I. Economic data

A. Macro-economic data

- General data[1]

January 2024 population: 3,118,214 inhabitants[2]
Area: 11,000 km2
Density: 200 inhabitants/km2
GDP (nominal) 2022: $236.26 bn[3]
GDP/capita 2022: $87,661.5[4]
GDP (PPP) 2022: $307.38 bn[5]
GDP (PPP)/capita 2022: $114,049.2[6]
2022 growth rate: 4.2%[7]
GNI/capita (PPP) 2021: $100,450
HDI 2021: 0.855
Literacy rate: 98%[8]
Life expectancy 2022: 79.5 years

- Policy
 
Since becoming independent in 1971, Qatar has been a monarchy ruled by Emir Sheikh Tamim bin Hamad al-Thani since 2013. The Central Municipal Council is the advisory body made up of 30 members elected by universal suffrage every four years and 15 members appointed by the Emir.
 
The Qatar National Vision 2030 program was launched in 2008. The purpose of this program is to define long-term objectives to enable Qatar to sustain its development and ensure a high standard of living for its people. The program defines five major challenges: modernization and preservation of traditions; managing the needs of current and future generations; managing growth and unhindered expansion; the size and quality of the expatriate workforce and the development path chosen; economic growth, social development and environmental management[9].
 
The Emir's aim is for Qatar to be a key player on the international stage, creating alliances with the world's major powers and maintaining good relations with all stakeholders in the international community. Qatar's global role has recently been demonstrated during the Israeli-Palestinian conflict, when it took up the role of mediator in negotiations between the two parties[10].
 
Qatar organized and hosted the 2022 Football World Cup, bringing the country to the forefront of the international stage.
 
- Economic development[11]
 
Qatar's economy is heavily dependent on hydrocarbons. Indeed, Qatar is the world's leading exporter of liquefied natural gas.
 
The Qatari population is relatively well-off, and Qatar's per capita income is the 6th highest in the world.
 
In order to diversify its economy, the Qatar National Vision 2030 program has set the target of reducing the economy's dependence on hydrocarbons, and more specifically on shocks relating to the fluctuation of hydrocarbon prices and/or the use of financing on domestic markets.
 
Qatar has therefore developed high-potential sectors such as tourism, culture, sports and healthcare.
 
The inflation rate was 5% in 2022, falling to 2.8% in 2023.[12] The Qatari inflation rate is therefore well below the world average, which was 6.9% in 2023, according to the International Monetary Fund[13].
 
- Resources
 
Qatar is rich in hydrocarbons and is the world's 6th largest producer of natural gas[14]. In 2022, hydrocarbons accounted for 37% of Qatar's real GDP, 87% of exports and 85% of the country's revenues[15].
 
Tourism generated $14.3 billion for Qatar in 2020[16].
 
- Population
 
Almost the entire population of Qatar lives in cities. In fact, 99% of the population is urban[17]. Foreigners make up 90% of the Qatari population[18].
 
12.8% of Qatar's population is under 15, 10.9% is between 15 and 24, 74.8% is between 25 and 64 and only 1.5% is over 65.[19]
 
31% of the population lives in Qatar's capital, Doha[20].
 
The five most populous cities in Qatar are Doha (1,186,023 inhabitants), Ar Rayyan (826,786 inhabitants), Al Wakrah (265,102 inhabitants), Al Sheehaniya (161,240 inhabitants) and Umm Salal Muhammad (149,701 inhabitants)[21].
 
- Foreign investment[22]
 
The total amount of foreign direct investment in Qatar was $27.53 billion in 2021.
 
The main investor countries are the USA, Japan, South Korea and Singapore. The sectors attracting the most foreign investment are oil and gas, construction, public works and financial services.
 
According to the AT Kearney 2023 Foreign Direct Investment Confidence Index, Qatar ranks 21st among the most attractive economies for foreign investment, up three places from 2022[23].
 
B. Economic data specific to franchising
 
- Historical background
 
In recent years, the franchising sector in Qatar has grown strongly, thanks in particular to the high income of the population, making the Qatari market an attractive one.
 
The FIFA 2022 World Cup also boosted the franchise sector.
 
- Institution
 
At the time of writing, Qatar has not set up an association specifically dedicated to the franchising sector.
 
