Qatar’s 2018 budget focuses on strengthening stability, developing prudent financial performance, and providing support for the economic diversification strategy it started earlier on, SAK Real Estate has said in its latest monthly report.
According to the report, the 2018 budget also confirms that Qatar will provide the necessary funds to complete the implementation of significant development projects pledged by the state, especially infrastructure projects in the health, education, transportation sectors and projects related to the country’s hosting of the FIFA World Cup in 2022.
“Total expenditure on these projects is expected to reach QR93bn, which will lead to a boom in the real estate sector as a result of the continued flow of liquidity supporting real estate sector capabilities, and as a response to comprehensive and sustainable development requirements that will achieve the objectives of the Qatar National Vision 2030,” it said.
The report noted that the 2018 budget allocates 41%, or nearly QR23bn, to spending on these mega projects, which will support the flow of real estate liquidity and develop real estate sector the capabilities to respond to requirements of the next phase.
The report said the budget shows that expenditures will be $55.8bn and revenues will be $48.1bn, which means a deficit of about $7.7bn. It also observed a 2.9% growth in expenditures and 2.4% growth in revenues, dropping deficit by 1.1%. About $14.3bn is allocated to salaries and wages at an increase of 9%.
“This sets the 2018 budget in line with Qatar National Vision 2030 in order to enhance the elements of prosperity and progress by focusing on the development of various matters related to the national economy, social situation, environmental status, and investment in human capital,” the report added.
Qatar’s 2018 budget focuses on completion of major development projects pledged by the state
