DUBAI, April 4 (Reuters) - Qatar, the world's biggest exporter of liquefied natural gas, has passed a budget that projects a deficit of 5.8 billion riyals ($1.59 billion) for the 2009-2010 fiscal year because of lower oil prices.
The Qatari government based its annual budget, which came into effect on April 1, on an oil price of $40 a barrel, Finance Minister Youssef Kamal said according to comments carried by the state-run Qatar News Agency.
Last year, Qatar based its budget on an oil price of $55 a barrel and projected a surplus of $2 billion on oil revenues.
Oil prices have collapsed from a record high near $150 a barrel in July to around $52 on Friday amid a global downturn that has battered markets and hit demand.
Qatar's income is projected to drop to 88.7 billion riyals in this fiscal year from 103.3 billion riyals the previous year, Kamal said. Expenditure is expected to remain stable at 94.5 billion riyals compared to 95.9 billion riyals in the last fiscal year, he added.
Gulf Arab states are expected to post deficits this year after the global financial crisis ended a six-year oil-fuelled economic boom. But governments have pledged to keep public spending high to help carry economies through the downturn.
(Reporting by Dania Saadi) ($1=3.638 Qatari Riyals) Keywords: QATAR BUDGET/DEFICIT (Dubainewsroom 9714 391 8301) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
The Qatari government based its annual budget, which came into effect on April 1, on an oil price of $40 a barrel, Finance Minister Youssef Kamal said according to comments carried by the state-run Qatar News Agency.
Last year, Qatar based its budget on an oil price of $55 a barrel and projected a surplus of $2 billion on oil revenues.
Oil prices have collapsed from a record high near $150 a barrel in July to around $52 on Friday amid a global downturn that has battered markets and hit demand.
Qatar's income is projected to drop to 88.7 billion riyals in this fiscal year from 103.3 billion riyals the previous year, Kamal said. Expenditure is expected to remain stable at 94.5 billion riyals compared to 95.9 billion riyals in the last fiscal year, he added.
Gulf Arab states are expected to post deficits this year after the global financial crisis ended a six-year oil-fuelled economic boom. But governments have pledged to keep public spending high to help carry economies through the downturn.
(Reporting by Dania Saadi) ($1=3.638 Qatari Riyals) Keywords: QATAR BUDGET/DEFICIT (Dubainewsroom 9714 391 8301) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.