Standard&Poor's Ratings Services has affirmed its 'AA-/A-1+' sovereign credit ratings on the State of Qatar. The outlook is stable. The ratings on Qatar are supported primarily by strong fiscal surpluses, substantial external liquidity, healthy economic prospects driven largely by the gas industry, and high per capita income. The ratings remain constrained, however, primarily by the geopolitical risks facing sovereigns in the Gulf region, and capacity and institutional constraints which are higher than for other 'AA' rated sovereigns. We expect Qatar's strong fiscal performance to continue, and project a general government surplus of 7.6% of GDP in fiscal year 2008-09 (ending March 31, 2009) against an expected surplus of 8.0% of GDP in 2007-08. General government debt is expected
