health and education sectors, with QAR21.1 bn for health (11% of total expenditure), and QAR18.1 bn for education (9% of total expenditure).

Inflation and Cost of Living

For December 2022, the Consumer Price Index (CPI), used to calculate inflation rates in Qatar, reached 108.20 points, an increase of 1.24% m-o-m and an increase of 5.93% y-o-y. PSA data shows there was an annual price increase in seven categories, the largest being a 25.36% increase in the prices of recreation and culture.

Population and the Labour Force

Total population in November 2022 was 2,891,345: males 2,110,657; females 780,688 The Labour Force report for Q3 2022 issued in December 2022 showed the unemployment rate was just 0.1%, one of the lowest in the world.

Qatar is a member of the World Trade Organisation and its trade policies create a competitive international trading market. The government supports the growth and success of businesses in a bid to diversify the economy. Qatar is a member of the Gulf Cooperation Council (GCC), which also includes Bahrain, Kuwait, Oman, Saudi Arabia and the United Arab Emirates. Following the ending of the blockade, Qatar has resumed trade with Saudi Arabia, the UAE, Bahrain and Egypt, and has continued to strengthen relations with a number of other countries such as Turkey, Oman, Kuwait, India, China, the UK and the US.

Embassies can provide valuable information on commercial activities and can connect you with their business council/chamber of commerce – see the Discovering Qatar section for contact details. Translation services can be found in Day to Day Qatar in the Living in Qatar section.

The Mark of Qatar Quality

By Sarah Palmer

As a means of boosting the competitiveness of national products, Qatar recently launched its own Quality Mark.

The Prime Minister and Minister of Interior, HE Sheikh Khalid bin Khalifa bin Abdulaziz Al Thani launched the Qatar Quality Mark earlier this year. This has been done in order to enhance the competitiveness of national goods both locally as well as around the world.

HE Sheikh Khalid bin Khalifa bin Abdulaziz Al Thani attended a ceremony to launch the quality mark with HE Ali bin Ahmed Al Kuwari, Minister of Commerce and Industry, and Engineer Mohammed bin Saud Al Musallam, Chairman of the Qatar General Organisation for Standardisation and Metrology (QGOSM).

Authorities in Qatar have decided to introduce the Quality Mark as part of the country's framework to improve the quality of local products, assert the quality of local products in regional and global markets, support development plans, and offer further consumer protection.

A presentation was given on the Qatar Quality Mark showing its benefits for both consumers and producers. Also shown was the mechanism for conforming the commodity to all approved standard specifications, as well as the benefit of increasing competitive opportunities among local companies.

At the moment, the Qatar Quality Mark is an optional certification placed on a product, proving its compliance with approved national standards, and that it has been examined and tested by an internationally recognised certified laboratory.

The Qatar Quality Mark is granted by Qatar General Organisation for Standards and Metrology (QGOSM), and can be used to advertise the licensed product across any media channel during the period of validity of the license. The mark indicates that

the product has been approved under the quality control mechanisms in place and is affixed to the commodity either by way of a sticker or by engraving it directly on to the product. The mark must be affixed such that it is difficult to remove, and can be attached to the commodity's packaging in the event that the commodity does not allow the mark to be placed directly to it.

In order to obtain the mark, the facility manufacturing the product must fulfil a number of conditions and standards stipulated in the Qatar Quality Mark regulations, which have been adopted under international requirements. The license to use the Qatar quality mark is valid for a renewable period of two years.

The Qatar Quality Mark offers a number of advantages to consumers, as it provides a visible, practical method of identifying those goods that meet pre-determined quality controls, which pose no health or safety risks, and which protects the consumer from potential fraud and deception.

A quality mark is used to confirm that a country has standards and regulations in place which must be met by companies and their products. The attainment of the quality mark will boost consumer confidence in the manufacturer, thereby increasing brand recognition and improving its reputation in the market. This is turn will increase demand for its goods, and provide competitiveness in local markets, as well as increasing the company’s opprtunities to access foreign markets.

Speaking at the ceremony, HE the Minister of Commerce and Industry Ali bin Ahmed Al Kuwari stated that launching the Qatar Quality Mark was an important step towards promoting the concept

of quality and conforming to approved specifications in the country. Getting the Qatar Quality Mark is the ultimate proof of efficiency and quality for national companies, and supports the ability to continue upgrading their products in accordance with the specifications and standards in place in the country.

HE the minister lauded the efforts of QGOSM in supporting and developing national institutions and establishments, and for encouraging them to begin applying the national standards and best international practices for products.

The Chairman of QGOSM Engineer Muhammad bin Saud Muhammad Al Musallam stated that the Qatar Quality Mark will enhance the competitiveness of products in the local, regional and global markets.

It is understood that the first phase will see Qatar focus on awarding the quality mark to national manufacturers in Qatari factories. The second phase will be dedicated to other countries who wish to apply for the quality mark. A technical profile must be submitted to QGOSM, and needs to include details such as product specifications, workforce, production processes, and any other quality certification that has been awarded.

About Qatar General Organisation for Standards and Metrology

The Qatar General Organisation for Standards and Metrology was established under Emiri Decree No 44 of 2014 and is currently affiliated to the Ministry of Municipality and Environment. Core functions include:

• Issuing, approving, reviewing, amending and monitoring the implementation of standards

and technical regulations with regard to goods, products and services.

• The establishment of a national system of measurement and supervising its implementation to ensure the high quality and safety of products, commodities and materials by adopting new trends and developments.

• Participating in relevant international and regional organisations.

• Granting licences to use the Qatar Quality Mark and other conformity certificates.

• Testing products, commodities and raw materials.

• Providing calibration, control and supervision of measuring instruments and practices.

• Controlling the quality of precious metals and jewellery by assaying and hallmarking.

• Operating the Qatari National IEC Committee, the WTO/TBT/SPS National Enquiry Point and Notification Authority for the State of Qatar. m

HE Ali bin Ahmed Al Kuwari, Minister of Commerce and Industry, said the launch of the Qatar Quality Mark represents an important step in supporting national industries and enhancing the production and export capacity of private companies.

During the ceremony, HE the Prime Minister and Minister of Interior granted the Qatar Quality Mark to Al Qataria for Production of Reinforcing Steel (QSTEEL), the first facility that has successfully fulfilled the criteria for obtaining the mark, from among the many organisations that have applied for it. He expressed his confidence in the ability of all national companies to produce quality products by applying Qatari standards.

Investment and Trade

Qatar has one of the fastest growing global economies thanks to the third largest concentration of natural gas reserves in the world. Recent legal liberalisation, economic diversification and an expanding economy provides many investment opportunities for non-Qataris. Investors can enjoy unrivalled world connectivity via Hamad Port, one of the largest in the region, and the world’s best airport, airline and air cargo carrier. Profits can be repatriated as can proceeds of sale and capital on liquidation. Major investment sectors are construction, oil and gas, education, and financial and legal services, with opportunities in ICT, sport, leisure and healthcare.

Qatar ranks first among the world’s top destinations for foreign direct investment (FDI), thanks to strong economic and investment momentum, according to the Investment Promotion Agency Qatar (IPA Qatar).

Data in the ‘FDI Standouts Watchlist 2023’ released by fDi Intelligence in January 2023 shows economies from the MENA region, led by Qatar, India, and Morocco, are expected to carry the strongest investment momentum into this year.

The report states that Qatar achieved 70% annual growth in FDI projects between 2019 and 2022, with the top FDI sectors being oil and gas, financial services, and ICT. The energy crisis due to the war in Ukraine has boosted Qatar’s role as a top exporter of liquified natural gas (LNG). The mega North Field Expansion project to strengthen the State's status as a LNG giant has seen a number of international partnerships with state-owned QatarEnergy for the project.

Incentives

The government welcomes foreign participation in joint ventures, with a number of incentives for investment:

• A developed infrastructure and ICT network.

• Easy access to world markets with good sea and air connections, continuously being upgraded.

• Natural gas, electricity, water and petroleum at subsidised rates.

• Land for development in the Industrial Area near Doha for nominal fees – companies can submit a request to the Ministry of Municipality for a lease contract of a plot under the Doha, Al Khor, Al Dakhira and Al Shamal Municipalities.

• Loans available from Qatar Development Bank.

• Fixed parity between the Qatari riyal and US dollar (USD1 = QAR3.64).

• No customs duty on the import of plant machinery; exemption from export duty.

• Five-year renewable tax holidays (based on government approval).

• No income tax on the salaries of expatriates.

