Business Climate in Qatar

Entry Visa Requirements Investment Atmosphere The Local Private Sector oil &  Gaz  Industrial Privatization Program Qatar Science & Technology Park Qatar Financial Center Doha Securities Market Qatar Chamber of Commerce and Industry Banking and Financial System

Economic Reform Procedures

Qatar is reforming its economic polices to cope with the effects of the declining oil prices, reduce financial imbalances, reassure and stimulate the private sector and continue the effort to intensify diversification, economic flexibility and liberalization.

The effort was very successful and resulted in the establishment of enterprising petrochemical and other heavy industries. The present decline of oil prices gives a strong motivation to intensity efforts, start privatization programmed, remove obstacles impeding private investment and growth and enhance economic performance efficiency by restructuring the state's budget.

On the other hand, the state is concerned with preparing draft laws which stipulate that non-Qatari investors can own more than half of the shares of joint ventures, alongside with other incentives aiming to stimulate the contribution of the private sector in the development process.

The Ministry of Finance, Economy and Commerce has signed a number of agreements with several countries on economic, commercial and technical cooperation, joint mutual investment protection and tax duplicity prevention in line with the state's efforts to strengthen economic relations with the world and consequently attract foreign investments and facilitate exchange of capitals with foreign markets. The importance of these agreements is reflected in the legal guarantees they provide for the economic activities of national and foreign investors inside Qatar and abroad. Reforms are carried out in a setting of a democratic background.

His Highness the Emir has announced the formation of a committee responsible to draw   out a permanent constitution and prepare for the election of a new advisory council by direct and free ballot. 

 This will give the country a good image and make investors more confident when they   know they have all the guarantees in a State where law and order are prevailing.

To apply for tourist visa one of the registered hotels In Qatar, must submit an Application to the Immigration Department (Airport Visa Section) Visa is usually issued within 24 hours, is valid for 14 days, and can be extended for another 14 days. Citizens listed under 33 countries are issued visitor entry visas before arriving at the border. The service is provided 24 hours a day.

The Businessmen holders of passports of certain countries  "United States, Britain, France, Italy, Germany, Canada, Australia, New Zealand, Japan, the Netherlands, Belgium, Luxembourg, Switzerland, Austria, Sweden, Norway, Denmark, Portugal, Ireland, Greece , Finland, Spain, Monaco, the Vatican, Iceland, Andorra, San Marino, Lichtenstein, Brunei, Singapore, Malaysia, Hong Kong, South Korea ''  . Can get direct entry visa without obtaining previous visas at borders of the state. The visa is valid for 2 weeks and renewable for another 2 weeks and the service is provided 24 hours a day.GCC residents are granted a visa at the Airport. The visa is valid for 14 days and may be extended for another 14 days.

• GCC Residents Visa

GCC residents are granted a visa at the Airport. The visa is valid for 14 days and may be extended for another 14 days.

Qatar is taking active steps to make itself more investor friendly. with economic and financial stability It enjoys a very high degree of political, social and internal stability, good and balanced relations with all countries of the region and a distinguished geographical location and international standing, which created a healthy investment atmosphere and made the country an ideal place of opportunity where investors can realize substantial profits.

the Foreign Investors may invest in all sectors of national economy Provided that they shall have, Qatari partner(s) whose share In the capital shall not be less than 51 % and the company is legally established in accordance with provisions of law.

The Foreign investors may, upon Minister’s decision, increase their share in project capital from 49% up to 100 % in the fields of agriculture, industry, health, education, tourism, development and exploitation of natural resources, energy or mining. For more details regarding to that please refer to the Law No. (13) Of the year 2000 ، Law No.(31) of the year 2004 on Amendment of some provisions of Law No.(13) of the year 2000

The Foreign investors may Investing in the banking and insurance sectors upon a decision of the Cabinet of Ministers. (Ref: Law No. 31/2004) 

 Investors can own up to 25% foreign investment in Qatar Shareholding Companies (QSC’s) listed on the Doha Securities Market.

