Business

There can be a fine line between a user-friendly provider of credit and loan sharks. As ‘buy now, pay later’ apps proliferate, regulators have a crucial role to get the balance rightBuy now, pay later (BNPL) apps, which make it easy to make large purchases, free of interest if you make repayments on time, have been dubbed ‘buy now, pain later’, given the ease of use and lack of restrictions on an individual using multiple BNPL services and getting into debt.Is the concern overblown, and do BNPL services help with financial inclusion? Findings are surprisingly mixed.The concept behind the modern apps is not new. For many decades it has been possible to take out an interest-free loan for large purchases – in furniture retail, for example. What digital technology offers is ease and swiftness of transaction. Regulators are concerned that the frictionless nature of the exchanges, and the freedom to borrow from multiple providers, risk serious indebtedness for financially vulnerable citizens.With a BNPL service, typically you put down 25% of a purchase immediately, with three remaining 25% tranches due at monthly intervals – free of interest if you make the payments punctually, but with fees if you do not. The provider makes money from merchant commissions as well as late-payment fees.The US is the most mature market for BNPL services. The BNPL market grew tenfold between 2019 and 2021, accelerated by the Covid-19 pandemic, to $24.2bn from just $2bn.There isn’t a provider in Qatar, but Tabby is a provider focused on the Gulf region, which has reached ‘unicorn’ status with a valuation of over $1bn. Others are Tamara and Postpay.Should regulators be concerned about the impact of BNPL? Data on use and delinquency reveal a complex picture. In 2022 a report by the Consumer Financial Protection Bureau, indicated that a large majority of borrowers do not default, but also that the rate of default was increasing – from 7.8% of borrowers charged at least one late fee, to 10.5% in the period 2020-2021.Klarna, one of the biggest providers of BNPL services, reported a credit loss rate of 0.41% in 2023, this compares with the national (for USA) credit card delinquency rate of 2.58%. This indicates that an established provider such as Klarna uses an established risk management framework, and has checks in place to prevent individuals becoming over-extended.A Federal survey found that high-income households were the single biggest category of users of BNPL services, and confirmed that the largest providers, such as Klarna and Afterpay, have robust lending standards and low default rates. Such providers argue that their products offer cheaper alternatives to credit cards and bank loans, and are therefore fairer for low-income consumers.While provision has been dominated by fintechs, more established firms including Apple and American Express are moving into the market.Another survey by the consumer Financial Protection Bureau, however, found that users of BNPL were more likely to use other credit products such as credit cards, personal loans and student loans, and exhibit symptoms of financial distress. A study by the Bank for International Settlements found that the overall credit delinquency rate in the US for BNPL users was 18%, more than twice the rate of non-BNPL users (7%).Unaffordable levels of debt can have lifelong effects, including on credit rating, ability to secure a mortgage to buy a house, and so on.So while the vast majority of BNPL users do not end up in problematic debt, the small minority who do may build up significant levels of debt spread across multiple platforms, including traditional providers of credit.Younger adults are heavy users of BNPL, and the most common purchases are furniture, electronics and apparel. BNPL services can be positive for financial inclusion as you do not need to have a bank account or take out a credit card. Retailers are attracted to BNPL for this reason, and because ease of use can boost sales, and also because use of the service can reduce what is known as ‘cart abandonment’, when shoppers fill up an online basket but abandon before payment, something that is more common if you have to complete credit card details.Regulators need to ensure that retailers do not pass on the cost of their commissions to the BNPL provider to customers, as this could affect the inflation rate.These findings indicate that there are diverse demographic and economic segments within the customer base of BNPL providers, and that regulators need to look at the picture as a whole, not just individual providers.The author is a Qatari banker, with many years of experience in the banking sector in senior positions.

Qatar has taken the lead role in filling ‘significant proportion’ of Asia’s growing need for imported gas over the next decades, International Gas Union (IGU) has said in a recent report.In the Middle East, increased natural gas use has supported oil exports and met growth in power demand. Now, Qatar, the UAE and Saudi Arabia among others, are repositioning natural gas to meet the energy and decarbonisation goals of coal-dependent Asia even as they boost intra-regional gas trade, IGU noted in the latest issue of its ‘Global Voice of Gas’.Just as the move from oil to gas made more oil available for export, the shift from gas to lower carbon generation sources should support the export of gas, primarily as liquefied natural gas (LNG), it said.“A large part of this LNG will end up in Asia, where it can displace both oil in transport and coal in power and heat provision,” IGU said.Alongside Qatar’s much larger expansion of its LNG export capacities (at the North Field), the Middle East’s LNG producers will likely fill a significant proportion of Asia’s growing need for imported gas over the next decades, IGU said.Together with the accelerated growth of renewables, this could eventually turn the tide on the 135.7 exajoules of coal consumed in Asia in 2023.Asia’s gas demand is forecast to rise 78% by 2050 to reach 1,590bn m3, according to the Gas Exporting Countries Forum, equating to a 16% share of the region’s energy mix, compared with 11% in 2022.This will be driven by a combination of electrification and coal-to-gas switching. Although Asian gas production will increase, it will not do so fast enough to keep pace with demand.The GECF estimates that gas exports to Asia will, by 2050, exceed 50% of the region’s total consumption.“If gas is not available, Asia’s retreat from dependency on coal will be slower,” IGU noted.A significant proportion of Asian gas demand can be met by Middle Eastern countries. While Qatar has taken the lead with its giant North Field expansion, other countries also recognise the potential, it said.Energy analyst Ross McCracken noted, “If there is one stand out trend across the Middle East over the last decade, it is the increase in domestic gas use, primarily for power generation. Intra-regional gas trade has also grown, with LNG imports and exports providing flexibility amid a still limited set of regional pipelines.“This has provided energy security for those countries unable to meet rising gas demand from their own resources.”Gas inputs for electricity in the Middle East jumped from 567TWh in 2013 to 1,028TWh in 2023, while oil use for power dropped by about 19%. Prior to that, oil use in power generation was on a strong upward trajectory, with 2013 marking the high point.Middle Eastern electricity consumption has risen at a rate of 3.8% annually over the last decade, second only to Asia, and substantially higher than the world average of 2.5% a year.While absolute emissions have increased, as economies have grown, more gas use and a growing share of non-fossil fuel alternatives have reduced the overall carbon intensity per kWh generated.

