Larsen & Toubro won a contract to construct the stadium for Qatar’s 2022 world cup worth 135 million dollar.
Prime Minister Narendra Modi travelled to Doha on June 4, 2016, for a two-day visit that was focused on giving a new push to the economic ties between India and Qatar.
The trip seems to bear its fruits as Larsen & Toubro Limited, an Indian multi-national industrial group, secured a deal to construct a stadium worth 135 million dollar for Qatar’s 2022 world cup. The contract came in as a boost for the Indian firm that is witnessing a slowdown in the Middle East market due to decreased oil prices.
“As part of a joint venture, L&T will serve as a contractor building the 40,000 seat Al Rayyan stadium,” said a Qatar government official.
Due to low oil and gas income, Qatar, which is the major exporter of liquefied natural gas and one of the richest countries per capita, is facing a budget deficit of around 12.8 billion dollar this year.
The country planned to decrease its spending by nearly two-third on building healthcare facilities in 2016 because of the drop in energy prices but the expenditure on the projects concerning world cup are intact.
The football governing body, Fédération Internationale de Football Association (FIFA), has faced corruption allegations that put renewed media focus on Qatar and its hosting of the world cup. But despite the accusations, Qatari officials say that they are confident the event will go ahead as planned.
The Al Rayyan stadium for world cup 2022 will include a cooling technology to help with Qatar’s fierce temperatures. The stadium’s capacity will be decreased to 21,000 after the tournament with the upper tier of seats being sent to a developing nation.