- Trade shows
 
The Middle East Franchise Fair (MEFF), the first regional and travelling franchise fair in the Middle East, will take place from September 12 to 14, 2024 at the Doha Exhibition and Convention Centre. The fair is organized by Silvertrade, in collaboration with events company Al Maraya Public Relations[24].
 
- Statistics
 
There are no official statistics on the franchise sector in Qatar.
 
The Global-Franchise website ranks Qatar as the second most attractive market in the Middle East for franchising[25].
 
The most popular franchises in Qatar are cafés, food outlets, consulting, educational, entertainment, cleaning and travel franchises[26].
 
- Contract content
 
The cost of a franchise varies from one business sector to another. For example, the Eggspectation restaurant franchise requires a total investment of $1,000,000. On the other hand, for the One Touch franchise (in the digital sector), the total investment required is $15,000[27].
 
- Economic impact
 
No precise statistics are available for the Qatar market alone. However, in the Middle East and North Africa region, the franchise sector is estimated to be worth 30 billion dollars[28].
 
- International
 
Numerous international franchises have established themselves in Qatar. Forbes ranks Paris Saint Germain soccer club as the 36th most valuable sports team in the world. This makes the Parisian club the only French franchise in the ranking[29]. FNAC is also present in Qatar[30]. The country's major international fast-food franchises include Burger King, McDonald's, KFC and Domino's Pizza.
 
On a regional level, it is estimated that international brands account for 80% of all retail sales in the member countries of the Gulf Cooperation Council (Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates)[31].
 
II. Legal information
 
A. Legal information directly related to franchising
 
- Applicable legislation
 
There is no specific legislation governing franchising. The Qatari Civil Code therefore governs the franchise contract.
 
Chapter 1 of Section 1 of the Civil Code is specific to contract law. Section 64 of the Civil Code states that a contract is concluded when an offer is exchanged and subsequently accepted if the purpose and cause of the contract are deemed to be lawful.
 
Under Section 91 of the Qatari Civil Code, the contract does not necessarily have to be in writing. However, in order to provide proof, it is advisable to draw up the franchise agreement in writing.
 
Nevertheless, in the absence of specific legislation on franchise contracts, Qatar does have a law governing commercial agency contracts: law no. 8/2002 on commercial agencies. Section 2 of this law defines a commercial agent as one who is exclusively authorized to distribute and sell products and goods, or to provide certain services within the framework of the agency, on behalf of the principal, in return for a fee or commission.
 
If the contract between the parties falls within the definition of a commercial agency, then the parties will be bound by law no. 8/2002. In addition, the definition of a commercial agency has a bearing on investments by foreigners, as will be discussed later.
 
- Pre-contractual information
 
There is no legal obligation for the franchisor to provide pre-contractual information to the prospective franchisee prior to signing the contract.
 
- Contract performance
 
Section 172 of the Qatari Civil Code states that the parties must perform the contract in good faith.
 
A validly concluded contract will be binding on the parties. The contract may then only be revoked or modified by the mutual consent of the parties or on grounds provided by law (Section 171).
 
In addition, when a business is set up in Qatar, it must be registered with the Business Inspection Department of the Ministry of Economy and Trade, under the Commercial, Industrial and Similar Public Shops and Street Vendors Act[32].
 
Changes to the sales outlet, such as relocation, also require the approval of the relevant department.
 
- Jurisdiction and applicable law
 
Qatar ratified the New York Convention on Arbitration[33] on December 30, 2002, facilitating the recognition and enforcement of foreign arbitral awards.
 
- Trademarks
 
Trademark law is governed by the Trademarks and Trade Names Act[34].
 
Multi-class registrations are not allowed in Qatar, and must be filed by class with the Office for the Protection of Industrial Property, under the oversight of the Ministry of Economy and Industry. To be accepted, the trademark must be distinctive, available and lawful, in particular by not being contrary to Islamic values.
 
Once registered, trademarks are protected for 10 years from the date of filing. Thereafter, protection is renewable indefinitely[35].
 
Section 22 of the said law specifies that the owner of a trademark may grant, by contract, to a natural or legal person, a license to use their trademark, for all or part of the products for which the trademark is registered. The trademark license contract must be drawn up in writing and must be signed by the parties before the Industrial Property Protection Office. The trademark owner must constantly monitor the licensee to ensure that the latter respects the quality of the products and services associated with the trademark.
 
