Qatar admits flight of companies due to economic crisis

CAIRO – 10 October 2017: An official report from the Ministry of Economy and Commerce in Qatar revealed on Tuesday the flight of national and international businesses due to the current crisis. The crisis hit the Qatari regime due to accusations of supporting terrorism and extremism.

The report pointed out that the number of registered companies last September (1,015) declined from last August (1,766).

The decline of Limited Liability Companies (LLCs) came in the first rank by 60 percent, while individual companies took the second rank by 26 percent, with 13 percent for individual enterprises and 1 percent for foreign companies.

Other official reports revealed that Qatari economic growth faltered in the second quarter of this year, recording the lowest rate since the international financial crisis, as well as the Arab boycott, which caused great damage to the Qatari regime.

To face this crisis, the Qatari regime took measures to help and support private sector businesses while the number of closed companies declined last September by 34.2 percent. The numbers reached 212 companies, compared with 322 last August, according to the report.

According to International Moody’s Agency, Qatar has injected about $38.5 billion of its reserves of $340 billion to cover the cash shortfalls. In addition, Qatar deposited $10.9 billion in its banks last June to face the crisis.