The ratings on the State of Qatar reflect Standard&Poor's Ratings Services' view of the government's strengthening fiscal and external balance sheets, combined with strong growth prospects spurred by new, large liquefied natural gas (LNG) projects in 2010-2012. The ratings are constrained by still-nascent public institutions, limited transparency, particularly with respect to government assets, and geopolitical risks faced by all sovereigns in the region. We believe that Qatar's economy is weathering the global downturn well, with deflationary pressures and financial sector problems contained by the economic policy flexibility generated by new gas projects. Qatar is projected to stand among the fastest growing economies in 2010. Real GDP per capita is expected to expand by close to 11% in 2010,
