Qatar Slashes 2017 Budget Deficit But Maintains Spending At High Levels

Qatar’s budget for 2017 projects that it will post its second consecutive deficit, although it expects this to fall $8.4bn to $7.8bn. But a conservative oil price assumption means next year’s deficit may actually be as low as $3.8bn.

Qatar is banking on revenue growth of 14.5% in real terms in 2017 to drive its budget deficit down by 40% to QR28.3bn ($7.8bn at $1=QR3.64) next year. MEES calculates that...