The newly-approved budget amounts to QAR 204.3 billion, up from a previous QAR 194.7.
Qatar’s Amir Sheikh Tamim bin Hamad Al-Thani has approved the country’s fiscal budget for the year 2022 on Wednesday, with the Gulf state’s expenditure witnessing a 4.9% increase to cover World Cup-related costs.
According to Doha’s state news agency [QNA], the total revenue estimates in the new budget witnessed a 22.4% increase in comparison to last year’s.
Qatar’s newly-appointed Minister of Finance Ali bin Ahmed Al Kuwari said the general budget was based on a recovery in global energy prices following the Covid-19 outbreak, with the average oil price standing at $55 a barrel.
Despite the economic recovery, Al Kuwari stressed the need to continue to adopt conservative estimates in light of a fluctuation in oil prices, given their impact on the performance of public finances.
Commenting on the rise in the new budget’s planned expenses, the finance minister said it was mainly due to the increase in World Cup-related costs as the country gets closer to the major sporting event.
Furthermore, Al Kuwari estimated that the deficit will amount to QAR 8.3 billion, which the finance ministry is working on covering using available cash balances and issuance of local and foreign debt instruments if necessary.
Out of the total budget, QAR 74 billion has been allocated for major projects, including infrastructure projects and the development of citizens’ lands.
A total of 8.7%, estimated at QAR 17.8 billion, of the expenditures will be pumped into the education sector.
Another QAR 20 billion, 9.8% of the expenditures, will be distributed to the health sector, authorities confirmed