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QatarEnergy has signed a long-term sulfur supply agreement with OCP Nutricrops, a subsidiary of OCP Group – a world leader in plant nutrition solutions and phosphate-based fertilizers.Under the terms of the 10-year agreement, QatarEnergy will supply up to 7.5mn tons of sulfur to OCP Nutricrops beginning in the third quarter of 2024.OCP Nutricrops is a Morocco-based company responsible for developing soil nutrition solutions to address global challenges in food production and sustainability.Commenting on this occasion, HE the Minister of State for Energy Affairs, Saad Sherida al-Kaabi, who is also the President and CEO of QatarEnergy, said: “We are pleased to sign this agreement, solidifying our business relationship both with OCP Nutricrops and the Kingdom of Morocco. This agreement marks a significant step in advancing cooperation between our two companies and fostering mutual growth and value for both sides.”This agreement highlights QatarEnergy’s strategy in establishing enduring relationships with reliable leaders in the fertilizers industry, as well as QatarEnergy’s commitment to support the global agricultural sector and greater food security.Qatar is one of the world’s largest exporters of sulfur, with a total annual production capacity of around 3.4mn tons, which will further increase with the commissioning of new gas production projects in the coming years.

Airfares remain more than 10% higher in several markets as international air traffic rebounds and seat capacity is expected to surpass pre-pandemic levels by the end of the year.A recent study covering 60,000 routes in some 19 countries showed that several key markets experienced significant airfare increases on both domestic and international routes. The airfare study was undertaken by ACI APAC & MID in partnership with Flare Aviation Consulting.Several markets experienced significant airfare increases. The study showed a sharp rise in domestic airfares during the first half of 2024 compared to 2019 levels. Notable increases were seen in key domestic markets such as India (+43%), Vietnam (+63%), Malaysia (+36%), Thailand (+26%), and Australia (+21%), all of which heavily rely on domestic air travel.Despite the anticipated recovery in international seat supply in these countries, airfares remain elevated compared to pre-pandemic levels.In India and Vietnam, international fares rose by 16%, Malaysia by 21%, Australia by 14%, and Thailand by 7%, with low-cost carriers (LCCs) contributing to the sharpest increases.The study also notes that low-cost carriers (LCCs) in the Asia-Pacific region have demonstrated greater resilience to the Covid-19 pandemic, increasing their market share and bargaining power, further influencing airfare trends.In the Middle East, traffic volumes have surpassed pre-pandemic levels in most countries by second quarter (Q2) 2024. Countries such as Bahrain (+24%), Qatar (+27%), Saudi Arabia (+30%), and the United Arab Emirates (+39%) have experienced robust traffic growth.Market analysts say rising airfares can indeed become a barrier for potential customers, especially for price-sensitive travellers. They include leisure travellers, students, and lower-income groups.Even among business travellers, where demand has traditionally been more inelastic, shifts are being seen in behaviour as companies adapt to cost-cutting measures and increased acceptance of virtual meetings, post-pandemic.For many passengers, especially those travelling for leisure, the demand is relatively elastic. As fares rise, these customers may reduce the frequency of their trips, switch to more budget-friendly options, or choose alternative travel modes.Increased fares for full-service airlines tend to drive travellers toward budget airlines, which continue to focus on leaner operational models and ancillary revenue (fees for extras like seat selection or checked bags) to keep fares relatively low.Another challenge, analysts say, is that higher costs might prompt more businesses to replace some trips with virtual meetings. Although in-person interactions are sometimes essential, many businesses have realised that video conferencing can effectively substitute for face-to-face meetings in a number of scenarios.Commenting on the study, Emmanuel Menanteau, President of ACI Asia-Pacific & Middle East and Regional Director, VINCI Airports, said: “Affordable airfares is crucial not only for ensuring accessibility to air travel but also for supporting the economic vitality of our communities. Excessive fare increases can discourage passengers, hinder connectivity, and ultimately impact the growth of our sector. It is critical to keep air travel within reach for all, allowing our airports and local economies to thrive together.”Stefano Baronci, Director General, ACI Asia-Pacific & Middle East, said: “While passenger numbers in Asia-Pacific are returning to pre-pandemic levels this year, many travellers are paying significantly more, especially on domestic routes. This indicates that the demand for air travel is likely higher than in 2019.“We must ensure that rising airfares do not become a barrier for potential customers. Passengers deserve transparency about these costs. Airfares result from a complex pricing system set by airlines, influenced by demand and supply, price elasticity, competition on any given route. For example, routes that are reliant on a single airline saw fare increases of over 25%, while those with steady competition experienced only about a 10% rise.”Baronci added: “It is important to note that the increase in airfares is not related to airport charges. Considering the airlines' cost structure, fuel prices and inflation have a much greater impact than airport charges. For a long time, airport charges have represented a stable component of airlines' operating costs, averaging around 4%. From 2019-2024, airport charges have decreased by 7% for domestic flights and increased by only 6% for international flights, making their influence on the recent spike in airfares in the region negligible”.In the long term, if airfares continue to rise without accompanying increases in income or economic growth, they could limit consumer access to air travel, particularly for discretionary trips.