• Tax on the profits of foreign-owned stakes in Qatari companies applied at a flat rate of 10%.

• Employment and immigration rules enabling the import of skilled and unskilled labour.

Investment Regulations

There are primarily two regulatory jurisdictions for foreign investors seeking to conduct commercial business in Qatar: the regulations of the State of Qatar, and the rules and regulations of the Qatar Financial Centre (discussed in more detail below).

Qatar also recently introduced new free zones designed to encourage certain bespoke investment vehicles to bring their businesses to the region. Non-Qatari investors may only invest in Qatar in accordance with Foreign Investment Law No 1 of 2019:

• In January 2019 the Amir promulgated the new foreign investment law of 2019. According to the new law, foreign investors are permitted to hold more than 49% in commercial companies with special permission from the Minister of Commerce and Industry (MOCI) (subject to some prohibitions set out below). Under the former law such increased ownership was limited to those businesses operating in a specific set of sectors.

• Non-Qatari investors are prohibited from being appointed as commercial agents under Commercial Agencies Law No 8 of 2002, but the former prohibition preventing foreigners from investing in real estate businesses has been removed under the new Foreign Investment

Law. Approval from the Council of Ministers is required for foreign investment in banking and insurance.

• Foreign capital is protected against expropriation (although the State may acquire assets for public benefit on a non-discriminatory basis, provided the full economic value is paid for the asset).

• Subject to Ministerial approval, a foreign company performing a specific contract in Qatar may set up a branch office if the project facilitates the performance of a public service or utility.

• A non-Qatari company operating in Qatar under a Qatari government concession to extract, exploit or manage the State's national resources is exempt from the Foreign Investment Law. In practice this covers all large oil and gas companies.

• A company formed by a non-Qatari entity with the government or a government entity ('Article 207 Company') may be subject to special rules and exemptions from the Commercial Companies Law No 11 of 2015.

• All international companies securing mega infrastructure development work must share at least 30% of the contract with local entities.

• Law No 7 of 1987 governs the practice of commercial activity by GCC citizens in Qatar, and was amended in April 2017 under Law No 6 of 2017. GCC citizens as individuals or legal personalities can practice retail and wholesale trade in Qatar. However, the GCC citizen engaging in the activity must be directly responsible for it. Those undertaking retail business must do so via direct sale to customers in a shop, and those in wholesale trading are required to import and export the goods. NB: following the signing of AlUla Declaration regarding the blockade against Qatar, legal advice is recommended for this type of commercial activity.

• Law No 12 of 2020 regulating the partnership between the public and the private sector became law in July 2020, as per one of the following regulations: Allocation of land through a rental or usage licence, for development by the private sector; build-operate-transfer (BOT); buildtransfer-operate (BTO); build-own-operate-transfer (BOOT); operations and maintenance (OM); or any other form adopted by the Prime Minister, upon the proposal of the relevant minister. The Government or other administration may, on its own initiative or at the suggestion of the private sector, identify a project for its implementation through partnership.

Choosing A Business Structure

To conduct business in Qatar on a regular basis, foreign investors are required to establish or register a legal presence from the following options:

• Incorporating as a company under the Commercial Companies Law which allows full access to Qatar's market and to work on an unlimited number of projects. A Qatari partner is required to own 51% of the capital of the company, except in the circumstances mentioned above. Various exemptions are available to attract foreign capital.

• Obtaining a licence for a branch office or trade representation office which does not require a Qatari partner. The licence for a branch is granted in respect of a specific project for a government client. The existence of the branch office is dependent on the duration of a particular project: once the project is completed, the branch office must close unless it has secured additional qualifying projects. Branch offices are only permitted to perform a specific contract and may not engage in general commercial activities with the larger local market. The branch will be fully taxable unless granted a special exemption. Trade representation offices are only permitted to market goods and services; they are not permitted to engage in commercial activities.

• Under Law No 7 of 2017 companies in GCC states can now establish companies in Qatar, subject to having had a commercial registration in one of the GCC states for at least three years, and be fully owned and managed by a GCC citizen. Refer to the preceding caveat in Investment Regulations regarding the blockade.

• Appointing a commercial agent means a nonQatari company does not establish a presence in Qatar; instead a 100% owned Qatari entity or Qatari national is appointed as an agent to market the relevant goods and services. Commercial agencies must be exclusive and registered in order to be afforded the protections provided under the Commercial Agents Law No 8 of 2002; non-registered distributorships are subject to the Commercial Law No 27 of 2006.

• There is a separate regime for establishing an entity in the Qatar Financial Centre (QFC). This allows 100% foreign ownership and aims to attract international financial services companies and some professional support companies to invest in Qatar. The number of permitted activities in which a QFC firm may engage has been increased to include a broader spectrum of investment options.

• The Qatar Science and Technology Park, a free zone in Education City, allows companies to engage in research and development, again with full foreign ownership.

• The new Qatar Free Zones have started accepting applications and international investors, at these zones:

° Um Alhoul, a 30 sq km site adjoining Hamad Port, south of Al Wakra – offers easy access to the water for maritime and logistics companies, and is a gateway for imports and exports. A port and marine cluster, 'Marsa', is able to support a wide range of marine businesses.

° Ras Bufontas, a 4 sq km site adjacent to Hamad International Airport – a technology and manufacturing hub for businesses requiring international connectivity.

• The Cabinet has added some areas to the Free Zones Law, including Msheireb Downtown Doha.

• Under Ministerial Decision No 242 of 2016, the MOCI will grant licences for small businesses at home conducting certain commercial activities including sewing, events services, electronic services, business services, cosmetic activities and food activities. A single license is issued per activity, with an annual fee, and cannot involve direct sales to the public from the residence. Decision No 163 of 2018 cancelled the requirement for signage at the house entrance.

Company Structures

According to the Commercial Companies Law No 11 of 2015, the following structures are permitted:

• Limited liability companies (LLCs) – subject to the Foreign Investment Law can now be established by a single person owning the entire share capital (previously the minimum number of shareholders was two). This replaces the single person company under the old companies law. Shareholders can determine the share capital of an LLC (previously the minimum share capital was QAR200,000 divided into equal shares).

• Article 207 company – a shareholding company where the Qatari government, a government owned entity or a public corporation must own 51% of the shares, unless the Council of Ministers consents otherwise. Certain provisions of the Commercial Companies Law are excluded from the company’s Articles of Association.

• General partnership – joint partners administer the affairs of the company, and trustee partners contribute to the company's capital.

• Simple limited partnership – a local entity formed by two or more Qataris.

• Limited partnership with shares – formed by joint partners, liable for the debts, or trustee partners, whose liability is limited to the share value.

• Unincorporated joint venture – formed by two or more people pursuant to specific contractual arrangements. The unincorporated joint venture does not have a separate legal personality distinct from its partners.

• Joint stock company (public or private) – the capital is divided into shares with a minimum of five shareholders. Permissible foreign share ownership depends on the type of company and is subject to Qatar Financial Markets Authority approval.

• Holding company – incorporated as a joint stock or limited liability company. The holding company must hold at least 51% of the shares in each of the companies under its control.

Commercial Registration (CR)

Virtually all companies use a government liaison officer or facilitator to assist with establishment formalities. Under Qatar Commercial Registration Law No 25 of 2005, companies must be approved or registered by one or more of the following entities: Ministry of Commerce and Industry (MOCI); Qatar Chamber; Ministry of Municipality; Ministry of Interior; Importers' Register/ Contractors' Register; and QFC Authority (where appropriate). Visit moci.gov.qa for details.

Amendments were made under Law No 20 of 2014 in order to expedite registration procedures, followed by Decisions 30 and 31 of 2019:

• The MOCI must respond to the applicant's request for registration on the same day.

• Reasons must be given for rejected applications. The Minister must accept or reject an appeal of the Ministry's decision within 15 days.

• Incorporated branches must be in the exact name of the principal company, and are not considered separate legal entities.

• Amendments have also been made to penalties for those operating commercial premises without a CR, misusing the CR, and providing false/ wrong documents.

• Provisional licences and renewals are now possible online, with the relevant fees, at gov.qa

Export and Import

Exports According to the Planning and Statistics Authority (PSA), Qatar’s total exports (including exports of domestic goods and re-exports) in December 2022 was QAR38.3 bn, mainly to China, India and South Korea. There are no duties on exports.

Imports According to PSA, imports in December 2022 was around QAR10.1 bn, for crude materials, manufactured goods, chemicals and mineral fuels, mainly to the US, China and Italy.

