Thursday, April 18, 2019
Is Qatar Economy Favorable for Capital Investment Essay
Is Qatar Economy Favorable for Capital Investment - show ExampleOil and Gas be potential products and the two products cover half of the res publicas Gross Domestic Product (GDP). The republic earns substantial revenues from exporting oil and torpedo to many countries of the world. The country is progressing for many historic period due to increasing prices of oil and gas in the international market. Oil and gas are the tools that have provided high per capita income in the country. The country has a low rate of unemployment that indicates the strong stinting position of the country. The country has nearly 25 billion barrels of oil and around 25 jillion cubic meters gas reserves that could be utilized by the country for more than 57 years in future. Qatar saving is represented as a stable economy due to its cautious macroeconomic management and natural resources (Qatar Economy Profile 2014, 2014).The country has practiced tight monetary policy in the period of 2002-2008 when revenues were mainly generated from oil and gas products. The new projects of Qatar are indicating high growth in the economy such as Qatars metro system, light rail system and changing the infrastructure of the country in near future. The country has inflation so to control it the country adopts tight monetary and fiscal policy. The country has an advantage of a low unemployment rate that indicates that tight economic policies are preferred by the country to reduce inflation and retain its economic growth. It is expected that the budget of 2014-2015 will be spare of 24 billion dollars because of high prices of oil. The monetary and fiscal management is practiced by the government on account of the countrys current economic position (Nafi, 2014).Oil and gas cover nearly half of the GDP of the economy. The energy resources that contribute over 50 percent of the total GDP are potential resources of the economy that will p0rovid much revenue in future.
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