Wayzata World Factbook 1995/World Factbook - 1995 Edition - Wayzata Technology (1995).iso/mac/text/Build/orig BACKGR/BNOT0087.TXT

Text File | 1994-11-21 | 16KB | 310 lines

National Trade Data Bank
ITEM ID     : ST BNOTES QATAR
DATE        : Oct 28, 1994

AGENCY      : U.S. DEPARTMENT OF STATE
PROGRAM     : BACKGROUND NOTES
TITLE       : Background Notes - QATAR

Source key      : ST
Program key     : ST BNOTES
Update sched.   : Occasionally
Data type       : TEXT
End year        : 1992
Date of record  : 19941018
Keywords 3      :
Keywords 3      : | QATAR

US DEPARTMENT OF STATE
PUBLISHED BY THE BUREAU OF PUBLIC AFFAIRS

BACKGROUND NOTE:  Qatar, April 1992

Official Name:  State of Qatar

PROFILE

Geography
Area: 11,437 sq. km. (4,427 sq. mi.); about the size of Connecticut
and Rhode Island combined.  Cities: Capital--Doha (pop. 300,000).
Other cities--Umm Said, Al-Khor, Dukhan, Ruwais.  Terrain: Mostly
desert, flat, and barren.  Climate: Hot and dry.

People
Nationality: Noun and adjective--Qatari(s).  Population: 400,000.
Ethnic groups: Arab 55%, South Asian 33%, Iranian 6%.  Religion:
Islam 95%.  Languages: Arabic (official), English.  Education:
Years compulsory--ages 6-16.  Attendance--98%.  Literacy--65%.
Life expectancy--58 yrs.  Work force (primarily foreign):
Industry, services, and commerce--70%, Government--20%,
Agriculture--10%.

Government
Type: Traditional emirate.  Independence: September 3, 1971.
Constitution: None; the 1970 Basic Law serves as a constitution.
        Branches: Executive--Council of Ministers (cabinet).
Legislative--Advisory Council (has assumed only limited
responsibility to date).  Judicial--independent. Subdivisions:
Fully centralized government. Political parties:  None.  Suffrage:
None.
        Flag: Maroon with white serrated border.

Economy
GDP (1992 est.):  $5.2 billion.  Annual growth rate (1992 est.):
4%.  Per capita income (1992 est.): $13,000.
        Natural resources: Petroleum, natural gas, fish.
        Agriculture (about 1% of GNP): Products--fruits,
vegetables, (most food is imported).
        Industry: Types--oil production and refining (32% of GNP),
natural gas development, fishing, cement, power/desalinization
plants, petrochemicals, steel, and fertilizer.
        Trade: Exports (1992 est.)--$2.2 billion: principally oil
(75%-80%).  Major markets--UK, Japan, US, Western Europe. Imports
(1992 est.)--$1.4 billion: industrial and consumer goods.  Major
suppliers in 1989 were Japan (16%), UK (12%), and US (9%).  Germany
and Italy are also major suppliers.
        Official exchange rate (March 1992): US$1=1.4 Qatari
riyals.
        Economic aid sent (1980-86 est.): $360 million, mainly to
other Arab    states, Palestinians, and developing countries.

PEOPLE

        Natives of the Arabian Peninsula, most of the Qatari people
are descended from a number of migratory tribes which came to Qatar
in the 18th century to escape the harsh conditions of the
     neighboring areas of the Nejd and Al-Hasa.  Some Qataris are
descended from Omani tribes. The population is about 400,000, the
great majority of which live in Doha, the capital.  Foreign workers
with temporary residence status make up 75%-80% of the population.
Most are South Asians (from India, Pakistan, Bangladesh, and Sri
Lanka), Egyptians, Palestinians, Jordanians, and Iranians. The
resident British community numbers about 5,000 in 1989, and about
500 US citizens reside there.
        For centuries, pearling, fishing, and trade were the main
sources of wealth.  At one time, Qataris owned nearly one-third of
the Persian Gulf fishing fleet.  With the world recession in 1928
and the introduction of Japan's cultured pearl industry, pearling
in Qatar declined drastically.
        The Qataris are mainly Sunni ("Wahhabi") Muslims.  Islam is
the official religion, and Islamic jurisprudence is the basis of
Qatar's legal system.  Arabic is the official language, and English
is the lingua franca. Education is compulsory and free for all Arab
residents 6-16 years old.  The Qatari literacy rate, estimated at
65%, is increasing.