Qatar has ratified the Paris Convention, which specifies that each contracting State grants the same protection to nationals of other contracting States as it does to its own nationals with regard to intellectual property.
 
At the time of writing, Qatar is not a member of the Madrid Agreement. Consequently, the trademark cannot be registered via the international trademark.

In Qatar, trademark applications are handled nationally, and the Qatar Trademark Office conducts examinations prior to registration, issuing an official notice once available.  Qatar allows only mono-class trademark registrations. Trademarks must be used within five consecutive years from the date of registration to avoid cancellation. To develop a franchise in this country, it is advisable to cover "Business assistance relating to franchising" and "retail services" which are both accepted under class 35 by the trademark office. Recording a franchising agreement is not compulsory, but it is highly advisable to validate the use of the mark and prevent legal difficulties. It is treated as the Recordal of a License Agreement in the Qatar Trademark Office and requires a duly legalized Power of Attorney and license agreement.
 
B. Peripheral legal data
 
- Competition law
Competition law, which applies to franchise agreements, is governed by the Protection of Competition and the Prevention of Monopolistic Practices Act[36].
 
Section 3 of the law prohibits agreements, contracts or any other practice which:
 
- manipulate sales prices, by raising, lowering or fixing them;
- restrict the freedom of a product to enter or leave a market, whether fully or partially, by concealing it, refusing to process it when it is available, or keeping it in storage without justification;
- deliberately cause a sudden glut of products to circulate at a price that affects the economic performance of other competitors;
- prevent or hinder the exercise of an economic or commercial activity on the market;
- unjustifiably conceal from an individual, in whole or in part, products available on the market;
- restrict or limit the production, manufacture, distribution or marketing of products;
- allocate the market geographically;
- coordinate between competitors to submit bids in response to invitations to tender;
- deliberately communicate false information about products or their prices.
 
Under Section 7 of the Protection of Competition and the Prevention of Monopolistic Practices Act, the competent authority for competition law enforcement in Qatar is the Committee for the Protection of Competition and the Prevention of Monopolistic Practices. This Committee reports directly to the Ministry of Economy and Trade.
 
- Personal data
 
Personal data protection law is governed by the Personal Data Protection Act[37].
 
Section 1 of this law defines personal data as data relating to an identified or identifiable natural person and the combination of this data with other data.
 
Section 4 states that personal data may only be processed if the data controller obtains the consent of the data subject. However, Section 19 of the Personal Data Protection Act specifies that the data subject's consent will not be required if the data controller is performing a task of public interest under the law, fulfilling a legal obligation or a court order, protecting a vital interest of a natural person, achieving the aims of ongoing scientific research in the public interest, collecting information necessary for the investigation of a criminal offence, at the official request of a competent investigative body.
 
The data subject has the right to object to processing if it is not necessary to achieve the purpose pursued by the controller, or if the data collected is discriminatory, unlawful, or not "strictly necessary" for the purpose sought.
 
The Ministry of Transport and Communications is responsible for ensuring compliance with the Personal Data Protection Act.
 
- Special provisions for foreign investments
 
To encourage investment in Qatar, a law has been passed allowing foreigners to hold 100% of the capital of a Qatari company. This is the Regulation of Non-Qatari Capital Investment in Economic Activity Act, which came into force in January 2019[38].
 
According to Section 7 of the Regulation of Non-Qatari Capital Investment in Economic Activity Act, a foreign investor may not hold more than 49% of a listed Qatari company. In addition, in order to hold shares in a listed Qatari company, the approval of the Minister of Economy and Industry is required.
 
With regard to commercial agencies, Section 4 of the Regulation of Non-Qatari Capital Investment in Economic Activity Act specifies that non-Qatari investors are prohibited from investing in commercial agencies.
 
Main websites
 
-  E-services -from the Ministry of Trade and Industry: https://www.moci.gov.qa/en/e-services/;
- Competition: https://www.moci.gov.qa/en/about-the-ministry/national-committees/protect-competition-and-prevent-monopolistic-practices-committee/;
 - Intellectual property: https://www.moci.gov.qa/en/about-the-ministry/departments/departments-under-the-assistant-deputy-of-commerce-affairs/intellectual-property-rights-protection-department/;
- Ministry of Planning, Development and Statistics: https://www.psa.gov.qa/en/Pages/default.aspx;
- World Bank data: https://donnees.banquemondiale.org/