This sector is the third largest contribution to GDP among non-oil and gas sectors in 2007,at grew rate by 20.8% at current prices, contributing QR 19,511 million which represent 7.5% of total GDP. the Manufacturing Sector started to invest on industries and contributed in establishing small and medium-scale industrial projects in the filed of oil, Gas, petrochemicals, fertilizers and steel, which utilize natural gas as feed-stock and/or fuel. Including textiles and footwear, household articles, production of flour, cement, concrete, plastics manufacture and marketing of products in local and international markets. This sector is strongly supported by the Government as a part of a general policy to diversify income sources and to maximise the utilization of Qatar’s natural resources. The government has organized annually exhibition “Made in Qatar 2009” More than 300 companies are participating to display and promote local products. & aims to highlight Qatar’s most ambitious industrial projects as well as all national industries from different sectors.

Oil Sector

Qatar’s oil reserves  stood at 25.7 billion barrels in December 2007, The State of Qatar conducts its vision for oil operations industry  through State-owned Qatar Petroleum (QP),Which manages Qatar’s oil, gas, fertiliser, petrochemicals and refining enterprises in Qatar and abroad QP has in its new five-year plan (2008 - 2012), budgeted an overall QR 222.7 billion for projects in crude oil, natural gas, gas-to-liquids, refining, petrochemicals, industrial cities and others for more details’ please visit : www.qp.com.qa

Natural Gas sector

Qatar’s Natural Gas Proven reserves currently estimated at over 902 trillion cubic feet (tcf), which is equivalent to about 162 billion barrels of oil. These reserves would translate into 14% of the world total and will be sufficient to support planned production of natural gas for over 200 years .QP has initiated and developed two major LNG projects with foreign shareholders for utilizing the North Field gas for exports in the form of LNG. These projects are Qatar gas, and Ragas, which currently operate LNG facilities with a combined production capacity of around 31 million tons per annum for more details’ please visit: www.qatargas.com & www.rasgas.com

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The State of Qatar has completed the transformation of Qatar Public Telecommunication into a joint stock company under the name of Qatar Telecom.
This was the first phase of privatization program prepared in collaboration with the World Bank.

45% of the shares of (Q-TEL) were offered for sale for all investors without exception, which reflects the strong resolve of the government to involve the private sector in the development process and which is considered a daring step to attract foreign capitals to participate in successful Qatari projects.

The privatization programmed serves the strategic objectives of realizing economic development, upgrading the performance of companies and improving the standard of services extended to citizens and residents. Privatization shall doubtless help in vitalizing the activities of the Qatari bourse.

It is seen as a means of achieving a number of goals including contributing to remedy the budget deficit, reducing administrative and financial burdens, increasing economic growth rates, reducing the prices of commodities and services and enlarging the ownership base in society.

The privatization programmed carried out by the state is expected to cover other giant establishments. Privatization drive has been introduced to Qatar relatively late.

However, it is now on track moving consciously in accordance to plans aiming to restructure the country's economy, taking into consideration all factors that could affect the banking system and the size of liquidity available inside and outside the country.

 A free-trade zone, 100 % foreign ownership making it easy and attractive to establish a technology-based company in Qatar. It is a home for technology-based companies from around the world, and an incubator of start-up enterprises. We provide premises, services and support programs that help organizations to develop and commercialize their technology. For benefits that are more valuable, please visit: www.qstp.org.qa.

 Attract international financial institutions and multi-national corporate to establish them in a best-in-class international financial centre in Doha – Qatar has become a significant player in the global economy. The Centre has been designed to attract international financial services institutions and major multi-national corporations to share in the vision of a long-term and mutually beneficial partnership with Qatar. For benefits that are more valuable, please visit: www.qfc.com.qa & www.qfcra.com

 Find opportunities to invest savings in stock trading carry out studies and collect data and information on bonds exchanged in the market now the investors can Own up to 25% foreign investment in Qatar Shareholding Companies (QSC’s) listed on the Doha Securities Market. The capital value of Doha Securities Marked rose towards QR 279 Billion, the end of 2008.  The continuation of the capital value upturn at the Qatari bourse reflects the good standing of the listed Qatari companies and the credibility of the Qatari economy. For benefits that are more valuable, please visit: www.dsm.com.qa  