Import tariffs Importers of goods into Qatar must sign up to the Importers' Register and be approved by Qatar Chamber (QC). Customs duty and legalisation fees are levied on all commercial shipments, irrespective of its value. All goods imported into Qatar are subject to customs duties, based on a percentage value of goods (usually 5%), or on a 'per unit' basis. Effective from May 2021, incoming parcels and personal shipments with a cost, insurance and freight (CIF) value exceeding QAR1,000 is liable to 5% customs duties (previously QAR3,000).

Customs duty tariffs fall under these categories:

• Personal effects and household items, imports of charitable organisations and returned goods, diplomatic and military exemptions, merchandise for ‘free zones’ and duty-free shops – exempt. Goods in transit may be accepted at designated stations without duty.

• General cargo, eg clothing, perfumes, cars, electronic appliances and devices – 5%.

• Steel – 20%.

• Urea and ammonia – 30%.

• Cigarettes, tobacco and its derivatives – 100% or QR1,000 per 10,000 cigarettes, whichever is higher.

Law No 25 of 2018 on Excise Tax came into effect 1 January 2019. All businesses that import, produce or store/stockpile excise goods must comply with the requirements stipulated under the law. The following goods are subject to Excise Tax:

• Tobacco products – 100% • Carbonated drinks (non-flavoured aerated water excluded) – 50%

• Energy drinks – 100% • Special goods – 100% In accordance with the Gulf Cooperation Council (GCC) Customs Union, more than 800 goods are exempted from customs duties, alongside exemptions granted to certain bodies and persons under Customs Law No 40 of 2004. There are fees for the attestation of the Certificate of Origin (from QC) and a tariff for the attestation of the Commercial Invoice, based on shipment value.

Qatar implemented the World ATA Carnet Council in 2018, an international customs system with nearly 80 member countries, permitting the dutyfree and tax-free temporary import and export of goods for up to one year. The system is being implemented by QC alongside ICC Qatar and the General Authority of Customs (GAC).

Import regulations All commercial shipments are examined by GAC prior to clearance. The Qatar Electronic Customs Clearance Single Window (Al Nadeeb) is a one-stop e-government system to facilitate international trade. customs.gov.qa

New regulations were introduced in 2013 to prevent fake products from entering the market. All general goods must have non-removable marking of their place of manufacture to be eligible for customs clearance. This applies to both air and sea freight. The import of vehicle tyres, spare parts and electrical home appliances has to be based on a 'certificate of conformity' issued by the authority concerned. All general cargo for customs clearance must be backed by an original commercial invoice on the shipper’s letterhead, with stamp and signature. They also require attestation by QC. The packing list of each consignment must have the number of pieces, weight and volume.

GAC requires all importers to obtain an HS Code, an international system for classifying traded products. This must be linked to the trader's Commercial Registration and import licence. There are few restrictions on bringing personal effects into Qatar. However, anyone (importers, exporters or travellers) holding local or foreign currency, precious metals or jewellery worth more than QAR50,000 must complete a customs declaration form upon entry into or departure from the country. Banned imports include alcohol, pork and e-cigarettes. The import of pets is allowed, although certain breeds are not permitted. NB: The signing of AlUla Declaration regarding the blockade against Qatar means commercial cargo movement has resumed between Qatar and Saudi Arabia.

Points of entry Imports and exports are transitted via Hamad International Airport, Hamad Port, Doha Port, Mesaieed Port, Ras Laffan and the Salwa Overland Terminal.

Taxation

There are no personal taxes or statutory deductions from salaries in Qatar. Under Law No 24 of 2018 on Income Tax ('the New Tax Law') and its executive regulations, companies must pay tax on all profits at a flat rate of 10%. This is on all corporate income from sources in Qatar, whether

the entity has a physical presence in Qatar or not. The share of the profits due to a Qatari or GCC partner is exempt from tax.

Tax exemption applies for certain activities, and companies listed on the Qatar Stock Exchange are also exempt, but companies are required to pay a 2.5% contribution to charitable and cultural activities. Taxpayers need to register with the Public Revenue and Taxes Department. Auditors must be a firm based in Qatar and registered with the MOCI or approved by the QFC. Services are offered by the General Tax Authority via the Dhareeba portal.

In 2016 GCC members agreed to introduce VAT, tentatively set for early 2018. The Qatar Value Added Tax (VAT) Law and Excise Tax Law and Executive Regulations was approved in May 2017, based on the unified GCC agreement. To date, only the Excise Tax has been implemented.

Intellectual Property

Under Law No 9 of 2002, a trademark registration is valid for 10 years from the date of filing the application, renewable for further consecutive periods of 10 years. The court may be ordered to cancel a trademark registration if the owner fails to use it in Qatar within five consecutive years from the date of the registration.

Copyright Law No 7 of 2002 gives protection to authors of original literary and artistic works. Protected works include books, lectures, musical works, photographic works and computer software. The economic rights of the author/owner are protected during the lifetime of the author, and for 50 years after his death.

Patent Law No 30 of 2006 provides for the registration of inventions and foreign patents at the Qatar Patent Office; implementing regulations were issued by the Minister of Commerce and Industry under Decision No 153 of 2018.

Qatar announced its accession to the Patent Cooperation Treaty in 2011. The Law of Trademarks in the GCC Countries was promulgated under Law No 7 of 2014, and the same year Qatar signed a cooperation agreement with the World Intellectual Property Organisation (WIPO) to jointly improve services. There is an electronic trademark registration service via the MOCI website to expedite submissions and preserve IP rights.

Law No 10 of 2020 on the protection of industrial designs was issued in April 2020. This will offer more comprehensive protection for designs once the implementing regulations are issued, as previously protection was sought by publishing cautionary notices in Qatari newspapers.

In 2022 Qatar won the presidency of the International Union for the Protection of Literary and Artistic Works (Berne Union). The Berne Union is a UN agency under WIPO, and is an agreement by member states to protect works and the rights of authors, as well as giving creators the means to place autonomy over their works. Acting Director of the office of Qatar to the World Trade Organisation (WTO) Ahmed Essa Al Sulaiti is Chairman of the Committee of the Union for two years.

Regulatory Bodies and Government‑owned Entities

Investment Promotion Agency Qatar (IPA Qatar) A4 Custodian of the Invest Qatar brand, IPA Qatar was launched in 2019 and is registered at the Qatar Financial Centre. The agency provides investment solutions in Qatar, attracting foreign direct investment in all of the country’s priority sectors. invest.qa

Ministry of Commerce and Industry (MOCI) A4

Creates commercial policy for both private and public sectors in order to boost regional and international trade relations and support the development of businesses across the country. The ministry is a primary resource for information when opening a company and investing in Qatar. A number of services are available through the Single Window, part of the ministry's efforts to attract local and foreign investments. moci.gov.qa, investor.sw.gov.qa

Ministry of Finance (MOF) C4 Prepares the State Budget and proposes objectives and tools of financial policy in line with Qatar National Vision 2030. Its Tahfeez programme enhances local services and products to strengthen Qatar's private sector. The General Authority

of Customs monitors the import of all goods, and the e-services of the Unified Website of State Procurement include tenders and company registration. mof.gov.qa, customs.gov.qa, monaqasat.mof.gov.qa

Ministry of Justice (MOJ) C4 Records legal actions and documents, registers and protects IP rights, and reviews draft contracts and agreements in accordance with the law. The Ministry has a real estate registration/authentication office at Qatar Financial Centre (QFC) to provide services to QFC entities.

