Qatar Slashes Rents by 90% to Stimulate Economic Growth

Doha, Qatar - In a major move to stimulate economic growth, Qatar’s Ministry of Municipality has significantly reduced rental rates for lands in the Industrial Zone designated for commercial and industrial activities. Under Ministerial Decision No. 123 of 2024, decreed by Minister H.E. Abdullah bin Hamad bin Abdullah Al Attiyah, rental rates will drop dramatically to boost business activities and support the national economy.

Key Reductions:

- Commercial Activities: Rental rates decrease from QR100 to QR10 per square meter annually, a 90% reduction.
- Industrial and Logistical Projects: Rates drop from QR20 to QR5 per square meter annually.
- Workers' Housing: Rates set at QR5 per square meter if annexed to industrial/logistical facilities and QR10 per square meter for exclusive residential use.
This decision aligns with the Third National Development Strategy 2024-2030 and Qatar National Vision 2030, aiming to enhance local product competitiveness and achieve sustainable economic growth.

Long-Term Contracts and Stability:
Contracts can be signed for 25 years with rental value reviews every five years, providing stability and encouraging long-term investment.

Benefits for Startups and SMEs:
The new rates significantly lower entry barriers for startups and SMEs, making prime industrial and commercial land more accessible. This reduction supports economic diversification away from oil and gas, boosting growth in manufacturing, logistics, and services.

Economic Diversification and Innovation:
Lower rental costs will nurture local suppliers and manufacturers, strengthen domestic supply chains, and reduce reliance on imports. Cost savings will enable greater investment in research and development, promoting technological innovation and advancing Qatar's knowledge-based economy.

Regional Collaboration:
Affordable land rental rates will encourage cross-border partnerships within the Gulf Cooperation Council (GCC), fostering a collaborative business environment and collective regional growth.

Long-Term Economic Stability:
The provision of 25-year contracts with periodic reviews offers predictability, enabling businesses to plan and scale confidently, contributing to long-term economic stability.

This strategic move by Qatar's Ministry of Municipality not only provides immediate financial relief but also sets the stage for long-term economic development, making Qatar and the GCC region attractive destinations for entrepreneurial ventures and business growth.

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