There is plenty of solid evidence pointing to further gains for the Qatari economy and which will have positive spillover effects for other regional economies. The recent government ruling that will allow banks from other Gulf states the right to open branches in the country helps the cause of the bloc’s economic integration.

In addition, expenditures relating to staging World Cup 2022 are allowing steady economic growth rates notwithstanding the plunge in oil prices.

To begin with, the move by Qatari authorities to allow branches from banks in fellow Gulf states is long overdue — but a welcome move anyway. By the same token, earlier this month, the Saudi cabinet has given the go ahead for Qatar National Bank, undoubtedly Qatar’s largest bank in terms of assets, to open a branch in the kingdom.

The Qatari move opening up its financial sector fits in with the principle of a Gulf Common Market (GCM), which went into effect in January 2008. Incidentally, the integrating project was adopted during the 28th GCC summit in Doha in December 2007, and calls for the free flow of factors of production within the bloc.

If any, Qatar was expected to take the lead in opening up its financial services sector following the adoption of GCM in Doha. Yet, the UAE and Bahrain were more forthcoming than the others in allowing financial institutions from the rest of the bloc to set up local branches. In fact, Gulf banks operate branches in places like India and the UK, and therefore branching out regionally should be anything but abnormal.

Turning to another notable development, a report by QNB projects a gross domestic product growth of nearly 7 per cent for Qatar in each of 2016 and 2017. The logic for this astonishing performance relates to sizeable investments in the run up to the big sporting event, with expenditure projected at a staggering $226 billion.

Qatar has the necessary means to invest such large amounts on infrastructure projects like an innovative rail network and other tournament-related schemes. The size of Qatar’s SWF is projected at $265 billion by the Sovereign Wealth Institute. Another study evaluates Qatar’s external assets at $315 billion.

Certainly, the projected spending figure of $226 billion is staggering when compared to other statistics relating to the Qatari economy. By the latest count, Qatar boasts a GDP of around $205 billion, the third highest within the GCC after Saudi Arabia and the UAE.

It is believed that Qatar contributes about 13 per cent to the total GDP of GCC states. Qatar stands out for having a per capita income of above $100,000 per annum, the largest in the world.

Adding to that should be investments by private sector firms and investors from inside and outside Qatar. They are doing their own fair share of spending on the World Cup-related projects like setting up new hotels and shopping complexes.

What’s more, these notable achievements are occurring in the absence of a serious debt problem. There is virtually no unemployment among Qatari nationals, actively seeking employment. Opening up of different economic sectors should further consolidate the economy by making firms adjust to competition from outside and making the best possible use of scare resources.

The writer is a Member of Parliament in Bahrain.