Ministry of Municipality and Ministry of Environment and Climate Change C4 The Foras investment portal promotes PPPs, currently for environmental, waste treatment, recycling and sustainability projects. mme.gov.qa

Qatar Chamber (QC) D4 Provides a wide range of services and support to local and international businesses, including certificates of origin (COO) for import/export and ATA Carnet, acting as liaison for international business delegations, and providing training courses. QC services are also available to QFC-licensed firms. The Qatar International Center for Conciliation & Arbitration (QICCA) was established in 2006 as part of QC to act as an efficient and swift mechanism to settle disputes between Qatari enterprises, or between national companies and foreign counterparts. qatarchamber.com, qicca.org

Qatar Development Bank (QDB) D4 Has an active role in the economic and industrial development of Qatar in the private sector by promoting and financing SMEs. The bank is 100% owned by the State of Qatar and provides a wide range of financial and advisory products, such as funding, incubation, and support services. qdb.qa

Qatar Financial Markets Authority (QFMA) C4

An independent regulatory authority supervising the financial markets and firms authorised to conduct activities related to securities in or from Qatar, and empowered to exercise regulatory oversight and enforcement over the capital markets. QFMA was granted full membership of the International Organisation of Securities Commissions in 2013. New legislation in 2014 modernised the legal infrastructure, while listing rules and a governance code for funds were issued in 2019. qfma.org.qa

Qatar Science and Technology Park (QSTP) C2

Since 2009 QSTP has been a facility for applied research and commercialised technology in Energy, Environment, Health Sciences, and ICT. This free zone at Education City allows foreign companies to set up 100%-owned businesses in Qatar free

of tax and duties. Members must have technology development (eg applied research, development and testing of a product or service, or technology training) as their main activity. qstp.org.qa

Qatar Investment Authority (QIA)

The QIA A4 was established in 2005 as the country's sovereign wealth fund to grow and diversify Qatar's economy. QIA has two main objectives: to support the local economy; and provide liquidity when required to stabilise the local economy, supporting local economic development by investing in companies that fill market gaps. QIA is the owner or a key shareholder in domestic companies such as Qatar National Bank, Ooredoo, Qatar Airways, Mwani Qatar, Qatar Holding, Qatari Diar Real Estate Investment Company, Katara Hospitality, Barwa Group, and Qatar Sports Investments, which owns football club Paris Saint-Germain.

QIA has approximately USD450 bn in assets, although the fund does not publish its holdings. Following a restructure in 2016, USD100 bn of investments in local companies were placed in a new unit, Qatar Investments (known as QIA internationally). QIA is a founding member of the One Planet Sovereign Wealth Fund Working Group, helping to produce a framework in 2018 to integrate climate change analysis into investment decisions. Further to this, in 2020 QIA embarked on a revised strategy promoting sustainability, with no new investments in fossil fuels.

Direct investments are made in real estate, healthcare, retail/consumer, technology/media/ telecoms, finance and industry. There are plans to exploit new investment opportunities in Europe, Asia and the US in sectors such as venture capital, fintech and sports. qia.qa

Qatar Investments Authority Portfolio

(unconfirmed): 52 Champs-Elysées, Adecoagro, Agricultural Bank of China, Asia Square Tower 1, Banyan Tree, Barclays PLC, Barwa Bank, Brookfield Property Partners, Canary Wharf Group, Claridge's/The Berkeley/The Connaught hotels, Credit Suisse Group AG, Deutsche Bank AG, El Corte Ingles SA, Empire State Realty Trust, Fahrenheit, Glencore PLC, Grupo Santander Brasil, Harrods, Hassad Food, Heathrow Airport Holdings, Hochtief, Iberdrola SA, J Sainsbury PLC, Kahramaa, Lagardère, Le Brantano!, Le Tanneur, Lifestyle International Holdings Ltd, London Shard Tower, London Stock Exchange, LVMH, Masraf Al Rayan, Mowasalat, National Grid PLC, One Ocean Port Vell, Ooredoo, Oryx Midstream Services (Oryx),

Pavilion, Pulkovo Airport, Qatar Exchange, Qatar Islamic Bank, Qatar International Islamic Bank, Qatar National Bank, Rosneft PJSC, Royal Dutch Shell, Siemens, Societe Fonciere Lyonnaise SA, The Bürgenstock Selection, Total SA, Turkuvaz, Valentino Fashion Group SpA, Vente‑Privée, Vivendi, Volkswagen AG, Xstrata PLC.

Qatari Diar Real Estate Investment Company Projects include: Lusail City; Chelsea Barracks and East Village (UK); and City Center DC (US). The Qatar Railways Development Company (Qatar Rail) was formed to oversee the Qatar Rail Development Programme: the Doha Metro, the Long Distance Rail, and the Lusail Tram. qataridiar.com

Qatar Financial Centre (QFC)

The QFC C4 was established in 2005 to attract international financial institutions and firms to establish business operations in a 'best‑in‑class' international environment. There are two independent bodies: the QFC Authority (QFCA) and the QFC Regulatory Authority (QFCRA). To operate in or from the QFC, a firm needs to be incorporated or registered by the QFC Companies Registration Office, licensed by the QFCA, and for regulated activities, authorised by the QFCRA.

Advantages of establishment in the QFC include:

• A separate legal, regulatory, tax and business environment.

• 100% foreign ownership, 100% repatriation of profits, and 10% corporate tax on locally sourced profits.

• A double taxation avoidance agreement network with more than 80 countries.

Assets managed by QFC amount to QAR28.3 bn with more than 1,500 local and international firms registered on its platform . Companies comprise investment and private banking entities, and (re)insurance and asset management firms (each of which is regulated); and consultancy service providers, law firms and financial services recruitment firms (which are non‑regulated).

The QFC is taking a major step in diversifying key economic sectors eg digital, financial services, sports, and media. An attractive incentives programme is available to multinational companies, offering free offices, highly competitive tax incentives, and seed capital to cover five years of operating expenses in return for a 10 year commitment. An enhanced registration sees complete registration applications reviewed and processed quickly, and firms have a dedicated Business Development Representative to coordinate setting up. qfc.qa

The QFCA, the commercial arm of the QFC, leads the expansion of Qatar’s financial services sector and develops relationships with the regional and global financial community. The QFCA's strategy focuses on the creation of a global business hub for three core markets – Asset Management, Reinsurance and Captive Insurance.

The QFCRA is the independent regulatory body of the QFC, overseeing all firms conducting financial services in or from the QFC, as a combined banking, insurance and markets regulator. In 2012, the QCB Governor took over the chairmanship of QFCRA, as part of a plan to establish a single financial regime, comprising QFCRA, QFMA, QE, QCB, and the Supreme Judicial Council. qfcra.com

The Qatar International Court and Dispute Resolution Centre (QICDRC) consists of the QFC Civil and Commercial Court (First Instance and Appellate Divisions) and the QFC Regulatory Tribunal. The Court has consensual jurisdiction to hear disputes between parties from anywhere around the world and mandatory jurisdiction to hear disputes between entities registered in the QFC. There is a purpose built Alternative Dispute Resolution (ADR) centre.

Under Laws No 14 and 15 passed in September 2021, the QICDRC's jurisdiction was expanded to include the Qatar Free Zones and the Qatar Free Zones Authority, as well as matters referred to the Court or Regulatory Tribunal by any law in the State. A new practice direction on small claims, No 1 of 2022, substantially shortens the time to reach a judgment and offers a quick and efficient legal dispute resolution mechanism. qicdrc.com.qa

Qatar Stock Exchange (QSE)

QSE C4 was created in 2009 between Qatar Holding (88%) and NYSE Euronext (12%) as the successor to Doha Securities Market; Qatar Holding purchased NYSE Euronext's stake in 2013. In 2012, regulatory authority passed to Qatar Central Bank (QCB) from Qatar Financial Markets Authority (QFMA), and a Memorandum of Understanding was signed with the Investment Promotion Agency in 2021 to boost the attractiveness of Qatar as an investment destination.

Trading in treasury bills began in 2011 and in 2012 the Venture Market for SMEs was launched, and in 2016 QSE joined the Sustainable Stock Exchanges Initiative of the United Nations (SSEI). There are 47 listed companies on the main market and 1 on the venture market, and 7 brokerage firms (February 2023). While QFC companies are subject to separate rules and regulations, the

listing and trading of shares in QFC companies still fall under the purview of QCB, QFMA and QSE. Residents, expats and individual companies are all able to invest. Traders must open an account with a brokerage firm, who will act as an intermediary for all transactions and provide a National Investor Number for a fee of QAR100. Traders must also register at Qatar Central Securities Depository (QCSD), established by QCB and licensed by QFMA to provide safekeeping, clearing and settlement of securities and other financial instruments listed on the exchange. qe.com.qa, qcsd.com.qa

Real Estate

Under Law No 16 of 2018 on the regulation of non-Qatari ownership and utilisation of real estate, implemented in March 2019, non-Qataris may own and use properties in Qatar 'in many areas according to conditions, regulations and procedures, which shall be determined by a decision of the Cabinet based on the proposal of the Committee for the Regulation of Ownership and Use of Non-Qatari Property'.

The real estate non-Qatari individuals and companies are allowed to invest in includes offices, shops, units and villas in residential complexes, and real estate development of land in specified areas, and is not limited to apartments and residential units. Cabinet Resolution No 28 of 2020, passed in October 2020, confirmed the areas in which nonQataris may own and benefit from real estate, and the terms, conditions, benefits and procedures for their ownership and use of them. This encompasses the right to free ownership of residential units inside residential complexes and shops inside malls.