Qatar, Saudi Arabia and Oman have ranked among the top 15 fertiliser exporters in 2023, according to an expert at Gulf Petrochemicals and Chemicals Association (GPCA).GCC’s fertiliser production capacity has grown significantly over the past decade, with a 4.86 % CAGR between 2013 and 2023, clocking additional 13.2mn tons, noted Noora Mukhtar, Research Specialist at GPCA.GCC region, with its vast natural gas reserves and strategic location, is establishing state-of-the-art nitrogen production facilities.The nitrogenous fertiliser segment occupies the larger bulk of the market, where the GCC nitrogen-based fertilisers (mainly urea and ammonia) account for 82.3 % of the regions’ fertiliser portfolio in 2023.The GCC fertiliser industry remains heavily export-oriented, shipping its products to 63 countries from across the globe. India, USA and Singapore ranked the top three GCC nitrogen export destinations, accounting for 62 % of the total nitrogen export value in 2022.Although capacity additions in agri-nutrients have been limited in the past couple of years, they played a pivotal role in boosting revenue within the regional petrochemical industry, Mukhtar noted. Record high prices for agri-nutrients were driven by a complex combination of various factors such as rising energy costs, supply and demand dynamics, and geopolitical factors.With a global focus on ensuring food security for a rapidly growing population, the demand for fertilisers is expected to rise substantially.The global urea and ammonia demand are projected to reach 300mn tons per year (mtpy) and 290mtpy, respectively, by 2030.The surge in demand underscores the urgent need for reliable fertiliser suppliers, enabling GCC producers to meet increasing global demands, particularly in major agricultural markets.Simultaneously, the debate over the use of nitrogen-based products for food security versus fuel is intensifying. The International Maritime Organisation (IMO) targets net-zero GHG emissions by 2050, spurring interest in ammonia as an alternative maritime fuel.Ammonia’s potential as a zero-carbon fuel is compelling, but it competes directly with its role in agriculture.This dual demand presents a strategic challenge for GCC producers: should they prioritise meeting the urgent needs of global food security, or capitalise on the emerging market for clean maritime fuel?Balancing these priorities, GPCA’s expert said, will be crucial in shaping the future of the GCC’s nitrogen investment strategies, ensuring they meet both environmental goals and food supply needs.The nitrogen fertiliser industry stands at a pivotal moment, marked by evolving investment patterns driven by sustainability and resilience.Leveraging its resource advantages and strategic initiatives, the GCC region is poised to play a critical role in the future of nitrogen production, GPCA said.Balancing economic viability with environmental stewardship will be key to the success of these investments.To facilitate the transition in nitrogen investments, regional collaborations and infrastructure development are gaining momentum.Investments in research and development are driving market growth, supported by GCC governments through subsidies, financial assistance, and technological advancements. These measures are fostering more favourable conditions for fertilizer adoption across the region, Mukhtar noted.

12 November 2024, Doha, Qatar: HE Mr Ali bin Ahmed Al Kuwari, Minister of Finance, participated in the 21st Middle East and South Asia Partners Conference (MESAC), which is being held in Doha. The MESAC conference is a key platform to promote economic dialogue and exchange of experiences among the region's leaders and reflects Qatar's commitment to supporting regional and international cooperation through sustainable strategies for economic growth and diversification.His Excellency welcomed all attendees and members participating in this conference, and praised this gathering and its importance in supporting the Qatari and global economy and stressed the State of Qatar's approach to enhancing its economic sustainability, which is evident in adapting to the increase in liquefied natural gas production by more than 80% to reach 142 million tons annually by 2030.In addition to the significant progress made in economic diversification and sustainability, contributed to by the country's hosting of the FIFA World Cup in 2022, which strengthened the infrastructure and tourism sectors.In line with the third national development strategy towards Qatar National Vision 2030, HE stressed the importance of cooperation and benefiting from the expertise among members to build a future-ready workforce capable of facing economic challenges, noting, “Global expertise networks such as KPMG can help support international cooperation and exchange of expertise and best practices.”. On the sidelines of the conference, dialogue continues between members and partners to achieve common goals and enhance economic cooperation.

Airline passengers will soon benefit from increased compensation limits for international flights, following an announcement by the International Civil Aviation Organisation (ICAO).The liability limits under the Montreal Convention for cases involving death, injury, delays, baggage, and cargo issues will rise from December this year.Recently, ICAO notified the 140 ‘States Parties’ that the compensation limits would be adjusted in accordance with the Montreal Convention’s built-in review mechanism, which updates limits every five years to account for inflation.This adjustment ensures that compensation for passengers and cargo remains fair and appropriate over time. The forthcoming increase marks the fourth review since the Convention came into effect in 2003.Formally titled the Convention for the Unification of Certain Rules for International Carriage by Air, the Montreal Convention of 1999 (MC99) established a comprehensive framework for the international carriage of passengers, baggage, and cargo by air. The Convention introduced essential provisions to balance the interests of passengers, shippers, and the aviation industry.According to ICAO, the Montreal Convention sets liability limits for airlines, ensuring passengers receive fair compensation in cases of injury, death, delays, and issues with baggage or cargo. Additionally, MC99 has modernised air travel by permitting the use of electronic tickets and air waybills, reducing paperwork and operational costs for airlines, thereby streamlining processes and enhancing risk management."ICAO continues to advocate for the universal ratification of MC99," said ICAO Secretary General Juan Carlos Salazar."This Convention is fundamental in ensuring the protection of consumer interests in international air travel. By promoting harmonisation and codification of rules governing international carriage by air, MC99 benefits passengers and the shippers of cargo while enabling the unified and equitable development of air services."The liability limits are expressed in Special Drawing Rights (SDRs), a unit of account defined by the International Monetary Fund (IMF). As of October 18, 1 SDR was valued at approximately $1.33318. The revised limits are as follows:The limit for death or bodily injury will increase from 128,821 SDRs to 151,880 SDRs (about $202,500), up from the original 100,000 SDRs in 2003.The limit for delays in passenger transport will rise from 5,346 SDRs to 6,303 SDRs (about $8,400), compared to 4,150 SDRs in 2003.Compensation for destruction, loss, damage, or delay of baggage will increase from 1,288 SDRs to 1,519 SDRs (about $2,000), up from the original 1,000 SDRs in 2003.The limit for destruction, loss, damage, or delay of cargo will rise from 22 SDRs to 26 SDRs per kilogram (about $35), an increase from 17 SDRs in 2003.ICAO has urged States Parties to the Montreal Convention to take the necessary legal steps to implement the revised limits by December 28, 2024, in accordance with their domestic legal requirements.Industry analysts emphasise the importance of compensation mechanisms in promoting fairness. Whether it’s time lost due to delays or compensation for lost or damaged baggage, passengers are provided a means of redress, encouraging airlines to handle personal belongings with greater care.Furthermore, compensation for death or injury reassures passengers that their safety and rights are prioritised, fostering confidence in air travel.This also strengthens airlines' commitment to passenger safety, incentivising adherence to rigorous safety standards. Overall, the significance of compensation lies in the protection it affords passengers and the accountability it imposes on airlines.It upholds fairness, aligns with international legal standards, and fosters trust while improving service in the aviation industry. Without such frameworks, passengers may face financial and emotional burdens from unforeseen incidents during air travel.Pratap John is Business Editor at Gulf Times. X handle: @PratapJohn

