Qatar expected to consider privatization

By OGJ editors

HOUSTON, Apr. 22 -- Qatar plans to hire an international consultant to study how the state can open more of its economy to the private sector, reported a weekly newsletter published by the Qatar embassy in Washington, DC.

Minister of FinanceYousef Hussein Kamal said privatization would come very soon, with the sale of government stakes in petrochemicals, fertilizers, and steel. Kamal also said Qatar plans to establish a holding company for privatization.

He foresees that investors will subscribe through an initial public offering in the company, which will hold the stakes. Kamal noted that Qatar's private sector is in much better shape than it was 2 years ago.

"We have identified eight projects, which will be shared between the government and the private sector. We are also looking to use the Qatar Industrial Development Bank as a catalyst to bring the private sector into medium and small scale industries," he said.

Kamal said Qatar wants foreign companies to come into export-oriented projects as strategic partners, providing capital and technical expertise. On these projects, he envisions that the government and the foreign partner would each have 25% interest with the remaining 50% vested in the private sector.