Owners of property worth more than QAR730,000 will be offered residency, as well as their family, for the duration of ownership, with residency given as soon as they finalise the purchase. Owners of property worth more than QAR3.65 mn will receive the same benefits as permanent residents

Business etiquette

regarding healthcare, education, and investment in some commercial activities. The Ministry of Justice is the one-stop-shop for all transactions regarding non-Qatari ownership of real estate.

Freehold developments

The number of areas non-Qataris can own and use freehold property has been increased from three to nine designated areas: • Al Qassar (administrative area 60) • Al Dafna (administrative area 61) • Onaiza (administrative area 63)

• West Bay (66) • The Pearl Island (66)

• Lusail (69) • Al Khraij (69) • Jabal Theyleeb (69)

• Al Khor Resort (74)

Foreign companies can also own properties in these nine areas. The law offers an atttractive new investment model to Qatar, offering 100% guaranteed return on investment in these areas.

Leasehold developments

Non-Qataris can use real estate property for 99 years in 16 designated areas: • Msheireb (area 13) • Fereej Abdelaziz (14) • Doha Al Jadeeda (15)

• New Al Ghanim (16) • Al Refaa and Old Al Hitmi (17)

• Aslata (18) • Fereej Bin Mahmoud (22 and 23) • Rawdat Al Khail (24) • Mansoura and Fereej

Bin Dirham (25) • Najma (26) • Umm Ghuwailina

(27) • Al Khulaifat (28) • Al Sadd (38) • Al Mirqab

Al Jadeed and Fereej Al Nasr (39)

• Doha International Airport area (48)

All of these areas can be found on the map of Greater Doha in the Discovering Qatar section. m

Doing business in Qatar relies on personal relationships as well as the quality of the company or service. Networking and exchanging business cards is important. Men should wear suits or smart/business casual, women should cover upper arms and knees. When meeting Arab people of the opposite sex it is best to wait for them to initiate a handshake.

Some other cultural nuances: • Don't rely too much on email • Oral commitments at meetings may be deemed binding, written agreements may not • Appointments should be reconfirmed on the day • English is widely spoken, however the language of government is Arabic • Chat with your host on general matters before approaching business.

The Hydrocarbon Industry

Qatar has the world's third largest proven natural gas reserve and is the second-largest exporter of natural gas, according to the CIA World Factbook. Petroleum and natural gas are the basis of Qatar's economy: more than 70% of total government revenue, over 60% of gross domestic product, and around 85% of export earnings.

The State continues to focus on the energy sector as an important source of national revenue, increasing natural gas production levels and supplying 25% of the world’s total liquefied natural gas (LNG). This has positioned Qatar as the largest producer and exporter of LNG in the world and provides one of the highest per capita incomes in the world. This is due in part to the completion of Phase 1 of Qatargas' North Field gas development in 1991, leading to exports of liquefied natural gas (LNG). The North Field Expansion Project – the industry's largest ever LNG project – looks to boost production and revenues even further.

Many projects are joint ventures between the national corporation, QatarEnergy, and international entities. Under Qatarisation, joint venture industries and government departments aim to place Qatari nationals in senior management positions, an initiative that has been embraced by the hydrocarbon sector.

Qatar was a member of OPEC for nearly 60 years until January 2019. HE Saad Sherida Al Kaabi, Minister of State for Energy Affairs and President and CEO of QatarEnergy, stated at the time that Qatar’s exit from OPEC was 'not political' and that 'the withdrawal decision reflects Qatar’s desire to focus its efforts on plans to develop and increase its natural gas production from 77 mn tonnes per year to 110 mn tonnes in the coming years.' Qatar is the first Gulf country to leave OPEC.

Qatar's Energy Companies QatarEnergy

Formerly known as Qatar Petroleum, the company rebranded in late 2021 to reflect its new vision of adapting its direction and strategic objectives. The integrated national oil corporation is responsible for the sustainable development of Qatar’s oil and gas resources. QatarEnergy is also spearheading the energy and industry sector’s Strategic Qatarisation Plan to maximise the employment of Qatari nationals.

The first well, Dukhan 1, was drilled in 1939. In 1949 the first crude exports began and the first offshore concessions were granted. In 1960, Idd Al Shargi and Maydan Mahzam fields were discovered. The largest offshore field, Bul Hanine, was discovered in 1970 and came onstream in 1972.

QatarEnergy’s activities encompass the entire oil and gas value chain locally, regionally, and internationally, and include the exploration, refining, production, marketing and sales of oil and gas, liquefied natural gas (LNG), natural gas liquids (NGL), gas-to-liquids (GTL) products, refined products, petrochemicals, fertilisers, steel and aluminium. Operations are onshore at Doha, Dukhan, Mesaieed Industrial City and Ras Laffan Industrial City, as well as offshore at Halul Island, offshore production stations, drilling platforms, and the North Field.

QatarEnergy has signed Exploration and Production Sharing Agreements and Development and Production Sharing Agreements with major international oil and gas companies, including Elf Aquitaine/Total, Anadarko Qatar, Maersk Oil

Qatar, Occidental Petroleum Qatar, Qatar Petroleum Development, Talisman Energy Qatar, GDF Suez, China National Offshore Oil Corp and Qatar Shell.

The Hydrocarbon Industry

Qatargas delivering commissioning LNG cargo to Jiangsu-Binhai LNG Terminal in China

Ongoing projects include:

• The Barzan Gas Project to develop approximately 1.9 bn cubic feet per day (cfpd) of North Field wellhead gas, and 1.4 bn cfpd of sales gas for the domestic market in addition to associated condensate ethane, LPG and sulfur.

• Redevelopment of the Bul Hanine offshore oil field to prolong the field’s life by countering production decline and doubling oil production.

• A new Petrochemicals Complex in Ras Laffan Industrial City with partner Chevron Phillips Chemical Company LLC. The USD6 bn complex will have an ethane cracker with a nameplate capacity of 1.9 mn tons of ethylene per annum, making it the largest ethane cracker in the Middle East and one of the largest in the world.

• The North Field Expansion Project, with four new LNG trains to raise LNG production capacity from 77 mn tons per annum (MTPA) to 110 MTPA, as well as 4,000 tons per day (tpd) of ethane, 260,000 barrels per day (bpd) of condensate, 11,000 tpd of LPG, and approximately 20 tpd of pure helium.

QatarEnergy’s Industrial Cities Directorate

QatarEnergy's Industrial Cities are developed and operated according to international standards for the sector, with a focus on health and safety and sustainable development practices.

Ras Laffan Industrial City (RLIC) is 80 km from Doha along the northeast coast. It was established in 1996 and is now one of the fastest-growing industrial cities in the world. Industries in RLIC: Qatargas, Pearl GTL and Oryx GTL, Al Khaleej Gas, Dolphin Energy Limited, Laffan Refinery 1 & 2, Ras Laffan Olefins Company, Ras Laffan Helium, Qatar Power, Ras Girtas Power and Ras Laffan Power, and Erhama Bin Jaber Al Jalahma Shipyard.

Mesaieed Industrial City (MIC), 40 km south of Doha, is a hub for petrochemicals, chemical fertilisers, oil refining and metallurgical industries. Industries in MIC: QatarEnergy’s Mesaieed Operations and Refinery, Qatar Petrochemical Co, Qatar Fertiliser Co, Qatar Chemical Co, Qatar Steel, Qatar Aluminium Co, Qatar Vinyl Co and Qatar Fuel Additives Co.

Dukhan Concession Area (DCA) is 80 km west of Doha and produces about 180,000 bpd of oil. Crude oil is exported through the terminal operations department at Mesaieed and also supplied to the QatarEnergy Refinery, while condensates are sent to the QatarEnergy Refinery in Mesaieed. qatarenergy.qa

North Oil Company (NOC)

The Amir, HH Sheikh Tamim bin Hamad Al Thani inaugurated Al Kharsaah Solar PV Power Plant (KSPP) in October 2022, the first in Qatar and one of the largest in the region, with a total capacity of 800 megawatts (MW). KSPP covers 10 sq km with more than 1.8 mn solar panels utilising tracking technology to follow the sun's movement to maximise daily production. Robotic arms and treated water clean the solar panels at night to boost production efficiency.

Located 80 km west of Doha, the power plant has been developed and is operated by Siraj 1, which is jointly owned 40% by a consortium formed by TotalEnergies (49%) and Marubeni (51%) and 60% by QatarEnergy Renewable Solutions. The project includes a 25-year Power Purchase Agreement between Siraj 1 and the power grid operator Kahramaa. Al Kharsaah can supply 10% of the country's peak power consumption and will avoid 26 mn tons of CO2 emissions during its lifetime.

