The Middle East

Qatar looks set to retain its position as the world’s fastest-growing economy this year, with the country’s core sectors performing strongly and diversification continuing apace. While many economies worldwide are still sluggish, or face the prospect of slipping back into recession, Qatar is expected to see 21% real growth in 2011, according to a recent report by Doha-based financial institution QNB Capital.

With an announcement that a 35% stake in its national carrier is up for sale, the Kuwaiti government has taken another step towards privatising Kuwait Airlines, a project that has been in the works since 2008. At the same time, efforts are under way to build a national railway, with the government recently signing a contract with a consortium of consultancy firms to undertake research on a proposed rail link between Kuwait International Airport (KIA) and the country’s ports.

Jordan’s recently unveiled five-year national tourism strategy foresees the private sector playing a growing role in the sector, with the eventual goal of doubling the industry’s contribution to GDP.

Abu Dhabi has surpassed 1m hotel guests for the first half of the year and seems likely to achieve its tourism aims for 2011, although increased competition could eat into margins in the longer term.

Saudi Arabia’s economy looks set for a period of sustained growth, with oil revenues remaining high, non-hydrocarbons exports on the rise and the effects of a massive investment programme by the state starting to kick in.

With a recent milestone achieved in aluminium production and major expansions planned in the steel sector, Oman is becoming an increasingly prominent player in the global metals industry.