HISTORY

        Qatar has been inhabited for millennia. In the 19th
century,  the Bahraini Al Khalifa family dominated until 1868,
when, at the request of Qatari nobles, the British negotiated the
termination of the Bahraini claim, except for the payment of
tribute.  The tribute ended with the occupation of Qatar by the
Ottoman Turks in 1872.
        When the Turks left, at the beginning of World War I, the
British recognized as ruler Shaikh Abdullah bin Jassim Al Thani.
The Al Thani  family had lived in Qatar for 200 years.  The 1916
treaty  between the United Kingdom and Shaikh Abdullah was similar
to those entered into by the British with other Gulf
principalities.  Under it, the ruler agreed  not to dispose of any
of his territory except to the United Kingdom and not to enter into
relationships with any other foreign government without British
consent.  In return, the British promised to protect Qatar from all
aggression by sea and to lend their good offices in case of a land
attack.  A 1934 treaty granted more extensive British protection.
        In 1935, a 75-year oil concession was granted to the Qatar
Petroleum Company, a subsidiary of the Iraq Petroleum Company,
which was owned by Anglo-Dutch, French, and US interests.
High-quality oil was discovered in 1940 at Dukhan, on the western
side of the peninsula.  Exploitation was delayed by World War II,
and oil exports did not begin until 1949.
        During the 1950s and 1960s, gradually increasing oil
revenues brought prosperity, rapid immigration, substantial social
progress, and the beginnings of Qatar's modern history.
        When the British Government announced a policy in 1968
(reaffirmed in March 1971) of ending the treaty relationships with
the Gulf shaikhdoms, Qatar joined the other eight states  then
under British protection (the seven trucial shaikhdoms--the present
United Arab Emirates--and Bahrain) in a plan to form a union of
Arab emirates. By mid-1971, however, the nine sheikhdoms still had
not agreed on terms of union, and the termination date (end of
1971) of the British treaty relationship was approaching.
Accordingly, Qatar sought independence as a separate entity and
became the fully independent State of Qatar on September 3, 1971.

GOVERNMENT AND POLITICAL CONDITIONS

        The head of state is the emir, and the right to rule Qatar
is passed on within the Al Thani, the ruling family.  Politically,
Qatar is evolving from a traditional society into a modern welfare
state.  Government departments have been established to meet the
requirements of social and economic progress.  The basic law of
1970 institutionalized local customs rooted in Qatar's conservative
"Wahhabi" heritage, granting the emir preeminent power. The emir's
role is influenced by continuing traditions of consultation, rule
by consensus, and the citizen's right to appeal personally to the
emir. The emir, while directly accountable to no one, cannot
violate the Shari'a (Islamic Law) and, in practice, must consider
the opinions of leading notables and the religious establishment.
Their position was institutionalized in the Advisory Council, an
appointed body that assists the emir in formulating policy.  An
electoral system has not been set up.  Political parties are
banned.
        The influx of expatriate Arabs has introduced ideas that
call into question the tenets of Qatar's traditional society, but
there has been no serious challenge to Al Thani rule.
        In February 1972, the deputy ruler and Prime Minister of
Qatar, Sheikh Khalifa, deposed his cousin, Emir Ahmad, and assumed
power.  This move was supported by the key members of the Al Thani
and took place without violence or signs of political unrest.

Principal Government Officials
Emir, Acting Prime Minister--HH Sheikh Khalifa bin Hamad Al Thani
Crown Prince and Minister of Defense--HH Sheikh Hamad bin Khalifa
Al Thani
Minister of Foreign Affairs--Mubarak Ali Al-Khater
Ambassador to the United States--Hamad Abdulaziz Al-Kawari
Ambassador to the United Nations--Dr. Hassan Ali Hussain Al-Ni'mah
        Qatar maintains an embassy in the United States at Suite
1180, 600 New Hampshire Avenue, NW, Washington, DC (tel.
202-338-0111). Construction of a new chancery has begun in the Van
Ness Embassy Center in Washington, DC.  The Permanent Mission to
the United Nations is at 747 Third Avenue, 22nd Floor, New York, NY
10017 (tel. [phone]).

DEFENSE

        Qatar maintains a modest defense establishment, including
an army (5,000 troops), an air force (1,000), a navy (800), and a
police force (6,000).  Qatar has purchased arms and equipment from
the United Kingdom and, most recently, from France.  Modern
equipment in the Qatari inventory includes the F-1 Mirage and
Combattante Patrole boats.  Qatar plays an active role in the
collective defense efforts of the Gulf Cooperation Council (the
regional organization of Arab states in the Gulf).  Qatari forces
played a disproportionately important role in Operation Desert
Shield/Storm.

