Oil and Gas

418 companies shut down in Qatar in one month

Qatar’s Ministry of Economy and Commerce published its periodic report on internal trade, which revealed that a total of 418 companies shutdown their operations in Qatar in January, 14 percent of which were new companies that were registered in the same month.

Construction companies topped the list with 36 percent of that sector closing down, followed by the electronic appliances at 18 percent, common goods and grocery stores.

The report, which Al Arabiya received a copy of, showed that 41 percent of these companies’ branches, about 605 of them, were closed down.

The percentage of foreign companies registered in January were no more than one percent of all new companies.

The Qatari economy has been experiencing difficulties since last year due to several Gulf states and Egypt boycotting Doha, and accusing the country of supporting terrorism and seeking to destabilize the region.

The boycott was followed by a quick withdrawal of bank accounts and liquidity from the Qatari market, with an increasing concern among investors.

Qatar’s resorted to canceling a number of its important foreign investments and liquidating some of its assets to restore liquidity and pump it back into the local market to avoid a crisis.

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