Qatar economy demonstrates strong resilience, diversification in 2025: QCB
Satyendra PathakDOHAQatar’s economy demonstrated strong resilience and continued diversification in 2025, with robust performance across key sectors despite a challenging global ec...
The Qatar Central Bank's (QCB) annual macroeconomic review for 2025 highlights the country's strong economic resilience and ongoing diversification efforts. Despite a challenging global economic climate, Qatar maintained robust economic performance across key sectors. Real GDP increased by 2.9%, while non-hydrocarbon GDP expanded by 4.8%, underscoring the growing contribution of the non-energy sectors to the overall economy.
The review notes that price stability remained a key strength, with inflation averaging just 0.5% in 2025, with only selected categories experiencing price pressures. Tourism emerged as a major driver of economic activity, with visitor arrivals reaching 5.1 million in 2025, up from 4.9 million in 2024 and 4 million in 2023. This growth reflects Qatar's expanding appeal as a tourism destination and the increasing contribution of tourism-related activities to economic diversification.
The private sector continued to show positive momentum, with the Purchasing Managers' Index (PMI) averaging 51.2, indicating ongoing expansion in private-sector business conditions. Qatar maintained a healthy external position, recording a current account surplus of QR116.2 billion, equivalent to 14.8% of GDP. The domestic equity market also demonstrated resilience, with the QSE Index recording an annual gain of 1.8%.
The country continued to develop its capital markets, with the introduction of new sustainable and Shariah-compliant instruments such as the first ESG-aligned bond and a corporate Islamic sukuk. Qatar's sovereign credit ratings remained strong, with AA ratings from S&P and Fitch and Aa2 from Moody's, reflecting the country's robust macroeconomic fundamentals.
Overall, the review highlights Qatar's growing economic diversification, strengthened by low inflation, a substantial current account surplus, and a resilient financial sector, reaffirming the country's economic resilience and ability to withstand challenges while maintaining stability.
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