In spite of owning wide hydrocarbon reserves and enjoying low production costs, Qatar as the world largest LNG exporter is inevitably severely harmed by tumbled oil prices through lower foreign exchange reserves and delayed public spending. A noteworthy and significant consequence is also apparent in its current account balance which will turn from a huge surplus to a deficit this year. Hence, Qatar’s downgrade by two notches to 3/7 is justified even though it remains mitigated by the country’s vast foreign assets.