Qatar's foreign trade surplus halves to $2bn in May

Qatar's foreign trade surplus halved from a year earlier to QR7.5 billion ($2.05 billion) in May, data from the Ministry of Development Planning and Statistics showed.

The surplus slumped by 50.4% from more than QR15bn in the year-earlier period because of low natural gas and oil prices.

Exports of petroleum gases and other gaseous hydrocarbons fell 38.2% to QR9.85bn ($2.71bn), according to the data, cited by Reuters.

Last month, Qatar cut its planned spending on building healthcare facilities by about two-thirds this year following the drop in energy prices.

The world's top liquefied natural gas exporter is one of the richest countries per capita but it faces a QR46.5bn ($12.8bn) budget deficit this year because of the continued lower oil and gas prices.

Like other Gulf states, it is turning to international markets to bridge the gap — it is expected to price its first sovereign bond issue in four years on Wednesday — but it is also having to reduce and prioritise state spending.

Courtesy: arabianbusiness.com