Qatar does not have a personal income tax or value added sales tax, and a number of non contributory government transfer programmes exist, with ben- eficiaries ranging from disadvantaged groups to newlyweds through the marriage fund. But three- quarters of Qatari families are in debt, with most burdened by large loans exceeding QR 250,000. This statistic is linked to weak economic and social empowerment of vulnerable families and a prevail- ing culture of extravagance and conspicuous con- sumption (figure 5.5). There is a weak financial culture among families overall, and in some cases this results in taking out loans without fully under- standing the costs of repayment. Although Qatar provides free healthcare and education, data sug- gest an increasing number of families are incur- ring debt to cover costs of private sector service pro- viders. Vulnerable families, especially those in the low-income category, will be more susceptible in these conditions. Families likely to be affected are those headed by women, especially divorced and widowed women, families with retired and unem- ployed heads and families headed by employed people with lower education levels.
To reduce more severe, longer term financial secu- rity threats, especially among the vulnerable, the government will support measures to improve the financial management practices of Qatari fami- lies through a programme to increase education, awareness and financial planning skills. Chang- ing attitudes towards debt and promoting sound spending and investment practices will be critical
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to the financial well-being of current and future generations.
Capacity, awareness and support for family finances
A comprehensive, supportive approach to curb the desire to live above one’s means will begin with awareness and counselling programmes as a pre- marriage requirement and will include an easi- ly accessible financial advisory service that offers legal advice on loan rates and payments. A thor- ough campaign against indebtedness will require legislative action, including setting limits on max- imum allowable loans based on an individual’s income. This will provide some level of protec- tion for individuals and subsequently improve the financial status of families by improving finan- cial management, reducing extravagant and non- necessary expenses now being financed through loans. Since data support the desire for Qataris to seek private sector healthcare and education
— two sources of potentially large financial
expenditure — the government will enact a com- prehensive health insurance system for families and provide an education allowance or vouchers for private education. These measures provide cross-sectoral alignment with the National Devel- opment Strategy 2011–2016 human development strategies as well.
Targets
• Reduce the number of Qatari families bur- dened by large loans (QR 250,000 or more). • Halve the number of Qatari families in debt.
Adopting a holistic approach to child
well-being
A solid social structure depends on sustainable health and education measures to strengthen its future generations — a key focus of the human development strategies for the National Develop- ment Strategy 2011–2016. But the prominence of health and education in QNV 2030 requires careful, cross-sectoral considerations of Qatar’s Increasing pressure from inflation and
spending . . . aggravated by high levels of indebtednessamong Qatari households
Figure 5.5 More financial responsibility and less indebtedness are needed
A 2007 study covering a sample of 1,368 Qatari households showed an increased focus on indebtedness due to pursuit of lifestyles potentially beyond their means:
• Loans for speculation in the stock market reached QR
297,000 per household.
• Loans for entertainment, travelling and touring reached
QR 203,000 per household.
• The average value of a car loan was approximately
QR 111,000 per household.
Loans are also taken to pay for health and education services, indicating a shift towards private sector services due to changing socioeconomic conditions:
• Loans for healthcare services reached QR 256,000 per
household even though healthcare is free in Qatar.
• Healthcare expenses probably cover payments for treatment
abroad.
• Loans for educational pursuits reached QR 167,000 per
household, most likely to cover students who did not benefit from the student exchange system or government-provided subsidies or scholarships.
Income and inflation 2001 2007
Average income (QR; nominal) 19,912 41,483 Average income (QR; real) 19,912 27,000 Consumer price index
(2000 = 100) 100 151
Basic goods and services 2001 2007
Residence, water, electricity 17.6% 29.3% Transportation 16.5% 13.8% Food and beverages 17.5% 11.2%
Income and expenditure 2001 2007
Average income (QR) 19,912 41,483 Average expenditure (QR) 22,366 40,757
investments in today’s children, including the cru- cial elements of children’s social development. Though certain family-specific issues have already been identified, the government will adopt a holis- tic approach to child well-being as well. Although international child measures indicate Qatar is in a fairly good position in relation to other countries in the region, Qatari children face threats ranging from health to education to risk-taking behaviours (figure 5.6).
Qatar has already taken major steps to strengthen its commitment to children’s welfare, safety and health. The comprehensive draft child law will ensure that Qatar complies with the most impor- tant piece of internationally accepted legislation in relation to children’s rights. But the National Development Strategy 2011–2016 provides the gov- ernment the opportunity to do more to enhance the well-being of children, as recent data point
to significant health problems in the next gen- eration, such as vitamin deficiencies and obesity. Other health risks come from kinship marriages, which have led to increased rates of congenital birth defects, and smoking and drug abuse. Smok- ing rates among children ages 13–15, for instance, are 13% for girls and 25% for boys.
A holistic approach to child well-being
Reversing negative trends and improving the qual- ity of life of children will require a series of activi- ties that work in unison across all sectors of gov- ernment to provide a just, healthy quality of life for Qatar’s current and future generations. This work will also require changing behavioural atti- tudes and ensuring that personal pride and vir- tue are instilled in Qatari youth. The govern- ment will promote active citizenship and provide opportunities to develop necessary life skills in order to develop Qatar’s future leaders. A youth
2 4 6 8 10 12
Qatar’s child development index score is in
the top bracket . . . but well-being of children remains arising concern
Child development index score, 2000–2006
Sri Lanka (74) Kuwait (64) Egypt (50) Jordan (47) Syria (44) Mexico (40) Tunisia (27) Malaysia (24) Italy (4) Spain (2) Qatar (34)
United Arab Emirates (61) Saudi Arabia (62)
Russia (31) China (32) Bahrain (26) United States (23) Canada (3) Japan (1) Country (rank) 0 (best) 14 (worst)
Figure 5.6 Qatar will adopt a policy‑making approach in the best interest of children’s well‑being
Significant health and nutritional issues among Qatari children were identified in recent Aspetar Hospital study:
• 90% of girls showed vitamin D deficiency.
• 46% of girls were osteopenic, and 27% had osteoporosis.
• Average body mass index among Qatari boys ages 10–13
was 22 kilogrammes per square metre (in 90th percentile), indicating severe obesity.
• 50% of Qatari boys are in the 22–36 kilogrammes per square
metre range.
The best interests of children are affected by changes in family cohesion:
• The impact of divorce on Qatari children is not fully known, but children in divorced households are more likely to be low-income.
• Reliance on domestic helpers who are not experienced child
caregivers has potential detrimental effects on children’s emotional and cognitive development.
• Violence has multiple adverse effects on children.
Source: Save the Children UK, The Child Development Index: Holding Governments to Account for Children’s Well-Being (2008).
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“parliament” will be formed to teach the concepts of democracy and strengthen children’s sense of civic and personal responsibility, justice and lead- ership. And training programmes will be created to strengthen intergenerational relationships. In all legal and policy decisions the state will adopt “best interests of the child” criteria, especially in custody and child protection cases. A children’s court, separate from the regular adult court pro- cess, will be established, while the age of criminal responsibility for children will be increased from age 7 to age 12 or older. Once enacted, the draft child law will provide a comprehensive framework within which all activities relating to children will be implemented and measured. These activities will cut across multiple National Development Strategy 2011–2016 sectors.
Targets
• Reduce the number of under-18 drug addicts to 1%.
• Reduce the number of under-18 smokers to 10%. • Halve the incidents of under-18 reckless driving.