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The Qatar Central Bank’s 2025 Annual Macroeconomic Review detailed a 2.9 percent rise in real gross domestic product for the year, with non-hydrocarbon output advancing at a faster 4.8 percent pace. The document, released in late July, highlighted stable inflation that averaged just 0.5 percent alongside a surge in tourist arrivals to 5.1 million. Purchasing managers’ surveys produced an average reading of 51.2, pointing to continued private-sector expansion, the central bank said.
According to the review, the current-account surplus reached 116.2 billion riyals, representing 14.8 percent of gross domestic product and reflecting robust hydrocarbon exports together with non-energy sector gains. The Qatar Stock Exchange index closed the year 1.8 percent higher under orderly trading conditions. International credit rating agencies kept their positive assessments, with Standard & Poor’s and Fitch affirming AA ratings while Moody’s maintained an Aa2 score, all with stable outlooks.
An International Monetary Fund staff report issued earlier projected similar growth trajectories, forecasting real GDP increases of around 2 percent for 2024 and 2025 before accelerating to an average 4.75 percent over the medium term thanks to the North Field LNG expansion. The IMF assessment, which drew on Qatar Central Bank data, also anticipated inflation converging to 2 percent in the coming years. Reserves data from the central bank placed international holdings at $71.9 billion by the end of 2025, up from $70.1 billion 12 months earlier.
The low inflation environment persisted despite a 3.5 percent expansion in money supply, a Qatar Economic Report published by external analysts noted, attributing the outcome to subdued global energy and commodity prices, a firm riyal-dollar peg and continued government subsidies on key items. Rent prices also eased during the period, helping contain the overall consumer price index. The central bank’s review found that these factors combined to deliver the lowest annual inflation rate since 2020.
Tourism inflows and a buoyant services sector played a significant role in the non-hydrocarbon performance, according to the central bank. Real estate prices remained broadly stable, providing additional support to household confidence and consumption. The review emphasised that prudent macroeconomic policies had enabled the economy to navigate a challenging external environment successfully.
Looking at financial-sector indicators, the central bank pointed to healthy liquidity levels and well-capitalised banks that continued to intermediate credit to productive sectors. The positive economic backdrop has also been reflected in steady government revenues that have bolstered fiscal buffers. Credit rating agencies cited these strengths when confirming their stable outlooks on Qatar’s sovereign debt.