A joint venture to operate and further develop the Al Shaheen oil field for the next 25 years, owned by QatarEnergy (70%) and Total (30%). Al Shaheen oil field is in Qatari waters 80 km north of Ras Laffan with 33 platforms and more than 300 wells, producing around 300,000 barrels of oil per day from Qatar’s largest offshore oil field and one of the largest offshore oil fields in the world. noc.qa

Qatargas

The largest LNG producer in the world, operating 14 LNG trains with a total annual production capacity of 77 MTPA. Established in 1984, the first production was in 1996. Qatargas now delivers cargos to 31 countries to meet the world’s demand for safe, reliable and clean energy. Additionally, Qatargas is a leading exporter of natural gas, helium, condensate and associated products. Qatargas also operates the Jetty Boil-Off Gas facility, Al Khaleej Gas, Barzan Gas, Ras Laffan Helium, the two Laffan Refineries (among the largest condensate refineries in the world), and the Ras Laffan Terminal. qatargas.com

Qatar Chemical Company Ltd (Q-Chem)

Owned by Mesaieed Petrochemical Holding

Company QSC (MPHC) (49%), Chevron Phillips Chemical International Qatar Holdings LLC (49%), and QatarEnergy (2%). MPHC is majority owned by QatarEnergy. The Q-Chem facility produces high- and medium-density polyethylene (HDPE and MDPE), 1-hexene and other products, using technology provided by Chevron Phillips Chemical. The Q-Chem complex in MIC has a production capacity of 453,000 MTA of polyethylene and a production capacity 47,000 MTA of 1-hexene. The adjacent Q-Chem II facility produces 350,000 MTA of HDPE. Ras Laffan Olefins Company Ltd, owned by Q-Chem II, Qatofin and QatarEnergy, produces 1.3 MTPA of ethylene cracker and is operated by Q-Chem II. qchem.com.qa

Qatar Fertiliser Company (QAFCO)

Incepted in 1969 as a joint venture company to produce chemical fertilisers, the first significant step in Qatar’s industrial diversification programme to utilise its abundant natural gas resources.

QAFCO is now owned by Industries Qatar (IQ) (75%) and Yara Nederland BV (25%). The majority of IQ shares are owned by QatarEnergy, making QatarEnergy the ultimate parent of the company.

QAFCO inaugurated its first plant in 1973 – today there are six ammonia and six urea completely integrated trains, a melamine plant and two urea formaldehyde plants. QAFCO is the world’s largest single-site producer of ammonia and urea, with an annual production capacity of 3.8 mn metric tonnes (MT) of ammonia and 5.6 mn MT of urea, exported via Muntajat Co. QAFCO also has two urea formaldehyde plants producing 60,000 MTPA of UFC85, the anti caking agent vital to urea production. The Qatar Melamine Plant is the largest in the Middle East and one of the largest in the world, with a production capacity of 60,000 MTPA qafco.com

Qatar Fuel Additives Company Limited (QAFAC)

A Qatari joint stock company operating facilities at MIC for the production of methanol and methyl tertiary butyl ether (MTBE). Since the 1960s methanol has been produced from petroleum, naphtha and natural gas, and is a clean energy source and raw material for many everyday items.

The QAFAC methanol plant can produce 2,950 metric tons a day of US Federal Grade AA methanol from the natural gas provided by QatarEnergy. The majority is exported to the Far East, Europe, India and the GCC region.

The QAFAC MTBE plant produces around 1,830 metric tons a day by processing methanol from the on-site methanol plant and field butane from QatarEnergy. It is then used by the QatarEnergy Refinery at Mesaieed to replace lead in Qatar's

gasoline. The main international markets are the Far East, Europe, South America and the GCC. qafac.com.qa

Qatar Fuel Company (WOQOD) QPSC

Distributes fuel products within Qatar – diesel and gasoline, marine fuel and aviation fuel – with fuel distribution depots in Mesaimeer and Ras Laffan. WOQOD has a fleet of road tankers, an extensive network of petrol stations, and vessels for supplying marine fuel. Qatar was the first GCC country to convert to fully unleaded gasoline and WOQOD’s diesel has the lowest sulfur content in the region. WOQOD also fulfils Qatar's energy needs with ecofriendly fuel products like LPG and compressed natural gas, and has also diversified into retail marketing with Sidra convenience stores at their fuel stations. woqod.com.qa

Qatar Petrochemical Company (QAPCO)

Established in 1974 and a joint venture between IQ (80%) and TotalEnergies (20%). QAPCO is one of the largest manufacturers of low-density polyethylene (LDPE) in the region. Joint ventures include Qatar Vinyl Co, Qatofin Co Ltd, and Qatar Plastic Products Co.

QAPCO main facilities consist of an ethylene plant (cracker) with a production capacity of up to 830,000 MTPA, three LDPE plants with a total combined production capacity of over 795,000 MTPA, and a sulfur plant with a production capacity of up to 70,000 MTPA. As by-products, the ethylene plant produces liquid petroleum gases (LPG) with an annual capacity of up to 55,000 MTA and hydrogenated pyrolysis gasoline with a capacity of up to 45,000 MTA. qapco.com

Qatar Plastic & Wooden Products Co (QPPC)

Established in 1998 with commercial production commencing in 2000. The company is owned by shareholders QAPCO and Qatar Industrial Manufacturing Co.

Around 90% of production is sold domestically with the remainder marketed in other Gulf countries and Europe. The production facility is located at Mesaieed Industrial City, producing plastic film for industrial packaging. The company produces form, fill and seal film, shrinkable film and hood, construction foil, greenhouse and agricultural film, general purpose film, heavy duty trash bags, and wood-plastic composite.

Qatar Wooden Products Co commenced commercial production in 2013, a fully automatic wooden pallet production line and heat treatment facility able to produce 1.6 mn wooden pallets a year for QAPCO and other petrochemical companies. qppc.net

Ras Laffan Power Company Limited QPSC (RLPC)

Established in 2001 and the provider of electricity and water in Qatar. RLPC is a joint venture company owned by Qatar Electricity & Water Co (80%), QatarEnergy (10%) and Gulf Investment Corporation of Kuwait (10%). RLPC has a 25-year Power and Water Purchase Agreement with Kahramaa and a 25-year Fuel and Seawater Supply Agreement with QatarEnergy. The RLPC plant at RIC contributes 18% of the country’s power supply and 23% of the country’s water supply and is operated by Ras Laffan Operating Co WLL. rlpc.net

International Companies

ConocoPhillips

The world’s largest independent exploration and production company based on proved reserves and production of liquids and natural gas with operations and activities in 20 countries. In Qatar, the ConocoPhillips Global Water Sustainability Center at Qatar Science and Technology Park (QSTP) focuses on innovative solutions to treat produced water from the oil and gas industry as well as desalination, recycling, awareness and conservation. CSR in Qatar includes the Kulluna Health and Safety campaign, in partnership with Hamad Medical Corporation. conocophillips.com

ExxonMobil

One of the largest publicly traded international energy refiners and chemical companies. In Qatar, ExxonMobil has partnered with QatarEnergy to develop the North Field, participating in 12 of the current 14 LNG trains, 27 of the world’s largest LNG ships, and Qatar’s largest condensate refinery. ExxonMobil is the only foreign participant in Al Khaleej Gas and Barzan Gas domestic gas projects. ExxonMobil also has partnered with QatarEnergy in two LNG receiving terminals in Europe, an export terminal in the US, and in energy projects around the world. The company provides technical and management expertise to QatarEnergy through technical services and secondments of ExxonMobil employees, while at ExxonMobil Research Qatar at QSTP research is conducted in areas of mutual interest. exxonmobil.com.qa

ORYX GTL Ltd

Established in 2003 to develop, construct, and operate Qatar’s first GTL plant, converting natural gas into high quality GTL products including diesel, naphtha, and LPG. ORYX GTL is a 51:49 joint venture between QatarEnergy and Sasol Middle East and India, manufacturing more than 32,400 bpd of high specification GTL diesel, naphtha and LPG. The naphtha is exported from Ras Laffan and marketed by Qatar International Petroleum

Marketing Co (Tasweeq) to customers in the Middle East and Far East. oryxgtl.com.qa

Sasol

An international integrated chemicals and energy company that develops and commercialises technologies, and builds and operates world-scale facilities to produce a range of high-value product streams, including liquid fuels, chemicals and low-carbon electricity. In Qatar, Sasol is a 49% shareholder with QatarEnergy in ORYX GTL, which uses Sasol proprietary GTL technology to convert natural gas into liquid fuel and chemical products. sasol.com

