In the name of Allah, and with His blessings, I declare open the 35th Session of the Shura Council.
Distinguished members of the Shura Council,
I am pleased to meet you at the beginning of a new annual legislative term of your esteemed Council to evaluate the performance of the past year and review the outline of our future programs.
Dear brothers,
The economic growth our country has been experiencing for the past ten years is still on the rise. The gross domestic product in 2005 amounted to nearly 237 per cent of GDP in 2001, i.e. it has doubled in less than four years with a growth rate of over 30 percent last year alone. This improvement also applies to most microeconomic indicators like trade balance, balance of payment and public budget, where surpluses reached record levels.
On the other hand, the inflation rate that began to rise in 2004 maintained an upward trend in 2005 through the second half of 2006. This rise is attributed to many reasons, including the increased world prices of imports and the rising growth level of Qatar’s economy over the past few years. This has led to a number of bottlenecks in which supply could not fully respond to increasing demand. The rising prices in the housing sector have been a major factor contributing to this inflation, which has reflected on other sectors like foodstuffs, services and hotels.
The government has taken a number of measures to curb this rise in the housing sector. These measures have obviously been insufficient. Therefore, we will intensify our efforts to address this issue which we are fully aware of the harm it causes to the Qatari economy in general as well as domestic and foreign investments, local spending, the budgets of public and private institutions and establishments, and the purchasing power of a large segment of citizens and the residents in particular.
At the same time, there has been continuous, large expansion in huge projects in the sectors of oil and gas industries, petrochemicals and heavy industries. In 2006, Qatar concluded agreements, laid foundations and inaugurated a number of giant projects, including a condensate refinery, an aluminum factory, gas liquefaction plants, ethylene and polyethylene production plants, and plants for production of gas to meet the increasing local demand. Other contracts were also signed for expansion of Ras Laffan Port and building a dry dock for ship repair and manufacturing of auxiliary materials.
Dear brothers,
At the other economic levels, we have embarked on expanding the investment of our financial surpluses abroad to diversify our economy, reduce risks and build enough reserves for future generations. Efforts are also being exerted to activate the private sector and increase its role in development as well as develop economic laws necessary for encouragement of investment, promotion of competitiveness, prevention of monopoly practices, and regulation of trade and finance activities, most recently the amendment of the trade and corporation laws to allow non-Qatari capitals to establish companies fully owned by non-Qataris in various fields.
A major goal over the past ten years in the context of sustainable development in our country has been building a solid base for a competitive national economy that considers global changes. Thank God, we have achieved satisfactory results that qualify us to accomplish more achievements in various fields.
Scientific research has never been outside our scope of thinking during our ongoing economic development. We in fact consider that increasing investment in this domain is a prerequisite to raise economic growth. Therefore, 2.8 percent of GDP will be allocated for supporting scientific research. This will enable us to maximize our utilization of natural resources and develop new techniques that aim to reduce production cost and reach high quality and safety standards, as well as encourage domestic investments and develop our human resources. This will be added to our other achievements of expanding vocational and technical education, opening a number of branch campuses of prestigious international universities and colleges, and continuously developing the University of Qatar, which now has acquired financial and administrative autonomy, increased spending on scientific research, and gained international accreditation for a number of its programs in accordance with international academic standards.
Sports have also had a remarkable share of our attention, considering that they are not mere physical exercises, though important, but they also stimulate economy and are a channel for communication and promotion of understanding among peoples and a significant form of tourism at the global level.
Dear brothers,
With regard to our foreign policy, we are, as you know, committed to our national principles, supporting Arab and Islamic causes, enhancing GCC action and formulating a unified Arab position to serve our national causes within the Arab League framework. We are also making every possible effort toward consolidating security and satiability in our region which suffers acute and chronic conflicts. The sisterly state of Iraq is still unfortunately undergoing difficult circumstances due to the acts of violence that claims tens of innocent lives every day. We, therefore, support all the sincere efforts aimed at putting an end to Iraq’s ordeal and safeguarding its security and the integrity of its territories.
The recent Israeli aggression against Lebanon has clearly revealed how the situation in the Middle East is serious as a result of resorting to force and failure to use peaceful means to achieve an equitable settlement of disputes, which meet the aspirations of the people of the region for a comprehensive and lasting peace.
The absence of a fair settlement for the Palestinian issue, and the tremendous and inconceivable suffering of the brotherly Palestinian people, is the root cause for the many exacerbating conflicts in the Middle East. Therefore, the international community should grant utmost priority for finding a just solution to this problem in keeping with the principles of international legitimacy. Provisional or partial settlements are no longer sufficient or acceptable if the region was to enjoy security and stability.
We also hope that the international community will extend all possible assistance to brotherly Sudan, to enable it to reach a peaceful solution for the ongoing crisis in Darfur, especially since the Sudanese government has actually taken several positive steps to that end. We also hope that our brothers in Somalia will reach a consensual solution to end their disputes, bring security and stability to their country, and spare them more division and suffering.
As regards Iran’s nuclear program, which is of a great concern to our region, we reaffirm the need for a settlement to this issue through peaceful means and continued dialogue with Iran.
Committing to our constant principles of respecting international legitimacy and resolving disputes amicably, we have sought, whether as a member in the United Nations or through diplomatic relations, to exert every possible effort to reach settlements for all these issues and contain their devastating consequences which burden the people of the region without exception and hinder a better future.
Dear brothers,
Thank you all for your dedicated efforts in the service of your country, wishing you continued success.
May Allah’s peace, mercy, and blessings be upon you.