Retail customers in Qatar can now make use of the Qatar Central Bank’s ‘Fawran’ payment service through the National E-Commerce Gateway – ‘QPay’.According to the QCB, the instant payment service can be availed of “via mobile number or alias.”A key feature of ‘Fawran’ payment service for retail customers is that they don’t have to use bank cards for local online shopping.The service “ensures adherence to the highest security and protection standards in payment processing through Qatar Central Bank systems.”To accept customer payments, merchants in Qatar should register for Fawran service.Currently, Doha Bank is the participant in Fawran’ payment service through QPay.Fawran is considered one of the innovative and advanced services, in line with the third strategy for the financial sector in the country and in continuation of the QCB's efforts to develop the infrastructure of payment systems and keep pace with the latest developments in payment systems and electronic transfer of funds.Fawran was designed in accordance with a system based on the latest technologies and security standards, to maintain the security and confidentiality of the information created by the QCB to enable financial institutions to provide the service to their customers with complete reliability.One of the most prominent advantages provided by the instant payment service is enabling bank customers to send and receive money in the country immediately, and within moments. It will also be available round-the-clock without interruption.Earlier, the QCB noted that the launch of the Fawran is part of the projects it has undertaken to enhance the country's payment system.This initiative plays a significant role in strengthening the financial sector, providing diverse payment options for all segments of society, facilitating payment processes, and reducing reliance on cash, thereby lowering associated costs.

Real estate investors can find strong value in Qatar’s property market, as the government implements strategic measures to boost the sector, and prices become more attractive compared to international markets, says Joseph Abraham, Group CEO of Commercial Bank.“Qatar’s real estate prices, given the quality, location, and finishing standards, offer exceptional value. When compared to markets like Dubai, Saudi Arabia, and other global hubs, property prices in Qatar remain reasonable. This means investors are truly getting value for their money,” Abraham said in an interview with Gulf Times.Abraham noted that Qatar’s residential market has undergone a “significant correction” over the past six years.“There is more upside than downside. The outlook is more positive than negative, with the commercial segment also experiencing corrections. We anticipate the market to stabilise at current levels in the near term."Regarding residential properties, Abraham remarked, "The sector’s growth potential will be driven by demand. While there are currently active buyers in the market, the expected government initiatives will stimulate a substantial uptick in activity. The government is taking the right steps, and all the necessary elements are in place, giving me reason to be optimistic."He highlighted that Dubai, a neighbouring real estate hotspot, attracted approximately $100bn in real estate investments last year, following the issuance of 158,000 Golden Visas.Abraham dismissed concerns about a potential real estate bubble in Qatar, stating, "There is no bubble. A bubble is reflected in surging prices, demand exceeding supply and flipping of properties before completion. None of those factors are present in the Qatar real estate market. The market saw a surge in demand leading up to the FIFA World Cup Qatar 2022, particularly between 2013 and 2016. Since then, prices have adjusted significantly, eliminating any potential of a bubble."On the real estate exposure of local banks, Abraham said, "Qatar’s banking sector has around 16% exposure to real estate, which aligns with international standards. While the composition may differ — with individual mortgages being more prevalent internationally and commercial funding largely sourced from institutional investors such as pension funds and private equity — the overall exposure is consistent for the banking sector."On the potential impact of global interest rate trends, Abraham commented, "A decrease in interest rates, spurred by revisions from the US Federal Reserve (Fed), could serve as a catalyst for the real estate market. Lower rates would reduce debt service ratios, making home-ownership more accessible and attractive to a broader range of people."He further explained, "Monthly expenses are a key factor in consumers' decision-making process, especially for significant purchases. Interest rates directly influence these outflows, particularly in the early years of a mortgage. This makes interest rates a critical factor for the real estate sector, not just in Qatar, but globally."Speaking about Commercial Bank's mortgage portfolio, Abraham noted, "We were the first bank to collaborate with the UDC and promote Qatar’s real estate offerings to non-residents in some 10 key international markets including Singapore, Hong Kong, France, United Kingdom, India, Saudi Arabia and the UAE, encouraging foreign buyers to invest in Qatar property. Our mortgage solutions cater to non-residents, residents, and nationals, including young Qataris. We even offer green mortgages to support sustainable building initiatives, reflecting our commitment to a sustainable and diversified mortgage portfolio."When asked about customer response, Abraham acknowledged, "Building international market awareness of the attractiveness of the Qatar real estate market takes time, but we have already seen significant interest from both non-residents and long term residents. Educating the market, offering the right products, and effective marketing are all essential components of our strategy."

