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QNA
Doha
Qatar’s general budget for 2019 will achieve a surplus of QR4.3 billion, its first budget surplus in three years, the Ministry of Finance announced on Thursday.
The surplus is a result of higher energy prices in international markets along with increasing non-oil revenues, the ministry said.
The 2019 budget assumes an average oil price of $55 per barrel compared with $45 per barrel in the 2018 budget.
Revenue is anticipated to reach QR211 billion, up 20.5 percent compared with the budgeted revenue of QR175.1 billion in 2018, the ministry said.
Expenditure is set at QR206.7 billion, up by 1.7 percent compared to the QR203.2 billion budgeted in 2018. Accordingly, the budget is expected to achieve a surplus of QR4.3 billion.
Based on the directives from the Amir His Highness Sheikh Tamim bin Hamad al Thani, the 2019 budget is designed to achieve efficiency in current expenditure while maintaining the necessary allocations for the completion of major approved projects that contribute to the sustainable development targets of Qatar 2030 Vision.
These span economic, social, human and environmental development. The budget also focuses on providing the necessary funds for the development of new housing areas for nationals, enhancing food security projects, and the establishment of infrastructure and facilities in free zones, special economic zones, and industrial and logistics zones.
Allocations to salaries and wages have increased by 9.4 percent to QR57.1 billion compared with QR52.2 billion in 2018. This rise is the result of increasing hiring to secure required staff to operate several newly completed projects, especially in the education and health sectors. Hiring also increased in the defence, security and public safety sectors, the statement said.
Expenditure allocated to major projects declined by 3.6 percent to QR89.6 billion, compared with QR92.9 billion in 2018. This decline is the result of the completion of some major infrastructure projects. These allocations are projected to continue declining gradually during the coming few years, as more projects are completed.
Despite the drop in allocations, major projects continued to represent the largest share of expenditure at 43.3 percent. The focus continues to be on completing projects in leading sectors including
healthcare, education and transportation, along with those related to the hosting of FIFA World Cup in 2022.
In 2019, the ministry said, new projects with a total cost of QR48 billion are expected to be awarded out of a portfolio of committed projects worth QR 421 billion. These new projects will boost economic growth in the country, especially in non-oil sectors.
Healthcare Sector
The allocation for the health sector is QR22.7 billion, representing 11 percent of the total expenditure. Major projects to improve health care services include expansion in Hamad Medical Corporation facilities, National Laboratories premises, completion of four new health centres in Al Wajbah, Meither, Qatar University and Alwaab, commencing construction of five new health centres in South of Wakrah, Al Mashaf, Al Saad, Al Khor and Ein Khaled.
Education Sector
The education sector is allocated QR19.2 billion in the budget, representing 9.3 percent of total expenditure. Major projects in the education sector include facilities for the medicine, pharmacology, engineering and law schools at Qatar University, completion of other Qatar University facilities like student housing, new lecture halls and Al Rawdah premises, expansion of
community college, Ministry of Education headquarters, two new schools for Qatar Academy and establishment of other new schools with a total cost of QR6.8 billion over five years.
Infrastructure Projects
Infrastructure projects are allocated QR33 billion, 16 percent of total expenditure. The sectors covered include road, water, electricity and sewerage networks, along with other public facilities.
The main infrastructure projects under construction include Al Bustan highway, Al Rayyan-Dukhan road, Al Khor coastal road, Al Furousiya road, North road, Wakrah expressway, Wakrah bypass, Lusail expressway, expansion of the water and electricity networks and development of new housing areas for nationals.
The 2019 budget includes allocations for the development of new housing areas for nationals, including the provision of roads, water, electricity and sewerage networks. The plan to provide new housing areas for nationals will cost QR12 billion over 5 years. New land areas will be distributed to nationals gradually after the completion of required infrastructure, according to the approved timetable.
Transportation and Communications Sector
The transportation and communications sector is allocated QR16.4 billion, 7.9 percent of total expenditure in 2019. Most of the allocations will go to the Rail project, Doha Metro, while QR1 billion has been allocated for the expansion of Hamad International Airport as part of a wider plan worth QR10 billion to enhance the capabilities of the airport to offer the best aviation and cargo services. There are also funds assigned to Qatar Public Transportation Program, which is expected to cost QR3 billion in 2019-2021.
The main transportation projects under construction include Doha Metro with allocations of QR12 billion, Lusail light train, Qatar Public Transportation Program and Hamad International Airport expansion.
