Why Public Road Expansions Are Key to Business Investments in Qatar

Why Public Road Expansions Are Key to Business Investments in Qatar

Just recently, the Public Works Authority (Ashghal) signed a total of seven new contracts regarding the improvement of road and infrastructure in Qatar. The development projects amount to a whopping total value of QR3.2bn as part of the Developing Infrastructure of Citizens’ Sub-divisions and Roads Projects in Several Areas in 2019.

Ashghal has also just completed its “cool paving” pilot road project, which aims to lower asphalt temperature on the road for a more convenience public experience. Using cryogenic asphalt material that measures up to 200m and in a cool blue colour, Ashghal has installed sensors and special devices in order to measure the effectiveness of the new experiment over an 18-month period. Implemented in co-operation with Japan’s Oriental Company, the project boasts of a new technology that reflects UV rays for an overall reduction in atmospheric temperature. It also has a way of reducing vehicle tyre friction using a protective material that can prolong the lifespan of the material. Aside from reducing heat, the technology can also slow chemical reactions that contribute to smog formation in the atmosphere.

Improvements and constant developments in the public road works sector have always been a driving contributor to both local and foreign investment in the country. With Qatar’s fastest-growing sector in construction, major infrastructure projects are booming in the country, and with this expansion come major investment schemes that benefit the state’s economy now more than ever. Coupled with the expansion of tourism and increasingly improving international relations and innovations in technology, these infrastructure projects boost investments even more toward Qatar National Vision 2030 (QNV 2030).

With high-quality and rapidly expanding road works, the investment landscape in Qatar becomes more and more lucrative. For instance, the opening of Hamad Port reduces supply bottlenecks, paving the way for more efficient business transactions in the region. Because Qatar’s construction industry is proudly one of the most fast-growing in the Middle East, it remains to be a key factor in non-oil growth.

Major infrastructure projects include the Hamad International Airport (HIA), the Long Distance Rail, and the Doha Metro.

In preparation for the 2022 FIFA World Cup, high-profile projects such as the construction of stadiums will be overseen by the Supreme Committee for Delivery and Legacy (SC). Macro policy falls under Ashghal, the Ministry of Municipality and Environment, and the Ministry of Transportation and Communications.

The Government of Qatar has already budgeted $56.8 billion for expenditures in 2019, with an estimated spending on infrastructure at $9 billion. This is in line with the government’s decisive actions to pursue initiatives that encourage more foreign companies to invest and do business in Qatar. To support this endeavour, the Ministry of Commerce and Industry (MoCI) is also spearheading the Foreign Direct Investment Law and Public Private Partnership (PPP) law that offers attractive opportunities for foreign companies in all business sectors. With these developments, Qatar will remain at the forefront of international business growth, now and well into the future.

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