Qatar aims to attract over 6mn visitors by 2030 and raise the tourism industry’s contribution to national GDP from 7.0% to 12.0%, Alpen Capital has said in a recent report.To support this surge in tourism, the country has a "strong lineup" of hotel projects under construction. By the end of 2023, Qatar had over 36 projects underway, with 8,922 rooms under construction, Alpen Capital said in its report on ‘GCC Hospitality Industry’.According to the researcher, Qatar recorded 2.6mn international tourist arrivals in 2022, compared to 0.6mn in 2021. Qatar was the only country in the GCC to surpass pre-pandemic levels, achieving 119.8% of the 2019 arrival figures.This significant increase in arrivals was due to the major events that took place in 2022, such as the Lusail Super Cup, the Darb Lusail Festival, the Qatar Motor Cycle Grand Prix, and the FIFA World Cup 2022.Following the World Cup, Qatar Tourism launched a series of global marketing campaigns to promote tourism in the country. The ‘Feel More in Qatar’ campaign was launched in December 2022 with the aim of showcasing the country’s position as a tourist destination.As a result, Qatar witnessed a 58.4% growth in international tourist arrivals in 2023, reaching a five-year high of 4.1mn arrivals.In terms of occupancy rates, Alpen Capital noted that in Qatar, it remained stable at 57% (from 2020 – 2022). Although international tourist arrivals in the country surged over threefold to reach 2.6mn in 2022, the demand was met through the increased supply of hotels in anticipation of the FIFA World Cup 2022.Even after the tournament, Qatar continued to consistently attract tourists. However, it is expected to take some time for the surplus hotel supply to be absorbed by the rising demand for accommodation, the researcher noted.The increase in occupancy rates over the last three years and rising average daily rate (ADR) levels resulted in increased RevPAR across all the GCC nations.The average RevPAR in the GCC rose from $45.5 in 2020 to $97.2 in 2022, majorly driven by Qatar, Saudi Arabia, and the UAE.Qatar witnessed the most significant RevPAR increase, from $56.2 in 2020 to $116.5 in 2022. This growth was due to a substantial increase in the country’s ADR during the FIFA World Cup 2022, which overshadowed the minor decline in the occupancy rate.The report noted that the successful execution of EXPO 2020 in Dubai and the FIFA World Cup 2022 in Qatar has already solidified GCC’s presence on the global tourism map. Looking ahead, GCC countries will continue to host major events that attract international visitors, it said.

Civilian aircraft carry thousands of passengers every single day. Ensuring their safety is paramount, especially during conflicts where there are heightened risks of missile strikes, airspace closures, or targeted attacks.Protecting civil aviation safeguards innocent lives and prevents tragic losses.The aviation industry is a significant contributor to the global economy. Disruption to air travel will have severe economic repercussions, affecting trade, tourism, and employment. Airports, airlines, and related businesses suffer, impacting communities that rely on aviation for their livelihoods.In the wake of the Middle East crisis and ongoing war between Russia and Ukraine, the International Air Transport Association (IATA), recently reminded governments around the world of the importance of protecting civil aviation, including airport and air navigation infrastructure, during times of conflict.Civil aviation fulfils a purpose that transcends politics to ‘create and preserve friendship and understanding among the nations and peoples of the world’.The Chicago Convention, signed some 80 years ago as the Second World War raged, begins with those words.They are a timeless reminder of civil aviation’s essential and unique role in connecting people and delivering goods over vast distances. In the turbulent world of 2024, the truth of the Chicago Convention’s preamble rings loudly.“We all want to live in a world at peace. Sadly, today, that is far from reality for many people. That is why it is necessary to remind all involved in conflict of the need to ensure that flights are safe, and that critical airport and air navigation infrastructure is not targeted in any hostilities,” according to IATA.Civil aviation does not take sides in political conflicts. As an industry that requires the effective implementation of global standards to operate, aviation upholds global standards and the international rules-based order on which they rely.“As the name implies, civil aviation serves the civilian population. It must be kept out of harm’s way by all actors in a conflict. This is our firm belief,” IATA noted.More importantly, it is the unquestionable obligation of governments under international law.International conventions, such as the Chicago Convention on International Civil Aviation, emphasise the importance of protecting civil aviation and maintaining safe airspace. Violating these norms during conflicts undermines global stability and lead to legal and diplomatic consequences.During conflicts, managing airspace becomes all the more challenging, with increased military activities and potential threats to commercial aircraft. Protecting civil aviation requires coordinated efforts to ensure safe flight routes, timely information sharing, and compliance with international regulations.According to Willie Walsh, Director General, IATA, the Chicago Convention explicitly obliges states to protect civil aircraft and passengers in flight, refrain from the use of force against civil aircraft, and by corollary coordinate and communicate any activities potentially hazardous to civil aviation. These are essential to keep flying safe.“As the world works towards more peaceful days, aviation will support the effort by connecting people and goods. In the meantime, combatants must know and abide by the rules of conflict and humanitarian assistance as laid out in international law. To simplify: do no harm to civilian aircraft, airports or air navigation services. This is non-negotiable and must be respected, even at the height of hostility,” Walsh noted.Aviation connects people, nations, and economies. Disrupting civil aviation during conflict isolate regions, hinder evacuations, and cut off essential services.Even in conflict zones, civil aviation often plays a vital role in transporting humanitarian aid, medical supplies, and personnel. Therefore, disruption to air travel hamper these efforts, exacerbating the humanitarian crisis. Protecting civil aviation helps ensure that life-saving assistance reaches those in need.Maintaining civil aviation helps keep lines of communication and transport open, even in difficult circumstances.Ensuring the safety of civil aviation during conflicts is not only a legal obligation but a moral imperative to protect lives, uphold international norms, and maintain the functioning of global society.

