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RIYADH: Qatar’s economy expanded by 3.7 percent in real terms in the first quarter of 2025 compared to the same period a year earlier, driven primarily by robust gains in non-hydrocarbon sectors. 

According to data released by the National Planning Council, gross domestic product at constant prices rose to 181.5 billion Qatari riyals ($49.8 billion), up from 175 billion riyals in the first quarter of 2024. 

The latest figures reflect the country’s ongoing efforts to reduce reliance on hydrocarbons and foster private sector growth, with the non-hydrocarbon economy accounting for 63.6 percent of real GDP, an increase from 62.6 percent a year earlier. 

Non-hydrocarbon activities grew by 5.3 percent year-on-year, supported by strong performances across manufacturing, construction, real estate, wholesale and retail trade, and services. 

This growth aligns with the ambitions set out in the Third National Development Strategy, which targets an annual 4 percent expansion in non-hydrocarbon GDP by 2030. 

More broadly across the region, Saudi Arabia’s economy grew by 3.4 percent year on year in the first quarter of 2025, driven by a 4.9 percent increase in non-oil GDP and a 3.2 percent rise in government activity.

Commenting on Qatar’s recent data, Secretary General of NPC Abdulaziz Al-Khalifa stated: “These indicators highlight the progress of Qatar’s economy, particularly in terms of non-hydrocarbon economic growth, whose activities have recorded remarkable growth demonstrating greater diversification and stability for Qatar’s economy as the State continues to strive to build a sustainable economy.” 

According to a report by the Qatar News Agency, Al-Khalifa added: “The current growth rates also indicate additional opportunities for development, as there remains significant potential that we seek to unlock through the Third National Development Strategy to continue to build sustainable economic growth that offers unique investment and entrepreneurial opportunities for the private sector.” 

The manufacturing sector expanded by 5.6 percent, while construction grew by 4.4 percent and real estate advanced by 7 percent. 

Wholesale and retail trade saw the sharpest increase, rising by 14.6 percent compared to the same period in 2024. 

Smaller segments of the economy also posted notable gains, including accommodation and food services, which grew by 13.8 percent, and transport and storage, which rose by 3.5 percent. 

These developments indicate broad-based momentum across diverse areas of economic activity. 

Service industries also contributed to the expansion, with professional, scientific and technical activities growing by 7.2 percent, human health and social work by 2.6 percent, and the education sector recording a marginal gain of 0.1 percent. 

The National Statistics Center noted that these trends reflect continued prioritization of human capital development and improvements in quality of life, both central objectives of national policy. 

To enhance the accuracy of economic measurement, the National Statistics Center implemented an updated methodology for calculating GDP and revised quarterly data covering the period from 2018 to 2024. 

The revisions included updated indicators and advanced calculations aligned with international standards. 

Despite persistent global economic uncertainty and fluctuations in energy markets, hydrocarbon activities continued to grow modestly, accounting for 36.4 percent of real GDP, equivalent to 66 billion riyals, and rising by 1 percent compared to the first quarter of 2024. 

The NPC emphasized that this performance demonstrates the resilience of Qatar’s hydrocarbon sector alongside expanding non-hydrocarbon contributions.

SINGAPORE: Oil prices steadied on Tuesday after sliding earlier in the session, with the market weighing expectations of an OPEC+ output hike in August in an upcoming meeting.

Brent crude rose 10 cents, or 0.2 percent, to $66.84 a barrel by 8:35 a.m. Saudi time, while US West Texas Intermediate crude inched up 9 cents, or 0.1 percent, to $65.20 a barrel.

“The market is now concerned that the OPEC+ alliance will continue with its accelerated rate of output increases,” ANZ senior commodity strategist Daniel Hynes said in a note.

Four OPEC+ sources told Reuters last week that the group plans to raise output by 411,000 barrels per day in August, following similar hikes in May, June, and July.

If approved, this would bring OPEC+’s total supply increase for the year to 1.78 million bpd, equivalent to more than 1.5 percent of global oil demand. OPEC and its allies including Russia, together known as OPEC+, will meet on July 6.

“These larger supply increases should leave the global oil market well supplied for the remainder of the year,” ING commodities strategists said.

“Expectations for a comfortable oil balance, along with a large amount of OPEC spare production capacity, appear to be comforting the market,” ING added.

Uncertainty about US tariffs and their impact on global growth also kept a lid on oil prices.

US Treasury Secretary Scott Bessent warned that countries could be notified of sharply higher tariffs despite good-faith negotiations as a July 9 deadline approaches, when tariff rates are scheduled to revert from a temporary 10 percent level to President Donald Trump’s suspended rates of 11 percent to 50 percent announced on April 2.

Morgan Stanley expects Brent futures to retrace to around $60 by early next year, with the market being well supplied and geopolitical risk abating following the Israel-Iran de-escalation. It expects an oversupply of 1.3 million bpd in 2026.

A 12-day war that started with Israel targeting Iran’s nuclear facilities on June 13 pushed up Brent prices. They surged above $80 a barrel after the US bombed Iran’s nuclear facilities and then slumped to $67 after Trump announced an Iran-Israel ceasefire.