Iran War Drives 42% Drop in Qatar’s Revenue in Six Months as IMF Warns of GDP Contraction
Doha, Qatar | October 14, 2026 | The Global Journal
Qatar is facing mounting economic pressure as the ongoing war in the Middle East disrupts its energy infrastructure and liquefied natural gas (LNG) exports. The Gulf nation’s total revenue fell by 42% during the first six months of this year, according to Qatar’s Emir, Sheikh Tamim bin Hamad Al Thani.
Speaking at the annual opening session of the Shura Council in Doha on Tuesday, the Emir said damage to critical energy facilities and disruptions to a significant portion of the country’s exports had directly affected government revenue.
Energy Infrastructure Damage Disrupts LNG Exports
Qatar is one of the world’s largest LNG exporters, and its economy relies heavily on the energy sector. Disruptions to gas production, processing and exports are therefore placing considerable pressure on government finances and overall economic activity.
According to Sheikh Tamim, the closure of the Strait of Hormuz and direct attacks on several energy facilities in the Ras Laffan Industrial City have disrupted a substantial share of Qatar’s exports. He warned that the crisis would inevitably have a negative impact on public finances, a consequence already reflected in the country’s declining revenue.
The report states that ballistic missile and drone attacks by Iran caused extensive damage to critical energy infrastructure at Ras Laffan. Meanwhile, the disruption of maritime traffic through the Strait of Hormuz has hindered Qatar’s LNG shipments and supplies to international markets.
Qatar Continues North Field Expansion Plans
Despite the wartime disruption, Qatar has maintained its long-term plans to expand energy production capacity. The Emir said work on the expansion of the North Field, one of the world’s largest natural gas fields, was progressing according to schedule.
Through the North Field expansion programme, Qatar aims to increase its annual LNG production capacity to 142 million tonnes by 2030. The field is geologically connected beneath the Persian Gulf to Iran’s South Pars gas field.
Sheikh Tamim also reported significant progress on the Golden Pass LNG project in the United States, which is being developed jointly with ExxonMobil. The project represents an important part of Qatar’s long-term strategy to strengthen its position in international energy markets.
IMF Forecast Raises Concerns Over Qatar’s Economic Outlook
Qatar is among the Gulf countries facing significant economic consequences from the ongoing conflict. Damage to energy facilities, declining export revenues and disruptions to maritime transport could place further pressure on the country’s economic growth.
According to the International Monetary Fund (IMF) forecast cited in the report, Qatar’s gross domestic product (GDP) could contract by 15.6% this year. If realised, such a decline would represent a substantial contraction in the country’s economy.
The impact of the war extends beyond a temporary decline in government revenue, posing broader challenges to Qatar’s energy exports, public finances and economic growth. The pace of recovery will depend largely on regional security conditions, the resumption of maritime traffic through the Strait of Hormuz and the restoration of damaged energy infrastructure.
