GSDP Secretary-general expects inflation at 2% to 4%

Dr Saleh Mohamed Al-Nabit, Secretary-General of General Secretariat for Development Planning (GSDP) said that he expects inflation in Qatar to range between 2% and 4%  this year.  As an importing country, rise in commodity prices affects Qatar's rate of inflation, Dr. Al-Nabit told reporters on the sidelines of the Qatari-Italian Business Forum held here last Tuesday.  On the possibility to reduce the contribution of oil and gas to Gross domestic product (GDP), accounted for 64 % of total GDP, Dr. Al-Nabit said this cannot be controlled since oil and natural gas prices are subject to external factors.  Qatar's oil and gas sector was the among the dominant drivers of Qatar's GDP this year due to higher oil, gas and petrochemical prices in the international markets, explained Dr. Al-Nabit.  The GSDP Secretary- General expressed hope that the non-oil and gas sectors (NOS), which is moving in the right direction, would contribute more to GDP regardless of fluctuations in oil and gas prices.  Qatar is developing the NOS in an effort to diversify its national economy, he said, adding that growth prospects will not be less than 9 to 10%  in the medium-term.  Over the next phase, NOS growth should not be less than 8%  in real terms, which means nominal growth minus inflation, explained Dr.Al-Nabit.  Qatar's economic growth is expected at 15% in 2011 according to the World Bank's twice-yearly Global Economic Prospects, while the  International Monetary Fund (IMF) had predicted a 20% growth.