Construction activity boosts Qatar GDP in 2013
The construction market was amongst the factors for 6.2% growth
Qatar's economic growth accelerated at a buoyant 6.2% pace in Q3 2013 compared with Q3 2012, according to figures released by the Ministry of Development Planning and Statistics.
The result was spurred by double-digit growth in trade, restaurants and hotels; construction; transport and communication; financial, real estate, and business services; as well as domestic services.
QNB Group expects real GDP growth to pick up further during 2014 to 6.8% as the implementation of large infrastructure projects accelerates and the fast-growing population boosts domestic demand.
This large infrastructure investment program will have a direct effect on GDP growth through higher investment spending and an indirect effect through population growth, said the group.
A new wave of expatriate workers is coming into Qatar in response to higher labour demand for infrastructure projects - population continued its double-digit growth (11.4% year-on-year) in the year to the end of December 2013, driven by the large ramp up in infrastructure spending.
The larger population will continue to drive economic growth by boosting domestic demand, services as well as investment in housing and other infrastructure, it is predicted.
Accordingly, small and medium-sized enterprises, such as hotels, education, medical services, retail and restaurants are expected to flourish in order to cater to the growing population.
QNB Group said it expects the Qatar economy to grow by a further 6.8% over the next 12 months.