Qatar cements its position as a premier destination for investors

Qatar has spent the past decade working to make itself more open to business. That work is starting to show. In the 2025 Index of Economic Freedom, published by The Heritage Foundation, Qatar ranked 27th out of 184 economies worldwide and second in the Middle East and North Africa. Its scores were especially strong in trade freedom, tax policy and fiscal health. These gains reflect years of legal reforms, investment-friendly rules and a push to improve how business gets done—key goals under Qatar’s long-term economic strategy, Vision 2030.

What the ranking really means

The Index measures how easy it is to do business in a country by looking at factors like regulation, taxation and how governments manage the economy. In Qatar’s case, the top scores came in tax burden (99.9), fiscal health (96.2) and trade freedom (81.6). The country doesn’t tax personal income, and corporate taxes are low and predictable. It’s also running strong public finances, helped by LNG revenues and conservative spending. On the trade side, open markets and efficient customs have kept goods and capital moving easily. Business freedom has improved, too, thanks to quicker licensing and less paperwork, changes that make a clear difference for companies entering or expanding in the market.

A clear legislative shift

Qatar has made a clear shift in how it regulates business. Foreign investors can now own 100% of companies in most sectors, a major change from the older local partnership model. New laws on bankruptcy, public-private partnerships and commercial registration are also being introduced to improve legal clarity and speed things up. The application process for investment licences has been tightened with a 15-day response window, giving companies quicker decisions and more predictability. The focus is on making it easier to set up, operate and plan with confidence without getting caught in unnecessary delays.

Investment drivers

Qatar’s investment appeal isn’t built on policy alone. It’s grounded in energy revenues, stable governance and a long-term national plan backed by capital. LNG continues to anchor public finances, giving the government room to invest in roads, ports, housing and tech. These projects support real estate growth and help push smart city developments forward. Sectors like fintech, logistics and health tech are also gaining ground, boosted by targeted support and new infrastructure. Investors see a clear route to returns, especially with political stability and consistent regulation in place. The pipeline of public and private projects is steady. Low tax, strong demand and regional access all contribute to a clear business case.

Free zones & business setup

For many companies, Qatar’s free zones are the easiest way in. They offer full foreign ownership, no personal or corporate income tax and a faster route through setup and licensing. Locations like the Qatar Free Zone (QFZ), Qatar Financial Centre (QFC) and Qatar Science and Technology Park (QSTP) are connected to ports, airports and key infrastructure, which cuts down on delays and shipping costs. Each zone is built around different sectors, from tech and media to logistics and advanced manufacturing. The process is straightforward, with clear rules, competitive lease options and government support tailored to foreign investors. Whether you're opening a branch, launching a startup or shifting operations from abroad, these zones give you more control and fewer barriers.

Where the opportunities are

The country is drawing interest across several sectors, each tied to its national goals under Vision 2030. Real estate continues to attract long-term investors, helped by high rental yields and residency-linked ownership options. Manufacturing is picking up pace through government support, with an emphasis on building local production capacity. Tech is another strong area, with investment flowing into AI, cloud services and cybersecurity, backed by dedicated zones and major partnerships. Meanwhile, tourism is growing off the back of World Cup exposure, while population growth is pushing demand for international schools, training centres and education tech. All of these areas are part of a broader push to open the economy, reduce reliance on oil and build up sectors that can carry long-term value.

Why it matters

Qatar’s rise in the 2025 Index of Economic Freedom reflects more than a strong scorecard. It shows steady work on the legal side, clear investment priorities and a push to make business setup faster and more predictable. The result is a market that’s open, well-funded and ready for long-term growth.

How can Sovereign PPG help?

Sovereign PPG offers expert support for company setup in Qatar and across the wider Gulf. From choosing the right structure to handling licences, visas and ongoing compliance, we manage the process from start to finish. To speak to our team, call +971 (0)4 456 1761 for Dubai or +971 (0)2 448 5120 for Abu Dhabi, email us at qatar@sovereigngroup.com or complete the contact form below.