With the fall in oil prices underlining the dangers of an over reliance on hydrocarbons revenues, Qatar has continued to forge ahead with its economic diversification drive in 2016. Non-hydrocarbons growth now outstrips hydrocarbons growth, with several big-ticket construction projects, an increasingly dynamic financial services sector and a growing reputation as a tourist destination all fuelling non-oil expansion.
John Brash: Diversification has been a deliberate policy of GCC governments for some time. The drop in hydrocarbon revenues actually shows this to have been apt and robust. So while the doom-and-gloomers would have us think the region was forced to diversify, it is actually the opposite: a case of foresight being proven. The result is that the GCC has, in the main, been able to ride out the fall in oil prices with typical panache.
Reforms aimed at opening up Saudi Arabia to investment and encouraging private sector participation are moving forward, even as further details of the Kingdom’s long-term National Transformation Plan (NTP) have yet to be released.
Having put revenues from hydrocarbons towards the diversification of its economy, the emirate is in a good position to weather the storms of tumbling oil prices. As part of its Economic Vision 2030, sectors such as tourism, manufacturing, logistics, health, education, financial services, aerospace and telecoms have been highlighted as the...
How do you see the balance of sectors in the economy changing as Abu Dhabi diversifies?
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