A view of the Qatar Chamber’s headquarters in Doha.
Doha: A current examine by the Qatar Chamber (QC) advisable reconsidering procedures of finance and allocation of lands, in addition to reconsidering some facets of the Funding of Non-Qatari Capital within the Financial Exercise Legislation.
The examine, titled “Qatar’s Present Funding Local weather”, centered on the adequacy of incentives and amenities offered by the State to draw international investments, and the way encouraging they’re for native businessmen and traders.
It additionally touched on direct and oblique incentives and amenities offered by the State to native and international traders and delved into how these incentives are offered and the way simple and complete they’re. It additionally reviewed views of quite a few Qatari businessmen and personal sector stakeholders all through the give attention to two foremost parts: the finance and the allocation of outfitted lands for funding tasks.
It famous that the State launched a number of methods over the previous years for the aim of offering extra incentives and amenities to native and international traders and paving the best way for the personal sector to broaden its actions and maximise its share within the GDP to broaden sources of revenue away from oil and fuel.
Additional, it make clear the Legislation No.1 of 2019 on Regulating Non-Qatari Capital Funding within the Financial Exercise which changed Legislation No.13 of 2000 which offered a number of funding incentives for non-Qatari traders together with the allocation of land via hire or usufruct in accordance with the laws in power on this regard, and the exemption from revenue tax in accordance with the procedures and rules stipulated within the Earnings Tax Legislation.
Elaborating on the options of the legislation, the examine mentioned that it exempted the non-Qatari investor from customs duties on imports of equipment and gear needed for his or her institution and funding enterprises within the industrial sector are exempted from customs duties on their imports of uncooked supplies and semi manufactured items which might be required for manufacturing however are unavailable in native markets.
In accordance with the legislation, the non-Qatari investor is free to switch his/her investments from and to Qatar at once, together with the proceeds from the sale or liquidation of all or a few of his/her investments, the proceeds of the settlement of funding disputes, and any compensation on account of a non-Qatari investor.
It permits non-Qatari traders to personal a proportion not exceeding 49 p.c of the share capital of listed firms, offered that the Ministry approves the proposed proportion. A non-Qatari investor may maintain a better proportion after the approval of the Council of Ministers upon the proposal of the Minister. The legislation permits non-Qatari traders to personal one hundred pc of the capital in all sectors of the financial system throughout the nation. A non-Qatari investor is prohibited from investing within the banking trade and insurance coverage firms, apart from firms excluded based mostly on a choice of the Council of Ministers.
A non-Qatari investor is prohibited from investing in business companies and could also be prohibited from investing in another sector as determined by the Council of Ministers.
The Chamber’s examine indicated that there are different incentives offered for all traders, whether or not they’re Qataris or non-Qataris, together with the allocation of lands at nominal costs, the availability of electrical energy, water, and fuel consumption at nominal costs, no taxes on exports, no quantitative quotas on imports and no revenue taxes.