Private sector becoming a key driver of Qatar's economic diversification: USQBC

Qatar’s private sector is quickly becoming a driver of the country’s growth and taking the lead to diversify the economy, the US-Qatar Business Council (USQBC) stated in its report titled ‘Foreign Direct Investment in Qatar: Recent Developments and Opportunities’.

The report includes key indicators, important initiatives, and the important role that US companies have played in attracting additional investors to the country, USQBC noted in an earlier statement. The report underscored the Qatari government’s “unwavering support” to the state’s public sector during the Covid-19 pandemic and the blockade years. This, the USQBC report noted, highlights how the government values the role of private companies in the country’s sustainable economic development and the challenges facing its growth.“In addition, the government determinedly stood behind the private sector and extended full support to successfully navigate the initial hardships faced by the Gulf dispute. The support from the government helped many private sector companies to expand their footprints to foreign markets. “Indeed, Qatar’s private sector companies and business leaders have strongly benefited from the government’s initiative to support and provide financial and economic incentives amounting to $20bn, along with a series of other measures aiming to support the private sector and cope with the impact of the Covid-19 pandemic and the Gulf Dispute,” said the report.According to the report, aside from cash infusions, one of the initiatives that were undertaken by the Qatari authorities to facilitate consumption was through the Qatar Central Bank, which launched its Qatar Mobile Payment System. This system used QR-code technology to allow consumers to make digital payments through their smartphones. Partly as a result of this, retailers were among the ones who successfully weathered the Covid-19 pandemic, as the latter gave rise to a massive increase in online shopping. “Instead of closing physical branches, many retailers, which may have lacked the capacity, motivation, or know-how to scale up their digital platforms, have partnered with major e-sales platforms and delivery companies. “One entity that strengthened the increase in digital shopping was EButler, a one-stop services platform, which recently raised a total of $934,000 in seed funding. The platform has helped a range of businesses adopt an omnichannel approach to providing goods and services, and now represents over 300 merchants,” the report added.