A workshop hosted by the National Committee for Combating Money Laundering and Terrorism Financing, in co-operation with the Middle East and North Africa Financial Action Task Force (MENAFATF) in Doha on Sunday provided a comprehensive understanding of combating the financing of the proliferation of weapons of mass destruction, its mechanisms, and to help identify and assess the associated risks.The workshop was titled ‘Investigation and Prosecution in the Field of Countering the Financing of the Proliferation of Weapons of Mass Destruction’.The workshop also seeks to offer insights into the international legal framework governing proliferation financing, including relevant international organisational resolutions and recommendations from the Financial Action Task Force (FATF), which will enrich participants' practical experience.In his opening remarks at the workshop, Essa al-Hardan, Secretary of the National Committee for Combating Money Laundering and Terrorism Financing in Qatar and Head of the Technical Assistance and Typologies Working Group at MENAFATF, stressed that the proliferation of weapons of mass destruction posed a significant threat to global peace and security.He noted that the international community has focused on proliferation financing for nearly two decades, recognising the need to implement financial measures to prevent the spread of these weapons, based on UN Security Council Resolution 1540 of 2004.In 2008, the Financial Action Task Force addressed proliferation financing by adopting an application report that identifies and analyses the current threat of proliferation financing, as well as the methods used by those involved in proliferation and its facilitators.Since 2012, FATF has worked to enhance and refine its recommendations to provide countries with more effective tools to combat the financing of weapons of mass destruction. Regarding national responses, judicial authorities worldwide have varied in their handling of this issue, with many displaying deficiencies in the framework and implementation of counter-proliferation measures. For example, mutual evaluation reports have highlighted that the majority of jurisdictions do not specifically address proliferation financing separately from other financial crimes, such as terrorism financing or money laundering.Accordingly, al-Hardan affirmed that the workshop will assist participants from MENAFATF member states in taking actions and measures to meet the requirements of combating the financing of proliferation, enhancing investigative frameworks, supporting relevant authorities in fulfilling their duties, and establishing sound practices in this field.It will also help develop a broader understanding of FATF standards, relevant Security Council resolutions, and the importance of effective tracking and prosecution of proliferation financing crimes, in addition to emphasising the need for widespread and effective application of targeted financial sanctions.Experts from the United Nations Office on Drugs and Crime, the German Agency for International Co-operation, the Executive Office for Control and Non-Proliferation from the United Arab Emirates, as well as experts from the Technical Committee for Implementing Targeted Financial Sanctions, are participating in this workshop alongside MENAFATF observers.

Qatar’s non-energy sector will strengthen and estimated to grow by 2.4% this year, up from 1.1% in 2023, according to Oxford Economics.Growth in the non-energy sector improved at the end of last year, picking up to 1.7% year-on-year (y-o-y) in Q4-2023, from an average of 0.8% in the preceding three quarters.Performance was mixed across sectors at the end of last year, with positive trends in the wholesale and retail and hospitality-related sectors offset by drags spanning administrative and professional services, finance and insurance, and information and communications technology.The latest Purchasing Managers' Index (PMI) survey showed business conditions in Qatar have continued to improve, consistent with Oxford Economics’ 2024 non-energy sector growth projection of 2.4%.The August PMI rose to 53.1 (the third-highest reading this year), from 51.3 in July. Most of the subindices, including output and new orders, showed stronger growth in August, and expectations about future activity strengthened to the highest level in nearly 18 months. The employment index was a key contributor to the improvement in the headline index in August as it surged to a near-record high.Meanwhile, industry posted a sixth consecutive year-on-year decline in July, though downward pressure appears to be easing outside of plastics and cement production.According to Oxford Economics, tourism has provided a key support to non- energy activities and will remain a driver of future growth.Data show the number of foreign arrivals neared 3mn in the year to July, on track to meet the researcher’s forecast of 4.5mn overnight visitors this year.The launch of the pan-GCC visa should help extend the positive performance in 2025, it said.The researcher’s average inflation forecasts are unchanged at 0.9% this year and 1.8% for 2025. Headline inflation rose to 1.2% in August, from 0.2% in July, lifted primarily by higher communications and recreation and culture prices.Restaurant and hotel costs also rose at a faster pace, while clothing, housing, and utilities remained on a disinflationary path. Rising wage pressures and non-staff costs will push output prices higher in the months ahead, contributing to a rise in inflation into 2025, Oxford Economics noted.

The market for air travel remains hot as is evident from the load factor, which reached record high of 86.2% in August.All regions showed growth for international passenger markets in August compared to the same period last year.Ticket sales in May-July for travel in August-September showed a 6.6% year-on-year increase, which bodes well for further strong growth this year, according to IATA, the global trade body of airlines.Total demand, measured in revenue passenger kilometres (RPK), was up 8.6% in August compared to the same month in 2023.Total capacity, measured in available seat kilometres (ASK), was up 6.5% year-on-year. The August load factor was 86.2% (+1.6ppt compared to August 2023), a new record high.International demand rose 10.6% compared to August 2023. Capacity was up 10.1% year-on-year and the load factor rose to 85.7% (+0.4ppt compared to August 2023).Domestic demand rose 5.6% compared to August 2023. Capacity was up 1.2% year-on-year and the load factor was 86.9% (+3.6ppt compared to August 2023).The record load factor (the percentage of available seats that are filled) is definitely a positive news and good for airlines around the world.However, experts warn that the continued strong demand growth signals that the industry could be fast approaching an infrastructure capacity crunch that would restrict connectivity and choice for passengers and businesses.When airlines experience record-high passenger load factors several challenges arise despite the obvious financial benefits.Airport infrastructure, including terminals, runways, and gates, become congested when airlines operate at high load factors. This invariably causes bottlenecks during peak hours and reduce operational efficiency.More passengers mean more baggage, which puts a strain on the airport’s baggage handling system, potentially leading to delays and lost luggage incidents.Increased load factors have seen resulting in congested airports, both on the ground (check-in, security) and in the air (takeoff and landing slots), increasing the likelihood of delays.More passengers mean longer times for boarding, deplaning, and baggage handling, potentially delaying the turnaround time for flights.More passengers and full flights may lead to higher incidents of customer service complaints related to overbooking, delays, or dissatisfaction with the overall experience.Airlines frequently overbook flights, assuming some passengers won’t show up. With record-high load factors, there is a higher risk of overbooking and "bumping" passengers, which then leads to adverse publicity, compensation costs, and regulatory fines.Operating close to maximum capacity also raises issues with adhering to safety regulations and emergency procedures, as airlines and airports must ensure that services remain safe despite the high volume of passengers.IATA’s Director General Willie Walsh noted: “The market for air travel is hot and airlines are doing a great job at meeting the growing demand for travel. Efficiency gains have driven load factors to record highs while the 6.5% capacity increase demonstrates resilience in the face of persistent supply chain issues and infrastructure deficiencies.“Looking ahead, the continued strong demand growth signals that we could be fast approaching an infrastructure capacity crunch that would restrict connectivity and choice for passengers and businesses. If governments want to maximise the benefits of aviation, they must take bold decisions to ensure sufficient infrastructure capacity.”In the interim, both airports and air navigation service providers need to do more with the resources they currently have, Walsh suggested.“In particular, the variance in declared capacity of airports with broadly the same infrastructure needs to be resolved, with airports emulating the best performers. The industry cannot afford to under-utilise the airport infrastructure that we have,” said Walsh.Undoubtedly, airlines around the world must balance these challenges with maximising revenue during high load periods to maintain operational efficiency and customer satisfaction.