The Arab Women Investors Union has announced the appointment of Qatar Chamber board member Ibtihaj al-Ahmadani as a member of the union’s Board of Trustees and a consultant to its Supreme Trade Committee.The announcement was made during the Arab-African Investment and International Co-operation Summit, held under the theme ‘Economic Links, Tourism, Industry, Agriculture, and Comprehensive Sustainable Development’.The five-day summit, organised by the Arab Women Investors Union in Egypt, brought together delegations from 35 Arab and African countries and featured an elite group of business leaders, investors, and representatives from civil society organisations, associations, unions, and business councils.At the summit, al-Ahmadani, who is also the president of the Qatari Businesswomen Forum, underscored the importance of strengthening trade relations between Arab and African countries to expand investment ties. She highlighted the need to identify and develop areas of strength and excellence to bolster economic growth.During a session focused on investment and inter-trade, al-Ahmadani emphasised that empowering women and supporting productive families are key strategies for driving sustainable economic growth. She noted that equipping women with the tools for success, fostering a supportive environment, and providing necessary resources can lead to significant economic advancements.Al-Ahmadani also urged governments and civil society organisations to create an ecosystem that encourages innovation and supports small, medium, and micro enterprises. She stressed the importance of women and men working together to build a robust and sustainable knowledge-based economy.

The 14th edition of the Qatar Process Safety Symposium (QPSS), co-sponsored by QatarEnergy LNG and ConocoPhillips Qatar in collaboration with University of Doha for Science and Technology (UDST), successfully concluded recently.QPSS remains a key fixture in the global energy calendar, uniting industry leaders to discuss the future of process safety. This year’s event reinforced the importance of personalising process safety, ensuring that the well-being of individuals is prioritised across energy operations.In his opening remarks, Sheikh Khalid bin Khalifa al-Thani, Chief Executive Officer of QatarEnergy LNG, stated: “This year we gather under the theme ‘Making Process Safety Personal’.“Process safety is not just a set of protocols or guidelines but a shared responsibility that begins with each one of us. I encourage each of you to reflect on your own experience and the role you play in ensuring a safe workplace.”He reaffirmed QatarEnergy LNG’s commitment to continuously improving safety standards through the company’s direction statement, daily operations, and long-term strategies.“Each story, each lesson learned and each commitment to process safety contributes to a collective effort that makes a profound impact on our industry,” he added.The event also saw Bill Arnold, President, ConocoPhillips Qatar, deliver a keynote address. He discussed the critical role of leadership in driving process safety and highlighted the strength of ConocoPhillips Qatar’s partnership with QatarEnergy LNG in advancing safety initiatives.“Our collaboration at QPSS underscores the importance of maintaining the highest safety standards in the energy industry. By making safety personal, we ensure every worker knows their well-being is our top priority, fostering a culture of genuine care and accountability at every organisational level,” said Arnold.The event featured 24 technical presentations, covering topics such as process safety management and culture, risk management, human factors, asset integrity, digitalisation, and advanced safety technologies.Khalifa Ahmed al-Sulaiti, Chief Health, Safety, Environment, and Quality Officer at QatarEnergy LNG, played a leading role in shaping the event’s agenda, focusing on the company’s strategic approach to safety.Al-Sulaiti has overseen the implementation of several programmes aimed at embedding process safety consciousness into every aspect of organisation.Further adding to the theme, Sheikh Khalid Abdulla al-Thani, Chief Engineering and Projects Officer at QatarEnergy LNG, stressed that process safety should be measured by the integrity of barriers, not just the absence of incidents.He highlighted risks from ageing infrastructure to the complexity of expanding operations, warning against siloed risk management.Notable international contributions came from Shakeel Kadri, Executive Director and CEO of the Centre for Chemical Process Safety (CCPS) and Michael Hatfield, Chief Technology Officer and Senior Vice-President of Global Technical Functions at ConocoPhillips.In addition, the symposium included the presentation of the QPSS Excellence Award to Dr Luc Vechot, Associate Professor and Managing Director of the Mary Kay O’Connor Process Safety Centre in Qatar.As part of QPSS’s commitment to promoting collaboration between academia and industry, students from UDST presented their research on the latest advancements in the field, underscoring the role of education in developing future safety leaders.Dr Salem Al-Naemi, President of UDST, highlighted the importance of partnerships between industry and academia in driving safety innovation. He explained that the collaboration between UDST and industry leaders serves as a cornerstone in advancing process safety that creates an environment where students can apply their knowledge alongside industry experts.He added that industry partnerships are enhancing educational outcomes to equip future leaders with necessary skills and knowledge, preparing them to tackle safety challenges head-on.As the 2024 symposium ended, organisers expressed their commitment to building on this year’s success. Looking ahead, they plan to continue exploring emerging challenges and innovations in process safety, ensuring the event remains at the forefront of the industry.