Shell

The largest international investor in Qatar. QatarEnergy and Shell have jointly delivered two of the largest energy projects in the world in RLIC. Pearl Gas-to-Liquids (GTL) is the world’s largest GTL plant, costing USD19 bn, and the largest single investment in the Shell Group’s global portfolio. The Qatargas 4 LNG project (QatarEnergy 70%, Shell 30%) combines Shell’s global leadership in LNG with Qatar’s position as the world’s largest LNG supplier. The Qatar Shell Research & Technology Centre at QSTP is a world-class research and development facility and learning centre, with USD100 mn invested on programmes in support of energy and the environment. shell.qa

TotalEnergies

A broad energy company that produces and markets oil and biofuels, natural gas and green gases, renewables, and electricity. Active in more than 130 countries, TotalEnergies puts sustainable development in all its dimensions at the heart of its projects and operations to contribute to the wellbeing of people. In Qatar, TotalEnergies has been present since 1936, and is active in all areas of Qatar’s oil and gas sector – from exploration and production to refining, petrochemicals, marketing of lubricants, and solar energy. totalenergies.qa m

Ras Laffan Petrochemicals complex

Infrastructure in Qatar

gas and petrochemicals industries. However the government is diversifying economic development elsewhere, especially in view of fluctuating oil prices.

Spending on infrastructural projects continues to be a focus in the State Budget for 2023, building on the success of the FIFA World Cup Qatar 2022TM, and also for the education and healthcare sectors – see Economy in this section for details.

Conferences and Exhibitions

Qatar National Vision

As arguably the world’s fastest-growing economy, Qatar recognises the importance of diversification and sustainability. It also acknowledges the inherent challenges of a rapidly-increasing population, further industrialisation, and the resultant need for an ever-expanding infrastructure.

To manage these challenges in effectively, Qatar National Vision (QNV) 2030 was first published in 2008. Based on the guiding principles of the Permanent Constitution, it defines the nation’s medium-to-long-term objectives and creates a framework for sustainable national strategies. QNV 2030 rests on four pillars – Human, Social, Economic and Environmental Development – each with clearly defined individual long-term outcomes yet important inter-relationships.

Under QNV 2030, all new projects should provide a high standard of living for future generations, with investments in education, research, healthcare, transport and industry, to enable Qatar to sustain its own development by 2030. Plans include an integrated transport system, a major overhaul of roads and highways, drainage and sewage, and the renovation of downtown Doha.

The first wave of specific actions and targets were defined in the Qatar National Development Strategy (NDS) 2011–2016. NDS 2018–2022 has seen many of its goals achieved, despite exposure to abnormal conditions like fluctuating oil prices and the economic repercussions of the COVID-19 pandemic. The Planning and Statistics Authority (PSA) has begun preparing NDS 2023–2030.

Economic Strategy

Qatar’s economic development aims to create and sustain a competitive and diversified economy capable of meeting the needs of, and securing a high standard of living for, its population now and in the future. The economy has historically been significantly boosted by growth in the oil,

An influential player in the region’s MICE market, the first major facility opened in 2011. The Qatar National Convention Centre, a member of Qatar Foundation (QF) and located in Education City, is one of the largest, most technologically advanced venues in the Middle East, employing environmental and sustainability best practices including LEED gold certification Designed by Arata Isozaki, the award-winning venue features a 3D representation of the Sidra tree, symbol of QF. The 200,000 sq m venue has a 40,000 sq m exhibition space, a conference hall for 3,800 delegates and a 2,300-seat theatre.

The 47,700 sq m Doha Exhibition and Convention Center opened its doors in 2015. The building includes a state-of-the-art exhibition hall, modular wall system, and high-tech meeting and conference rooms. Located in Al Dafna, the venue has five exhibition halls, which can be used as one 29,000 sq m hall thanks to a unique wall partition system. The 18-metre high ceiling is the highest in the Middle East, supported by a revolutionary cantilever roof and is pillar-free.

Annual business conferences and exhibitions include Project Qatar, QITCOM, Cityscape Qatar, Arab Future Cities Summit, Green Building Expo, World Stadium Congress, and trade summits.

Spectacular Buildings

Dramatic changes to Doha’s skyline have seen glass and concrete towers built with materials imported from all over the world.

The population has increased from nearly 1.7 mn people in 2010 to over 2.8 mn in August 2022, mainly living in and around Doha. Just 50 years ago the 20,000 population of Doha lived and worked in single or two-storey structures on the narrow streets of what was just a small town on the southern shore of Doha Bay.

In the 1970s, as the country changed from fishing and pearl diving to oil production and export, the decision was taken to reshape Doha Bay, extend the waterfront and expand the town area by

Lusail City

reclaiming land. The area now known as Al Dafna (or ‘West Bay’) was dredged from the sea and the first building was the iconic Sheraton hotel, now dwarfed by the neighbouring buildings.

Demand for town centre real estate has grown, with more luxurious living and working environments, forcing the city upwards. The traditional inwardlooking, small-windowed, courtyard dwellings –cooled naturally or via a wind tower and vented walls – reflect the limitations of building materials and technology at the time. Now developments in glass technology and energy-efficient, eco-friendly air conditioning allows Qatar to build green.

Developments to Infrastructure

The public-private partnership (PPP) law, approved by the Cabinet in 2019, will support projects connected to Qatar National Vision 2030 and the FIFA World Cup Qatar 2022TM. The PPPs will be used for a variety of sectors, including healthcare, education, sports, real estate and infrastructure.

The State Budget for 2023 was announced in December 2022, with figures based on an average oil price of USD65 a barrel, up from USD55 in the 2022 budget. The total revenue estimate is QAR228 bn, a 16.3% increase compared to 2022. Expenditures will decrease by 2.6% to QAR199 bn, due to an end in expenses for the FIFA World Cup Qatar 2022TM. The State will continue work on development projects related to infrastructure, citizens’ land development and public services, with 22 new projects to be implemented in 2023 at a cost of QAR9.8 bn. Read more about the 2023 State Budget in Economy, in this section.

Public Works Authority ashghal.gov.qa

The Public Works Authority (Ashghal) was established in 2004 for the planning, design, procurement, construction, delivery, and asset management of all infrastructure projects and public buildings in Qatar. Key projects include the Expressway Programme, roads and drainage under the Local Areas Infrastructure Programme, and the Inner Doha Re-sewerage Implementation Strategy.

Ashghal launched its Corporate Strategy 2018–2022 under the authority's new vision ‘Excellence in delivering and managing efficient sustainable infrastructure’, with 10 objectives to accomplish its mission of ‘continuously enhancing customer satisfaction through leading project and asset management services and solutions’.

Ashghal's Supervisory Committee of Beautification of Roads and Public Places develops major roads, pedestrian and cycle paths, and landscaping, including parks. The Doha Central and Al Corniche Development and Beautification Project has

transformed the area into a pedestrian and cyclist eco-friendly zone, with plazas and green public spaces,and the restoration of historical areas. Numerous expressway projects have brought great benefits to navigating around the country. On Al Majd Road, Road 2 links Mesaieed Industrial City with Lusail City, while Road 4 links Mall of Qatar with Ras Laffan.

Construction has been completed on the sewage network in the inner Doha areas, enhancing efficiency and preventing pollution. Sewage infrastructure requirements continue around the country, including the Mesaimeer Pumping Station and Outfall featuring one of the longest outfall tunnels in the world at over 10 km. In September 2022, a PPP worth QAR5.4 bn was signed between Ashghal and a consortium of foreign companies for Al Wakra and Al Wukair Sewage Treatment Works, with the plant's first phase serving 306,000 people in southern Qatar.

Qatar General Electricity & Water Corporation km.com.qa

The corporation, known as Kahramaa, was established in 2000 under the Ministry of Energy and Industry to regulate and maintain the supply of electricity and water to its customers. Kahramaa transferred ownership of its stations to Qatar Electricity and Water Company (QEWC) in 2002. In 2018 the Minister of State for Energy Affairs, HE Saad Sherida Al Kaabi, assumed responsibility for Kahramaa as part of his remit to oversee the regular and sustainable supply of energy, power and water for domestic purposes.

An ambitious strategic plan saw Kahramaa investing QAR38 bn to meet increasing demands to the electricity and water supply, with a further QAR6 bn after 2022. This includes five mega water reservoirs to be online by 2026 providing storage for 2,300 mn gallons of water, while the power generation phase will produce 2,520 megawatts of electricity. The plant will add around 30% water and 25% electricity of local demand once fully completed.