Commercial Bank, a leader in innovative digital banking solutions in Qatar, has officially launched its ‘For Everyone, Every Day, For Just QAR 1’ campaign across Qatar.The offer is valid until December 31.With this “first-of-its-kind” offer, Commercial Bank has once again set the standard with its latest customer-focused initiative: ‘For Everyone, Every Day, For Just QAR 1’ campaign.For a limited time, Commercial Bank cardholders can unlock an exciting new offer every day for just QR1, bringing unparalleled value and daily rewards straight to their fingertips.Addressing a media event at the Commercial Bank Plaza yesterday, Shahnawaz Rashid, executive general manager and head of Retail Banking at Commercial Bank said, “Guided by our unwavering commitment to delivering unmatched value and enhancing the everyday lifestyle of our customers, this campaign represents yet another milestone in our mission to introduce exclusive, first-of-their-kind offers in Qatar.“With Commercial Bank at the forefront of innovation, we are making it easier than ever for customers to enjoy a wide range of experiences across the city for a fraction of the cost, ensuring that extraordinary moments are always within reach.”Commenting on this initiative, Hussein al-Abdulla, executive general manager, Marketing and CB Real Estate, said, "Our customers have always been at the core of our vision, shaping every step we take. This campaign is more than just a promotion; it reflects our commitment to enriching the lives of our customers by delivering exceptional experiences that go far beyond traditional banking.“Whether through innovative services or exclusive opportunities, we strive to enhance their daily lives, reinforcing our promise to always put them first."Both Rashid and al-Abdulla and other Commercial Bank executives expressed optimism that the campaign would continue to be a huge success.“We have had excellent feedback from our partners and customers following the launch of the campaign,” Rashid said.Commercial Bank thanked its partners in this campaign: Rafeeq, Doha Quest, Powerhouse Gym, Mr. Valet, Papa John’s, Bo’s Coffee, and Tasty Tea.Senior executives of Commercial Bank partners in the campaign also attended the media event.

Global testing, inspection and certification firm Bureau Veritas is “deeply aligned” with Qatar National Vision 2030 and helps local businesses, organisations achieve compliance with international standards, according to its CEO Hinda Gharbi.“Bureau Veritas is deeply aligned with Qatar National Vision 2030 as we have our own integrated sustainability strategy that spans across all our business operations. Our expertise helps clients to address challenges related to safety, the environment, social responsibility, and product quality across multiple supply chains,” Gharbi said in a recent interview with Gulf Times.From resource selection to production, Bureau Veritas ensures sustainable practices at every stage, she said.“In Qatar, we work closely with clients in construction and infrastructure, providing guidance during development and refurbishment. We also support the implementation of internal sustainability measures within our clients’ work environment. As a result, we help these local businesses and organisations achieve compliance with international standards and local ambitions that promote environmental responsibility, sustainable development, and safety,” Gharbi noted.Recently, Bureau Veritas completed 40 years of presence in Qatar.With a history dating back to 1828, globally Bureau Veritas has become a trusted partner to many businesses and organisations, ensuring compliance, supporting sustainability, and assuring reliability worldwide.Bureau Veritas, she said, has utilised its deep understanding of global markets and tailored its offerings to meet the unique needs of each country.In Qatar, this has meant leveraging both local expertise and global best practice to deliver high-quality services across various sectors. The company's ability to adapt to Qatar’s dynamic economic landscape and its long-standing commitment to excellence have been key to its sustained success and consistency over the past 40 years.Over the past four decades, Bureau Veritas has contributed to the development of many of Qatar’s leading businesses and organisations, she noted.For example, the company supported Ooredoo in driving digital business growth through the renewal of "world-class" certifications. Bureau Veritas also certifies QNB Head Office for ISO 45001, contributing to enhance their safety management practices.Bureau Veritas also played a crucial role in helping Qatar Tourism attain ISO certifications, helping them to streamline the implementation of robust policies, procedures, and efficient processes, whilst increasing its environmental awareness – particularly when it comes to delivering sustainable events.On Bureau Veritas plans to enhance its role in Qatar’s critical infrastructure projects, especially as the country diversifies its economy and invests in sectors beyond oil and gas, Gharbi noted: “We plan to continue our support for Qatar’s critical infrastructure projects by providing end-to-end solutions that address both immediate and future challenges in developing and operating various assets. By delivering quality management, risk analysis, regulatory compliance, and sustainability assurance solutions, we are able to support projects and ensure they meet the highest standards of safety and efficiency as the country continues to diversify its economy beyond oil and gas.The GCC region offers unique opportunities for a global company like Bureau Veritas due to its rapid economic growth, diversification efforts, and significant investments in infrastructure and technology. The region’s focus on large-scale projects, such as smart cities and sustainable development, aligns well with the company’s expertise in testing, inspection, and certification.Additionally, the GCC’s commitment to regulatory compliance and international standards presents a valuable opportunity for us to provide tailored solutions that support the region’s ambitious goals.Gharbi has had an impressive career in the energy sector before transitioning to Bureau Veritas.“At Schlumberger, I gained valuable experience in managing large-scale operations and leading technology development, which has equipped me with a deep understanding of the complexities and demands of the energy sector. This background, along with years of collaborating with diverse experts, has shaped my informed and inclusive approach which values diverse perspectives and insights.“Additionally, my experience in cross-functional roles, including human resources and health, safety, and environment, allows me, together with the executive team, to drive initiatives that ensure our services not only meet but exceed industry standards, aligning with Qatar’s growth and sustainability goals. Today, we are fully dedicated and equipped to support Qatar’s ambitious advancements in the energy sector.”