ECONOMY

        Oil revenues are the basis of Qatar's economy and provide
more than 80% of government revenue.  In 1973, oil production and
revenues increased sizably, moving Qatar out of the ranks of the
world's poorest countries and providing it with one of the highest
per capita incomes.  Despite a marked decline in levels of oil
production and prices since 1982, Qatar remains a wealthy country.
        Qatar's economy was in a downturn from 1982 to 1989.  OPEC
(Organization of Petroleum Exporting Countries) quotas on crude oil
production, the lower price for crude oil, and the generally
unpromising outlook on international oil markets reduced oil
earnings, the state's main source of revenue. The Qatari
Government's spending plans had to be cut to match lower income.
The resulting recessionary local business climate caused many firms
to lay off expatriate staff to cut costs.  With the economy finally
beginning to recover, expatriate populations, particularly from
Egypt and South Asia, are growing again.  The overall number of
Westerners appears still to be declining.
        Observers expect that Qatar's oil production and revenues
will decline toward the end of the century.
        Oil production will not return to earlier peak levels of
500,000 barrels per day (b/d), due to gradual depletion of oil
fields, but the partial recovery of oil prices in 1989, along with
production of close to 400,000 b/d, has begun taking Qatar's
economy out of the doldrums.  The economy was also boosted in 1991
by completion of the $1.5 billion Phase I  of North Field gas
development.
        North Field reserves (350 trillion cubic feet) are among
the world's largest.  Their exploitation will influence Qatar's
future plans and public spending significantly. Recent official
statements indicate that Qatar is about to start development of
Phase II, for domestic consumption.
        Further phases of North Field gas development involving
exports via pipeline and/or gas liquifaction may cost $5-6 billion,
not counting associated industrial projects.
        Qatar's heavy industrial projects, all based in Umm Said,
include a refinery with a 50,000 b/d capacity, a fertilizer plant
for urea and ammonia, a steel plant, and a petrochemical plant.
All these industries use gas for fuel. Most of them are joint
ventures between European and Japanese firms and the State-owned
QGPC. Although the United States is a major equipment supplier for
Qatar's oil and gas industry, and US companies are playing a major
role in North Field gas development, to date there has been little
American investment in Qatar.  At least one US company is
conducting some oil/gas exploration and development.
        Qatar pursues a vigorous program of "Qatarization," under
which all joint venture industries and government departments
strive to move Qatari nationals into positions of greater
authority. Growing numbers of foreign-educated Qataris, including
many educated in the United States, are returning to Qatar to
assume key positions formerly occupied by expatriates. In order to
control the influx of expatriate workers, Qatar, over the past few
years, has tightened the administration of its foreign manpower
programs. Security is a principal basis for Qatar's strict entry
and immigration rules and regulations.

FOREIGN RELATIONS

        Qatar achieved full independence in an atmosphere of
cooperation with the United Kingdom and friendship with its
neighboring states.  Most Arab states, the United Kingdom, and the
United States were among the first countries to recognize Qatar,
and the state promptly gained admittance to the United Nations and
the Arab League.  Qatar established diplomatic relations with the
USSR and China in 1988. It was an early member of OPEC and a
founding member of the Gulf Cooperation Council.  Qatar and Bahrain
dispute ownership of the Hawar Islands.  In October 1991, the two
countries agreed to let the International Court of Justice at The
Hague decide whether it would accept jurisdiction over the case.
        Although Qatar is still a foreign aid donor, financial
assistance to other countries has been sharply reduced since 1985.

US-QATARI RELATIONS

        Bilateral relations are cordial. The US Embassy was opened
in March 1973.  The first resident US Ambassador arrived in July
1974.
        In the summer of 1986, the former Minister of Education,
Sheikh Mohammed bin Hamad Al Thani, third-ranking official in the
government, visited the United States as guest of US Secretary of
Education, William J. Bennett.  In October 1987, Energy Secretary
John S. Herrington led a delegation on a visit to Qatar which
included calls on the emir and the heir apparent and meetings at
the Ministry of Finance and Petroleum. Secretary of Energy Henson
Moore led a delegation to Qatar in October 1991.  Over 400 Qataris
study at US universities.

Principal US Officials

Ambassador--vacant
Economic/Commercial Officer--Margarita Ragsdale
Consular Officer--Kathleen A. Smith
Administrative Officer--Scott R. Heckman
Public Affairs Officer--John F. Berry
        The US Embassy in Qatar is located in Doha.  The address is
PO Box 2390, (tel. [phone]; telex. 4847 AMEMB Doha; fax:
974-861-669).  The embassy is open Saturday through Wednesday
(Qatar's workweek) and closed for American and Qatari holidays.

Travel Notes
        Climate and clothing:  May through mid-October is extremely
hot in Qatar, and light-weight attire is recommended.  From
mid-October through April, spring and fall clothing is comfortable.

One should dress conservatively in public.
        Visas:  American citizens require valid visas to enter
Qatar.  Generally, travelers are required to show evidence that a
Qatari citizen or company will sponsor them during their stay in
Qatar.  Visas are also available through the major hotels for
intended guests, but arrangements must be made several weeks in
advance.
        Communications:  Allow 2 weeks for airmail delivery between
the US and Qatar. Letters, videos, and packages are subject to
inspection and censorship. Cable and telex lines to leading hotels
and places of business are good. Telephone connections are
excellent, and faxes are widely available. Qatar is eight time
zones ahead of eastern standard time.