[1] Unless otherwise stated, the information below is taken from the Atlas socio-économique des pays du monde, Larousse, 2024 edition.
[2] https://www.psa.gov.qa/en/Pages/default.aspx
[3] https://donnees.banquemondiale.org/indicator/NY.GDP.MKTP.CD?locations=QA
[4] https://donnees.banquemondiale.org/indicator/NY.GDP.PCAP.CD?locations=QA
[5] https://donnees.banquemondiale.org/indicator/NY.GDP.MKTP.PP.CD?locations=QA
[6] https://donnees.banquemondiale.org/indicator/NY.GDP.PCAP.PP.CD?locations=QA
[7] https://donnees.banquemondiale.org/indicator/NY.GDP.MKTP.KD.ZG?locations=QA
[8] https://donnees.banquemondiale.org/indicator/SE.ADT.LITR.FE.ZS?locations=QA
[9]https://imo.gov.qa/fr/state-of-qatar/qatar-national-vision-2030/#:~:text=The%20Qatar%20National%20Vision%202030,man%20are%20in%20harmony.
[10]https://www.francetvinfo.fr/monde/proche-orient/israel-palestine/guerre-entre-israel-et-le-hamas-comment-le-qatar-s-est-impose-comme-un-mediateur-incontournable-dans-les-negociations_6197946.html
[11] Unless otherwise stated, the information below is taken from https://www.tresor.economie.gouv.fr/Pays/QA/situation-economique#:~:text=Le%20Qatar%20b%C3%A9n%C3%A9ficie%20en%202022,%2C%2010%25%20du%20PIB).
[12]https://fr.statista.com/statistiques/1039092/taux-d-inflation-au-qatar/#:~:text=Le%20terme%20inflation%20d%C3%A9signe%20une,rapport%20%C3%A0%20l'ann%C3%A9e%20pr%C3%A9c%C3%A9dente.
[13] International Monetary Fund Report, World Economic Outlook, October 2023: Diverging Trajectories
[14] https://ekwateur.fr/blog/marche-de-l-energie/pays-producteurs-gaz/
[15]https://www.tresor.economie.gouv.fr/Pays/QA/situation-economique#:~:text=The%C3%A9economy%20in%20Qatar%20draws%20its%20revenues%20from%20the%20State.
[16] Atlas socio-économique des pays du monde, Larousse, 2024 edition
[17] Atlas socio-économique des pays du monde, Larousse, 2024 edition
[18] https://www.diplomatie.gouv.fr/fr/dossiers-pays/qatar/presentation-du-qatar/
[19] https://www.psa.gov.qa/en/Pages/default.aspx
[20] Atlas socio-économique des pays du monde, Larousse, 2024 edition
[21] https://www.psa.gov.qa/en/statistics1/StatisticsSite/Census/Census2020/results/Pages/default.aspx
[22]Unless otherwise stated, the information below is taken from https://www.btrade.ma/fr/observer-les-pays/qatar/investir2#:~:text=Les%20investissements%20directs%20%C3%A9trangers%20(IDE,attrayante%20pour%20les%20investissements%20%C3%A9trangers.
[23] https://www.kearney.com/service/global-business-policy-council/foreign-direct-investment-confidence-index
[24] https://tradefest.io/fr/event/middle-east-franchise-fair
[25] https://www.global-franchise.com/insight/the-four-hottest-markets-in-the-middle-east-for-franchising
[26]https://topfranchise.com/international-franchise-opportunities/asian/franchises-in-qatar/#:~:text=There%20is%20no%20special%20franchise,review%2C%20the%20choice%20is%20yours.
[27] https://www.qatarfranchiseopportunities.com/franchise-directory/?page=2
[28] https://www.franchisedirectmena.com/franchise-articles/franchising-in-the-mena-region-an-overview/
[29] https://www.francebleu.fr/infos/societe/le-psg-est-la-franchise-sportive-la-plus-dynamique-au-monde-selon-forbes-1022320
[30] https://www.lsa-conso.fr/la-fnac-accelere-au-qatar,261523
[31] https://www.franchisedirectmena.com/franchise-articles/franchising-in-the-mena-region-an-overview/
[32] Law n°5/2015
[33] New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards of June 10, 1958
[34] Law n°9/2002
[35] Article 18 of law n°9/2002
[36] Law n°19/2006
[37] Law no. 13/2016
[38] Law n°9/2019