The Qatar Central Bank (QCB) has expanded ‘Fawran’, providing corporate customers in the country to avail of benefits of the instant payment service.To avail of ‘Fawran’, corporates should register in the service using identifiers such as establishment ID, commercial registration and commercial license, the QCB said on Wednesday."Upon successful registration, corporates in the country will be able to send or receive fund transfers, instantly using their registered identifiers," QCB noted.According to the QCB, the participating banks are QIIB, Commercial Bank, Masraf Al Rayan, Doha Bank, Dukhan Bank and Ahli Bank.Fawran is considered one of the innovative and advanced services, in line with the third strategy for the financial sector in the country and in continuation of the QCB's efforts to develop the infrastructure of payment systems and keep pace with the latest developments in payment systems and electronic transfer of funds.Fawran was designed in accordance with a system based on the latest technologies and security standards, to maintain the security and confidentiality of the information created by the QCB to enable financial institutions to provide the service to their customers with complete reliability.One of the most prominent advantages provided by the instant payment service is enabling bank customers to send and receive money in the country immediately, and within moments. It will also be available round-the-clock without interruption.Earlier, the QCB noted that the launch of the Fawran is part of the projects it has undertaken to enhance the country's payment system.This initiative plays a significant role in strengthening the financial sector, providing diverse payment options for all segments of society, facilitating payment processes, and reducing reliance on cash, thereby lowering associated costs.

An escalation of war in the Middle East is very likely to cause a dramatic rise in oil prices and lead to spiralling jet fuel bill for airlines around the world.The ongoing crisis has already injected volatility into global energy markets, raising concerns about the potential impact on fuel prices.Industry experts point to the possibility of major disruptions in oil production and transportation, particularly in critical regions like the Strait of Hormuz, a vital channel for global oil shipments.As fuel accounts for approximately 30% of airline operating costs, this issue has prompted airlines to intensify their efforts to improve efficiency and mitigate financial risks.Efficiency improvements can come in various forms, such as modernising fleets with newer, more fuel-efficient aircraft, optimising operations, and urging governments to eliminate airspace and airport inefficiencies, which contribute to around 5% of fuel wastage annually.A marginal increase in crude oil prices can significantly affect airline profitability, as fuel costs have historically accounted for 14% to 31% of operational expenses over the past decade.In response to the volatile nature of fuel prices, airlines employ fuel hedging strategies, locking in fuel prices at favourable rates to shield themselves from sudden price spikes. They also focus on operational efficiency and fleet modernisation to reduce consumption.Other strategies include flexible ticket pricing, schedule adjustments, and capacity management, all aimed at maintaining operational and financial stability in uncertain fuel markets.But according to IATA, the global production of sustainable aviation fuel (SAF) is only about 100mn litres a year, or 0.1% of all aviation fuel used.Various airlines have, however, committed to bringing this figure to 10% by 2030, a truly ambitious goal.Airlines employ various strategies to manage the financial impact of fluctuating fuel prices.Fuel hedging is a key tactic, allowing airlines to lock in fuel prices at favourable rates and shield themselves from sudden price spikes.Additionally, airlines focus on operational efficiency improvements and fleet modernisation to reduce fuel consumption and lower costs.Other strategies include adjusting ticket prices, flexible scheduling, and capacity management.By implementing these measures, airlines aim to maintain operational stability and financial health despite volatile fuel markets.Global body of airlines - IATA forecasts that the average cost of jet fuel in 2024 will be roughly $2.7095/gallon, up from the $2.6643/gallon average forecasted for 2023.Meanwhile, oil futures jumped by almost 5% on Tuesday following reports that Iran had fired missiles at Israel. This escalation in Middle East tensions has sparked worries about possible disruptions to the global oil supply.The growing conflict increases uncertainty in an already unstable energy market, where concerns about supply shortages often result in rapid price increases.According to reports from Forbes, West Texas Intermediate (WTI) crude for November delivery rose by 4.7% to $71.31 per barrel, marking its largest one-day percentage increase since October 2023.Brent crude for December delivery rose by 4.2%, reaching $74.71 per barrel.This surge shows increasing concern among market players about the future of oil supplies from a region that contains some of the world's biggest reserves.Lower oil prices are certainly good for economic growth. Lower prices will also help curtail inflation and arguably allow central banks to loosen monetary policy further.Such expectations are already contributing to weakening the US dollar to a 2024 low, which lends further support to growth in most of the global economy. Airlines will benefit on the demand side as GDP underpins air travel.Moreover, as fuel represents around 30% of airlines’ costs, lower oil prices will shore up profits and might help expand the currently estimated slim 3% net profit margin for the industry in 2024, according to trade body IATA.What the impact of the lower oil price will be on the relative appeal of investing in SAF production is hard to say. However, with the near 20% net margins in oil and gas production, chances are that SAF investments still need some essential policy support.As the Middle East crisis unfolds, the aviation industry faces the dual challenge of managing rising fuel costs while navigating a complex path toward sustainability.

