The Qatari government is reminding businesses it will reimburse up to 40% of setup costs as it tries to attract more non-energy activity, such as logistics, technology, and financial services, to its now war-battered economy.
The dangling carrot predates the conflict, introduced last year as a stimulus. Now it’s being promoted by Invest Qatar, the government’s inward investment agency, alongside newer lifelines such as rent waivers and regulatory filing extensions which have been offered in response to the regional disruption caused by the Iran conflict. Expect to see more marketing pushes like this as the region charts a recovery.
Qatar is among the hardest hit Gulf countries: The International Monetary Fund forecasts a sharp economic contraction of 8.6% this year, reversing a prewar 6.1% growth forecast. Goldman Sachs estimated that Qatar could see its GDP plunge by 14%, citing its lack of alternative export channels to the blockaded Strait of Hormuz.