Doha
Qatar’s general budget for 2019 will achieve a surplus of QR4.3 billion, its first budget surplus in three years, the Ministry of Finance announced on Thursday.
The surplus is a result of higher energy prices in international markets along with increasing non-oil revenues, the ministry said.
The 2019 budget assumes an average oil price of $55 per barrel compared with $45 per barrel in the 2018 budget.
Revenue is anticipated to reach QR211 billion, up 20.5 percent compared with the budgeted revenue of QR175.1 billion in 2018, the ministry said.
Expenditure is set at QR206.7 billion, up by 1.7 percent compared to the QR203.2 billion budgeted in 2018. Accordingly, the budget is expected to achieve a surplus of QR4.3 billion.
Based on the directives from the Amir His Highness Sheikh Tamim bin Hamad al Thani, the 2019 budget is designed to achieve efficiency in current expenditure while maintaining the necessary allocations for the completion of major approved projects that contribute to the sustainable development targets of Qatar 2030 Vision.
These span economic, social, human and environmental development. The budget also focuses on providing the necessary funds for the development of new housing areas for nationals, enhancing food security projects, and the establishment of infrastructure and facilities in free zones, special economic zones, and industrial and logistics zones.
Allocations to salaries and wages have increased by 9.4 percent to QR57.1 billion compared with QR52.2 billion in 2018. This rise is the result of increasing hiring to secure required staff to operate several newly completed projects, especially in the education and health sectors. Hiring also increased in the defence, security and public safety sectors, the statement said.
Expenditure allocated to major projects declined by 3.6 percent to QR89.6 billion, compared with QR92.9 billion in 2018. This decline is the result of the completion of some major infrastructure projects. These allocations are projected to continue declining gradually during the coming few years, as more projects are completed.
Despite the drop in allocations, major projects continued to represent the largest share of expenditure at 43.3 percent. The focus continues to be on completing projects in leading sectors including
healthcare, education and transportation, along with those related to the hosting of FIFA World Cup in 2022.
In 2019, the ministry said, new projects with a total cost of QR48 billion are expected to be awarded out of a portfolio of committed projects worth QR 421 billion. These new projects will boost economic growth in the country, especially in non-oil sectors.
Healthcare Sector
The allocation for the health sector is QR22.7 billion, representing 11 percent of the total expenditure. Major projects to improve health care services include expansion in Hamad Medical Corporation facilities, National Laboratories premises, completion of four new health centres in Al Wajbah, Meither, Qatar University and Alwaab, commencing construction of five new health centres in South of Wakrah, Al Mashaf, Al Saad, Al Khor and Ein Khaled.
Education Sector
The education sector is allocated QR19.2 billion in the budget, representing 9.3 percent of total expenditure. Major projects in the education sector include facilities for the medicine, pharmacology, engineering and law schools at Qatar University, completion of other Qatar University facilities like student housing, new lecture halls and Al Rawdah premises, expansion of
community college, Ministry of Education headquarters, two new schools for Qatar Academy and establishment of other new schools with a total cost of QR6.8 billion over five years.
Infrastructure Projects
Infrastructure projects are allocated QR33 billion, 16 percent of total expenditure. The sectors covered include road, water, electricity and sewerage networks, along with other public facilities.
The main infrastructure projects under construction include Al Bustan highway, Al Rayyan-Dukhan road, Al Khor coastal road, Al Furousiya road, North road, Wakrah expressway, Wakrah bypass, Lusail expressway, expansion of the water and electricity networks and development of new housing areas for nationals.
The 2019 budget includes allocations for the development of new housing areas for nationals, including the provision of roads, water, electricity and sewerage networks. The plan to provide new housing areas for nationals will cost QR12 billion over 5 years. New land areas will be distributed to nationals gradually after the completion of required infrastructure, according to the approved timetable.
Transportation and Communications Sector
The transportation and communications sector is allocated QR16.4 billion, 7.9 percent of total expenditure in 2019. Most of the allocations will go to the Rail project, Doha Metro, while QR1 billion has been allocated for the expansion of Hamad International Airport as part of a wider plan worth QR10 billion to enhance the capabilities of the airport to offer the best aviation and cargo services. There are also funds assigned to Qatar Public Transportation Program, which is expected to cost QR3 billion in 2019-2021.
The main transportation projects under construction include Doha Metro with allocations of QR12 billion, Lusail light train, Qatar Public Transportation Program and Hamad International Airport expansion.