The Qatar banking sector’s total assets reached QR2tn for the first time in August, driven by domestic assets, QNB Financial Services said in its ‘Qatar Monthly Key Banking Indicators’.According to QNBFS, total assets of banks increased by 0.7% during August to reach QR2.002tn. The total rise in August was mainly due to a gain by 1% in domestic assets.Total assets were up by 1.7% in 2024, compared to a growth of 3.4% in 2023. Assets grew by an average 6.8% over the past five years (2019-2023)Liquid assets to total assets edged down to 29.7% in August this year, compared to 29.9% in July, QNBFS noted.Deposits with banks were higher by 0.3% during August to reach QR1,035.2bn. The deposits rise was mainly due to an increase by 1.9% in public sector deposits.Deposits increased 5% in 2024, compared to a decline by 1.3% in 2023. Deposits grew by an average 4.1% over the past five years (2019-2023), QNBFS said.In terms of credit facilities extended by commercial banks, QNBFS said loans went up by 0.5% during August to reach QR1,342.9bn.The loans gain in August was mainly due to a rise by 0.4% in the private sector and 0.5% in the public sector. Loans moved up by 4.3% in 2024, compared to a growth of 2.5% in 2023. Loans grew by an average 6.5% over the past five years (2019-2023).Loan provisions to gross loans stood at 4%, both in July and August this year, according to QNBFS.The Loans to deposits ratio went up to 129.7% in August. Loans went up by 0.5% in August to reach QR1,342.9bn, while deposits moved up 0.3% that month to reach QR1,035.2bn.The overall loan book was higher by 0.5% in August, driven mainly by private sector loans. Total private sector loans increased by 0.4% m-o-m (+2.8% in 2024) during August.The real estate sector continued to be the main driver for the private sector loans in August 2024. The segment (contributes 21% to private sector loans) rose by 2.1% m-o-m (+8.5% in 2024), while consumption and others (contributes 20% to private sector loans) moved up by 0.7% m-o-m (-2.6% in 2024).However, general trade (contributes 21% to private sector loans) edged down by 0.2% m-o-m (+3.3% in 2024) and services (contributes 32% to private sector loans) was marginally down m-o-m (+3.6% in 2024) in August.Total public sector loans gained 0.5% m-o-m (+6.3% in 2024) in August. The government segment (represents 29% of public sector loans) was the main driver for the public sector with an increase of 1.7% m-o-m (+7.7% in 2024), while the semi-government institutions segment went up by 2.6% m-o-m (-6.1% in 2024).However, the government institutions’ segment (represents 65% of public sector loans) edged slightly lower by 0.1% m-o-m (+6.9% in 2024) in August, QNBFS said.Outside Qatar loans increased by 1% m-o-m (+13.6% in 2024) in August.Public sector deposits moved up by 1.9% m-o-m (+8.9% in 2024) in August.Looking at segment details, the government segment (represents 34% of public sector deposits) shot up by 7.1% m-o-m (+31.1% in 2024), while the government institutions’ segment (represents 55% of public sector deposits) went up by 1% m-o-m (+6.5% in 2024).However, the semi-government institutions’ segment dropped by 7.8% m-o-m (-23% in 2024) in August.Private sector deposits was marginally lower by 0.1% m-o-m (+0.5% in 2024) in August.On the private sector front, the companies and institutions’ declined by 0.4% m-o-m (-5.9% in 2024). However, the consumer segment edged up by 0.2% m-o-m (+6.1% in 2024).Non-resident deposits declined by 2.1% m-o-m (+9.1% in 2024) during August, the report said.An Analyst told Gulf Times: “The key highlight for the month of August is the increase in total assets by 0.7%, reaching the QR2tn mark for the first time, as domestic assets drove the monthly rise. The 0.5% increase in the overall loan book came from a continued rapid increase by 2.1% from the real estate segment in the private sector and a 1.7% gain in the government segment from the public sector.“Overall deposits were driven mainly by the surge in government deposits, which increased by 7.1% in August and showed a jump by 31.1% for the year 2024.”

Qatar Central Bank (QCB) has urged general public to safeguard passwords for their online transactions and not to share one-time password (OTP) with anyone.In an advisory Sunday, QCB urged public to use OTP to enhance security of their online transactions.“OTP, QCB said is a security code that is used only once to verify the user’s identity. It is randomly generated and only valid for a short period of time or for a single login.“OTPs help protect accounts from unauthorised access, even when passwords are compromised, by being sent in different ways.”These ways, QCB noted, are text messages (SMS), special authentication applications and emails.On ways to protect the OTP, Qatar Central Bank noted, “Be cautious and do not share your OTP with anyone. Public should ensure that all applications and programs used to generate or receive OTPs are up to date. Change your password immediately if you notice any unusual activity in accounts that use OTPs. Enhance the security of your online transactions with one-time passwords.”Meanwhile, in line with Qatar's efforts to enhance awareness of cybersecurity risks and its vision towards building a cyber-resilient society, Qatar Central Bank has already launched a large-scale national campaign to raise awareness of information security under the slogan “Stay Aware" in cooperation with the Ministry of Interior, National Cybersecurity Agency, and Qatar Financial Center Regulatory Authority.The campaign aims to build an information security culture within the society that can face challenges that accompany the accelerating technological revolution.Mainly, the campaign seeks to spread awareness amongst the public on the importance of data privacy and dangers of financial fraud, highlighting cyber threats that may arise in light of the rapid technological and digital development.By identifying emerging and critical risks in the digital landscape, the campaign identifies the main channels of cyber fraud, which include phone calls, social media, emails, SMS messages and URL links. The campaign also provides the public with best practices and practical strategies to avoid falling victim to such threats.Qatar Central Bank, along its partners in this campaign, emphasise the vital role of the ongoing awareness efforts in building a safer electronic society capable of responding to such threats.As such, the campaign aims to empower and protect individuals and institutions, establish a culture of electronic vigilance, and protect citizens from ever changing cyber threats.Ends