Installed under the Smart Metering Infrastructure Project, 600,000 advanced digital meters will allow customers to monitor their consumption. This is in line with the corporation's National Program for Conservation and Energy Efficiency (Tarsheed), which celebrated its 10th anniversary in 2022 and has saved QAR4 bn during its second phase. The third phase will run from 2022 until 2030.

In 2020, Kahramaa awarded a QAR1.7 bn contract to develop the country’s first utility-scale solar PV project to Japan’s Marubeni and France’s TotalEnergies. The 800MW solar PV independent

power producer scheme is on a 10 sq km plot in Al Kharsaah, west of Doha. The project is owned and operated by Siraj 1 SPV, a consortium owned by TotalEnergies & Marubeni (40%) and Siraj Energy (60%), the latter being a joint venture between QatarEnergy and QEWC. The solar power plant was inaugurated in October 2022. It is expected to generate almost 2,000,000 MWh during its first year, the energy consumption of approximately 55,000 households, and reduce 26 mn tonnes of CO2 during its lifetime.

pollution during construction, achieving a minimum four-star rating under the Global Sustainability Assessment System (GSAS) for design, construction and facility management, in addition to obtaining a gold certificate for its operations. More than 80% of waste from the stadiums, some 2,000 tonnes, was recycled or composted during the event.

Much of the State Budget was previously devoted towards construction of the stadiums and associated infrastructure, expenditure will now be allocated towards fulfilling legacy plans to create unique community hubs around the stadiums. The designs of the stadiums will enable them to be easily converted into public facilities after the tournament and for parts of the stadiums to be sent overseas to those countries in need of sports infrastructure.

The World Cup's first temporary stadium, Stadium 974, will be entirely dismantled, while Lusail Stadium will have most of its seats stripped away and repurposed. The upper tiers will be transformed into housing, and the pitch will be used for community games.

Selected Megaprojects in Qatar

Qatar is undertaking a number of megaprojects to satisfy QNV 2030 and the football event's legacy mode, good news for both local and international businesses. Here are just a few:

FIFA World Cup Qatar 2022TM Legacy Mode qatar2022.qa

Previously known as the Qatar 2022 Supreme Committee, the Supreme Committee for Delivery and Legacy (SC) signed stakeholder agreements with Qatar Rail, Ashghal, Kahramaa, Aspire Zone Federation and Qatari Diar, for projects to deliver the infrastructure for the event

The stadiums were designed by the world's leading architects, reflecting aspects of Qatari culture, and taking into consideration three priorities: access and comfort, sustainability, and post-tournament legacy. Eight stadiums welcomed the world in November/December 2022: • Khalifa International Stadium • Al Janoub Stadium

• Education City Stadium

• Al Bayt Stadium

• Ahmad bin Ali Stadium

• Al Thumama Stadium • Stadium 974 (previously Ras Abu Aboud Stadium)

• Lusail Stadium.

Sustainability was an integral part of the project, with FIFA, SC and the FIFA World Cup Qatar 2022 LLC (Q22) continuously updating stakeholders on tournament sustainability efforts. Optimum dust-control strategies were followed to reduce air

Al Bayt Stadium, the second largest, will have the upper tiers removed and replaced by a hotel, shopping centre and sports medicine hospital. Ahmad bin Ali, Al Janoub and Al Thumama Stadiums will have capacity cut to 20,000 spectators. Ahmad bin Ali Stadium will become home to Al Rayyan football club, while Al Wakra FC will move to Al Janoub Stadium. Education City Stadium will also be cut to 20,000 capacity and become a sports ground for university students. There is already much in use in the precincts at Al Janoub, Al Bayt and Ahmad Bin Ali Stadiums. On Qatar National Sport Day 2020, public parks at Al Janoub and Al Bayt opened with vast green spaces, children’s play areas, exercise stations, restaurants, and cycling tracks. Ahmad Bin Ali Stadium is the home of Al Rayyan Sports Club, enabling amateur footballers and the public to use the running and cycling tracks, cricket pitches, tennis court and padel courts, outdoor gym facilities, skate park and aquatics centre.

Only Khalifa International Stadium will remain as it is. Originally built in 1976 and having received a number of upgrades, it will continue to host more international sporting events.

Qatar Integrated Rail Project corp.qr.com.qa

Following its establishment in 2011, Qatar Railways Company (Qatar Rail) is leading one of the largest rail projects in the world to meet the demands of Qatar’s dynamic and growing

Al Kharsaah Solar PV IPP Project

population. The company is responsible for the design, construction, commissioning, operation and maintenance of the entire network and systems.

The state of the art railway network currently consists of Doha Metro, a rapid transit system connecting communities within Doha and its suburbs, and Lusail Tram, a service for convenient travel within the new city of Lusail.

The Doha Metro: Three lines covering the Greater Doha area with connections to commercial and residential areas throughout the city. In central Doha, the Metro network is mainly underground, while at the outskirts it Is at ground level or elevated. The project has been conducted over multiple phases, phase one includes three lines (Red, Gold, and Green) which are now open to the public.

• The Red Line is about 40 km long running from Al Wakra in the south to Lusail in the north, with a connection to Hamad International Airport. There are 18 stations, and passengers can transfer to the Lusail Tram at Legtaifiya and Lusail stations.

• The Green Line runs east from Al Riffa to Al Mansoura, in the west.

• The Gold Line runs from Ras Bu Abboud to Al Aziziya with 11 stations.

Lusail Tram: An integrated transportation system serving Lusail City, a state of the art tram based system connecting major points of interest in the city. The tram is designed to travel on streets, sharing road space with other traffic and pedestrians. The project has four lines and 25 stations, with two interchange stations allowing passengers to access the Doha Metro.

Lusail City lusail.com

One of the largest projects in Qatar costing an estimated QAR163.8 bn, Lusail City is developed by Lusail Real Estate Development Company (LREDC), a subsidiary of the Qatari Diar Real Estate Investment Company, itself a subsidiary of Qatar Investment Authority. Spanning 38 sq km north of Doha, Lusail City is master planned to accommodate more than 450,000 residents and visitors.

Launched in 2004, features include residential and commercial areas, parks, marinas, five star hotels, a luxury mall, beach clubs, a waterpark, supermarkets and abundant dining options. Read more about Lusail City in Discovering Qatar Msheireb Downtown Doha msheireb.com

The flagship project of Msheireb Properties,

a subsidiary of Qatar Foundation, Msheireb Downtown Doha (MDD) is the world’s first sustainable downtown regeneration project, the QAR20 bn restoration of a 31 hectare site. Msheireb means ‘a place to drink water’ in Arabic, and is the historical name of downtown Doha.

The 'smart city with soul' is aiming for Gold or Platinum LEED Certification. The recently launched Doha Design District, a new design and innovation hub, will grant free zone status to occupants from a multitude of business sectors.

MDD is divided into five broad quarters, with hospitality, retail, residential and commercial areas. Barahat Msheireb is the region’s largest covered public square, anchored by the Cultural Forum and the Mandarin Oriental Doha hotel. The Heritage quarter features four historic houses that have been restored and turned into museums. The Diwan Amiri quarter comprises the Diwan Annexe, Amiri Guard building and Qatar National Archive, while Sikkat Wadi Msheireb is fully pedestrianised between the Alwadi Hotel Doha MGallery Hotel Collection and the Park Hyatt Hotel.

MDD is the central interchange for the Doha Metro, with other methods of transportation underground for a pedestrian‑friendly atmosphere. The MDD tram is available to transport visitors.

Read more about MDD in Discovering Qatar

Hamad International Airport dohahamadairport.com

Qatar's world leading Hamad International Airport revealed plans for its second expansion phase in 2019. Phase A comprised the central concourse linking concourses D and E, and the opening of The Oryx Garden Hotel. This phase officially opened in October 2022, allowing annual passenger handling capacity to increase to 58 mn.

Phase B, the final expansion phase, will begin in January 2023 and is expected to be completed within the next two and a half years. This will extend concourses D and E to increase capacity to over 70 mn passengers per annum. Features include an indoor tropical garden, a water feature, landscaped retail and F&B spaces and a new world class lounge. The expansion also includes the construction of a new cargo terminal, which will boost handling capacity to a 3.2 mn tonnes per annum. The terminal is expected to be ready by 2023.

The airport works with the Ministry of Municipality to achieve goals under Qatar National Vision 2030. This includes improving carbon efficiency, reducing greenhouse gas emissions, and modernising the waste management process.