"We have decided to organise elections for Majlis al-Shura (consultative council) in the second half of 2013," Sheikh Hamad bin Khalifa Al-Thani said addressing the all-appointed council, QNA state news agency reported.
"All these steps are necessary to build the modern state of Qatar," he said, referring to the passing of a constitution and staging of municipal polls.
Qatar's constitution which was passed in a 2003 referendum stipulated that two thirds of the 45-member council would be elected, while the rest would be named by the emir. It also provided for legislative powers.
But so far Qatar, which took part in the NATO-led military campaign that helped to oust Libyan dictator Muammar Gaddafi, has only held municipal polls and continues to ban political parties.
In 2008, the Shura council passed a new electoral law setting the voting age at 18 and laying down rules for campaign funding and outlaws vote-buying.
Qatar has some 200,000 citizens out of a resident population of some 1.7 million people.
Qatar and Saudi Arabia are the only Gulf states yet to hold legislative polls. But the authorities of most of the fully or partially elected parliaments in other Gulf countries are checked by upper chambers appointed by the rulers.