Qatar’s Minister of Finance, HE Ali bin Ahmed Al Kuwari, has announced the State’s budget for fiscal year 2025, projecting total revenues of QR197 billion. This marks a 2.5% decrease from last year’s total budget revenues, reflecting a cautious approach to oil and gas revenue estimates in the face of global market volatility.
Minister Al Kuwari highlighted that Qatar’s budgetary planning continues to take a conservative stance, particularly in estimating oil and gas revenues, which are based on an average oil price of $60 per barrel. This approach aims to enhance financial flexibility and maintain the stability of spending amid uncertainties in global energy markets.
Oil and Gas Revenue Estimates
The estimated oil and gas revenues for 2025 stand at QR154 billion, down from QR159 billion in the 2024 budget, marking a 3.1% reduction. Non-oil revenues, however, are expected to remain steady at QR43 billion, consistent with the 2024 level.
Spending Plans and Sectoral Allocations
The total expenditure for 2025 is set at QR210.2 billion, reflecting a 4.6% increase over the previous year. To cover the projected QR13.2 billion deficit, Qatar plans to use both domestic and external debt instruments as necessary.
Key allocations include:
- QR41.4 billion for health and education sectors, comprising 20% of the total budget. This reflects Qatar’s commitment to enhancing human capital and public service quality.
- Investments in strategic sectors such as trade and industry, research and innovation, tourism, digital transformation, and information technology are emphasized to support economic diversification and sustainable development.
Salaries and wages for 2025 are also set to increase by 5.5%, totaling QR67.5 billion. Current expenses and secondary capital expenditures will rise by 6.3% and 7.7% respectively compared to the previous year. Major capital expenditure will see a slight increase of 1.4% to sustain ongoing strategic and development projects.
Outlook and Future Plans
Minister Al Kuwari will elaborate on the details of the State of Qatar’s 2025 budget during a press conference scheduled for next Sunday. This will provide further insight into how the budget aligns with the nation’s long-term vision for economic growth and diversification.
The Finance Minister emphasized that the budget’s allocations reflect the government’s priorities of developing human capital, supporting strategic sectors, and maintaining financial prudence in an era of global economic uncertainty.
