Qatar GDP growth to reach 2.8 percent by 2025 as digital transformation accelerates: World Bank

Qatar’s economy is expected to grow 2.8 percent in 2025, based on non-oil activity and a significant increase in the natural gas sector (LNG), according to a new World Bank report.

The findings, released under the digital revolution in the Gulf: A powerful driver of economic diversification, explain how technology, creativity and structural innovation are shaping the region’s trajectory.

Despite soft oil and gas prices, the World Bank said Qatar’s non-oil sectors continued to show strength.

The planned expansion of the North Pole will significantly increase LNG

Qatar Diversensification

The report examines the evolution of economic diversification indicators in Qatar and the GCC over the past ten years. It finds that while progress has been limited, a number of recent indicators point to positive momentum.

However, the World Bank has noted that the hydrocarbon industry still has a prominent influence on the economic conditions and development strategies of the country.

Oil exports remain modest, with chemicals leading the sector, underscoring the need for sustained efforts to reduce reliance on hydrocarbons.

The World Bank highlighted the rapid transformation of the Gulf and its rapid adoption of artificial intelligence. The GCC countries benefit from an extensive telecommunications infrastructure, including more than 90 percent 5G integration, high-speed Internet and significant investment in data centers and high-performance computing.

This progress supports advanced AI readiness across the region, coupled with strong environmental conditions for incentives, innovation and finance. The report also deals with the increasing use of generative ai in government services.

World Bank Climate

Safaa el Tayeb El Kogali, director of the Division of GCC countries at the World Bank, said that technological change is important for the long-term deepening of technology: “Technological change is no longer a long-term luxury;

“The digital leap achieved by the GCC countries is remarkable. Strong infrastructure, expanding AI computer pools, and increasing environmental and labor challenges are addressed accordingly.”

Women are driving digital competition

The report notes that the participation of women in STEM fields in the Gulf exceeds the global average, improving the region’s competitiveness in the digital economy. To maximize the benefits of the transition, the world bank recommends:

• Supporting SMEs to adopt AI tools
• Strengthening ENDOSTESTSMS
• Implementing skills training programs to address labor market gaps

The World Bank emphasizes the importance of developing integrated digital markets in the Middle East, North Africa, Afghanistan and Pakistan.

The report calls for improved cooperation on digital infrastructure and the creation of AI institutions of good to help drive economic transformation and improve long-term sustainability.