The oldest Chambers of Commerce in the GCC Countries. Qatar Chamber of Commerce & Industry(GCCI) provide a wide range of activities commensurate with national, regional and international developments and serve the commercial, industrial and agricultural interests of its participants in the private sector For benefits that are more valuable, please visit: www.qcci.org

Banking and Financial System

First: Qatar Central Bank

Qatar Central Bank was established in August 1993 to replace Qatar Monetary Fund. It works to uphold the stability of the finance market. Its capital has been increased to reach QR. 1 billion. The strength of the Qatari Riyal is attributed to the strength the Qatari economy and the huge revenues of hard currency earned from the exports of oil, gas and heavy industries products, in addition to the stability of the banking system. The Bank has been continuing its policy to liberalize interest rates since 1995. According to this policy banks are free to determine the interest rates without restrictions, which created the right condition for healthy competition among the banks operating in the country.
For more information, please visit the www.qcb.gov.qa

Second: National Commercial Banks

 During the past two years commercial banks have increased their assets, deposits and profits. Their efficiency is far beyond the ratio of 8% stipulated by Basel International Capital Adequacy Directives. By the end of October 1998 assets in the banking sector in Qatar amounted to about QR 41.519 billion, clients deposits registered QR 24.945 billion and credit facilities increased by QR 99 billion to reach about QR 29.895 billion. One indicator of the strength of the banking system in Qatar is the continuous opening of new branches by existing banks. This expansion helps the banks to improve their banking and investment services. The banking sector holds the first position in the Qatari bourse in terms of the value of their circulated shares and the number of concluded share-sales contracts. This also indicates the prosperity of banking activity. Banks, directly and indirectly, play a major role in supporting economic development projects by securing loan or financing services to companies involved in the implementation of vital projects. The number of commercial banks operating in Qatar is 14. They include 6 national banks of which 2 operate in accordance with Islamic principles

Third: Insurance Sector

The insurance sector is one of the saving and investment facilities available in the country's economic structure. Presently,  there are 8 insurance companies of which 4 are joint stock companies, while the rest are representative agencies of overseas companies. The latest indicators of the activity of insurance sector in Qatar reflect an outstanding growth represented in an increase in the number and diversity of the sector's services, development of its work techniques and expansion of its role in the country's economic and social development. Insurance Companies participated with the national banks in the establishment of private companies.

Commercial Fairs and Conferences

Doha continues to host many public functions such as lectures and symposia throughout the year to discuss the economic realities of today:
Their scope, the challenges they represent, and the negative or positive impact of global changes on them. The forums also deal with the economic futuristic prospects and the plans to revive the economy.

 Local businessmen are urged very strong to organize and host foreign specialized fairs, which are conceived to contribute in strengthening and vitalizing trade relationship between Qatar and the rest of the world.

Several fairs of different natures, general or specialized, in addition to international grand fairs are held in Qatar International Exhibition Center.
Qatar has proclaimed its intention to host an important conference on natural gas entitled "Gas Tech" in the year 2000. In November 1997 Doha witnessed the convention of the MENA 4th economic conference, which alongside with other similar functions is believed to have provided good opportunities for businessmen in the local private sector to establish strong relations and contacts with their visiting counterparts to the advantage of all associates in the field of investment and commerce.

Thanks to its good international reputation, Qatar has succeeded with excellence to host such a grand international forum as well as several other international functions, which strongly indicates the ability on the part of the Qatari people to succeed in exercising the best organizational functions and live up to their international commitments.

It is worth mentioning that during the past few years more than 22 companies of which 60% are foreign have invested in Qatar more than QR 20 billion, and that Qatar still continues to witness the convention of various commercial and investment fairs as part of the effort to attract more foreign investments and retrieve the country's emigrant funds.
For more information, please visit the www.qiec.com.qa