Qatar’s budget produced a QAR 15bn (USD 4.1bn) surplus in the first three months of 2013, recording a 84% q/q increase on a sharp revenue growth which helped offset surging spending on public wages and infrastructure, the central bank said. The reading accounted for 8.1% of full-year GDP forecast, up from 4.5% in the previous quarter.
Higher hydrocarbon prices and output pushed state income up by 55% q/q to QAR 79.585bn but spending climbed 49% q/q to QAR 64.582bn as the government increased public wages to help avoid any potential unrest. The FY 12/13 state budget, which ended in March, assumed an oil price of USD 65 a barrel, up from USD 55 a barrel the year before.
The new state budget for FY 2013-14, which started on April 1, envisages an 18% y/y increase in spending to QAR 210.6bn (USD 58bn) and QAR 218bn in revenue (up 6%).The new budget, thus, implies a QAR 7.4bn surplus. The government will increase significantly public spending on infrastructure, public wages, education and other social projects. The budget assumes a conservative USD 65 a barrel crude oil price, the same the year before.
Spending on public projects will jump 40% y/y to QAR 74.9bn in the current fiscal year. Spending on education was also upped by 15% given the sector’s value-added share of 3.8% of GDP, according to the finance ministry. Current spending will rise 27% y/y to QAR 77.5bn in the current FY given a 24% increase in public salaries spending to QAR 44.3bn. Capital expenditure will likewise rise by 9% to QAR 13.9bn.
US President Donald Trump on October 16 warned that the termination of the Iran nuclear deal is still a clear possibility even though he ... more
US Defence Secretary Jim Mattis on October 3 told the Senate Armed Services Committee that it currently appears to be in the strategic interest of Washington to remain in the Iran nuclear deal. ... more
Iran’s foreign minister has said the country is willing to formally accept a tougher nuclear inspection regime in six years. However, Mohammad Javad Zarif continued to rule out any renegotiation of ... more