The results of the Middle East Economic Digest (MEED) cover story this week on education and training in the Middle East illustrate just how much work Qatar has to do if it is to produce the business leaders and profes­sionals of the future.

MEED reports that Qatar is considered to be producing the lowest quality of graduates in the region, with 48 per cent considered to be poor or very poor and 38 per cent just reaching average. Only 14 per cent of graduates are considered to be good by MEED readers, and not a single respondent says Qatar produces very good graduates

The state-run Qatar Foundation, wants to attract inter­national firms and universities to the country on the condition that Qatari nationals benefit directly from their experience, technology and expertise, but the state cannot support full-scale industrial development without relying heavily on expatriate labour.

Hence education city, sidra centre, Texas A and M uni, Carnegie Mellon uni etc etc. However, some recent reports suggest that as many as 40% of Qataris want to leave Qatar..... I highly doubt there can be any reduction in expat workforce in the next 25 years. As long as there are hydrocarbons, expats will be there to get them out of the ground, funding the Qataris to go and live the life of riley in some western country.

The Pearl GTL was originally slated to cost $6bn, costs tripled to over $18bn and Shell still went ahead with it, claiming it was still economically viable. All the joint ventures regarding oil and gas between Qatar petroluem and foreign entities are forced to accept unrealistic targets of 50% nationalisation. With giants such as Sasol Chevron, Shell, ExxonMobil etc all fighting over a tiny workforce pool of a few thousand nationals which are unqualified and inexperienced the government cannot have its cake and eat it.

Telecomms (Q-tel) has the same story and so does Kahramaa, the power and water company. Few Qataris will work in the private sector as it is more prestigious working for these government organisations.

In the long term Qataris will benefit most from, and be more interested in, learning how to invest all their petrodollars through business courses, trading arrangements and in helping the country in maintaining its role as the mediator in Arab affairs. These people will be the government of tomorrow and may have to deal with a country no longer at the forefont of energy production. To keep the country from imploding, there should be sound diversification and qualified business leaders starting from today.

(PS - the source of the initial story was Arabian Business.com If you want independent quality research and journalism on affairs in the Gulf, read MEED which is published from England and has been an award winning business magazine since 1957)