Qatar’s economy grows 4% in Q2 boosted by non-hydrocarbon activities

Qatar’s economy grew 4 percent year-on-year in the second quarter, according to official preliminary estimates, fuelled mainly by the non-hydrocarbon sector.

On a quarterly basis, however, gross domestic product (GDP) based on constant prices decreased 0.3 percent, the Gulf state’s statistics authority said on Sunday.

Mining and quarrying GDP expanded 0.7 percent year-on-year in the second quarter, while non-mining and quarrying activities posted a 6.2 percent growth.

Accommodation and food service activities saw the biggest annual jump, growing 41 percent, reflecting the low base last year because of coronavirus-related restrictions.

Transportation and storage activities followed, with a 26.9 percent growth, while manufacturing grew 13.4 percent.

Qatar, a major liquefied natural gas (LNG) producer, posted a surplus of about $1 billion in the second quarter, the finance ministry said in August, citing higher than budgeted oil prices.

In January it reached a breakthrough on a three-year old dispute with Saudi Arabia and three other Arab countries that had imposed a diplomatic, trade and travel embargo.