Qatar’s economy is set for robust growth over the next two years, with GDP projected to rise from 2.4% in 2025 to an average of 6.5% in 2026–2027, according to the World Bank’s latest Gulf Economic Update.
This surge will be driven primarily by the North Field LNG expansion project, which is expected to increase Qatar’s liquefied natural gas (LNG) production by 40%. The new capacity is anticipated to significantly strengthen the country’s hydrocarbon sector and reinforce its position as a global energy powerhouse.
While hydrocarbon sector growth will remain modest in 2025—estimated at just 0.9%—the World Bank forecasts a substantial turnaround once the expanded LNG facilities become operational.
At the same time, non-hydrocarbon sectors such as tourism, education, and services continue to gain momentum, supported by infrastructure investments and strategic international partnerships. These efforts align with Qatar’s long-term economic diversification goals.
Key Highlights from the World Bank Report:
Qatar GDP Growth: 2.4% in 2025, rising to an average of 6.5% in 2026–2027
Gulf-wide GDP: Projected at 3.2% in 2025 and 4.5% in 2026
Non-oil Growth in the GCC: Underpinned by structural reforms, investment, and private sector activity
2024 GCC Growth: Revised upward to 1.7%, from 0.3% in 2023
Despite the optimistic outlook, the World Bank noted several downside risks, including global trade tensions and potential macroeconomic slowdowns. It emphasized the need for sustained reform efforts, economic diversification, and youth employment strategies.
Safaa El Tayeb El-Kogali, World Bank Director for the GCC countries, commented:
“The resilience of GCC countries in navigating global uncertainties while advancing economic diversification underscores their strong commitment to long-term prosperity. Strategic fiscal policies, targeted investments, and a strong focus on innovation, entrepreneurship, and youth job creation are essential to sustaining growth and stability.”
Source: Arabian Business
