Special zones set to help Qatar diversify economy

The realisation of economic zones under Manateq is expected to further enhance Qatar’s position as a major commercial hub in the GCC region and speed up the country’s policy of diversifying the economy away from oil and gas.A law is on the anvil, which will regulate the company that develops, maintains and runs the special economic zones and specify regulations about the businesses to be set up in these zones.The proposed economic zones in Qatar will allow investors - nationals, foreigners, individuals or corporations - unrestricted repatriation of profits and capital abroad.All types of businesses will be allowed to be set up in an economic zone.They can be proprietorships or partnership firms or any other types of companies or business entities, according to a draft law approved by the Cabinet recently.Special rules will apply to businesses operating from the economic zones and no other national law or regulations whatsoever, whether related to companies, customs or licensing, will apply to such businesses. The licensing of a business to be set up in an economic zone will be single-window and solely done by Manateq or the Economic Zones Company.The company is to be granted a 50-year concession from the date of issuance of the law, during which it will be solely in charge of the management, development, operation, and maintenance of the zone and zones associated with projects the state assigns to it as per the law and the firm’s statute. Qatar established Manateq to develop and operate three special economic zones that provide infrastructure in accordance with the highest international standards in order to reach new levels of economic diversity and promote the growth of the small and medium-sized companies and private sector.Plans have already been announced for state-run company Manateq to set up three economic zones in Ras Bufontas east of Al Wakrah Road; in Al Karana, south of the Industrial Area; and at Um Alhoul near Hamad Port, south of Al Wakrah.Besides facilitating foreign investment, the economic zones are expected to create thousands of jobs, mostly for nationals, and enhance trade.The economic zones will make it easier for companies to do business, providing access to growing markets, using the country’s resources prudently.Qatar has made it abundantly clear that it is focusing on a large number of initiatives that help improve investment climate and multiply chances of projects available to the private sector.  Equipping and enhancing the capabilities of the private sector have also been top on Qatar’s priority.Many experts say the establishment of economic zones with special incentives would make Qatar more attractive to foreign investors. Efforts made for speedily realising the special economic zones are a testament to Qatar’s firm resolve and unwavering commitment towards a fully-diversified national economy.