Lebanon’s foreign-exchange reserves dropped for the first time in more than a year as the central bank spent dollars to prop up the pound after weeks of war.Banque du Liban’s reserves fell by more than $400mn in October, the first decline since July 2023, according to central bank data. Total liquid reserves now stand at about $10.3bn, excluding the $5bn in eurobonds on which the Lebanese state defaulted.Israel launched a ground invasion of southern Lebanon in September, seeking to degrade Hezbollah that had been firing rockets and drones into Israel for the more than a year. That, combined with sustained air strikes across much of Lebanon, had cost the economy $20bn by late October, Economy Minister Amin Salam told Bloomberg at the time.Prior to the ground war, Lebanon had managed to keep expanding its reserves and inflation in check, in part thanks to the extensive Lebanese diaspora returning home for the summer. The central bank had also generated an additional $1.7bn of reserves through foreign exchange transactions, according to a central bank official, who asked not to be identified because of the sensitivity of the matter.The draw-down of reserves marks a reversal from when Wassim Mansouri became acting central bank governor in July 2023. He stopped the central bank financing the government and moved instead to dollarise the economy. That helped stabilise the pound at about 89,500 to a dollar.About 1.2mn people have been displaced in Lebanon in the past two months and more than 2,000 killed. Hezbollah started firing on Israel in support of Hamas amid the war in Gaza.Lebanon’s economy was in crisis even before the current conflict began. The pound crashed and the government defaulted on about $30bn of Eurobonds in 2020. Many lost their life savings, inflation hit triple digits and the economy shrank by 30%. The UN has warned that Lebanon’s economy could contract by as much as 9.2% by the end of the year if the fighting continues.“The fear is for the central bank to keep using the reserves, especially if the war goes on longer,” said Marwan Barakat, group chief economist at Lebanon’s Bank Audi.

Nvidia Corp's results in the coming week could guide the US stock market on its next path, as investors turn their focus to the technology sector and artificial intelligence trade after an election-fuelled rally stalled.A nearly 800% run in shares of Nvidia over the past two years, driven by its gold standard AI business, has propelled the semiconductor company to the world's top spot by market value.That heft gives Nvidia huge sway in market benchmarks, such as the S&P 500 and Nasdaq 100, while its results on November 20 will also be a gauge for the market's appetite for tech stocks, the AI trade and sentiment for equities broadly, investors said.The benchmark S&P 500 has pulled back from record highs following the Nov. 5 US election that gave Donald Trump a second term as president and his fellow Republicans control of Congress.Markets are "looking for direction right now," said Garrett Melson, portfolio strategist at Natixis Investment Managers. "If those results are pretty strong, that tells you that there's still momentum behind that investment and that trade and I think that helps to broaden out risk appetite." Nvidia's dominant AI position has catapulted its share price and led to an astonishing financial performance. For its fiscal third quarter, the company is expected to post net income of $18.4bn as revenue jumped over 80% to $33bn, according to LSEG data.However, after soaring past analysts' earnings estimates last year, Nvidia's surprises have become more modest, with earnings beating by 6% in its most recently reported quarter, LSEG data showed."It's getting harder to hurdle those expectations," said Mark Luschini, chief investment strategist at Janney Montgomery Scott.Nvidia's results cap a mixed third-quarter earnings season for US companies. S&P 500 earnings are on pace to have risen 8.8% from a year earlier, with 76% of companies beating estimates compared to an average of 79% in the past four quarters, according to LSEG IBES data.As in recent quarters, results from Nvidia and a small group of other megacap tech and related companies are carrying the load. Those so-called Magnificent 7 companies, which also include Apple and Microsoft, are expected to have increased earnings by 30% in the third quarter compared to 4.3% for the other 493 companies in the index, said Tajinder Dhillon, senior research analyst at LSEG."It's really the Mag 7 led by Nvidia that's done the heavy lifting to address the kind of earnings growth that has supported the advance we've seen in stock prices," Luschini said.Nvidia's results may also be crucial to support the broader market's lofty valuation, with the S&P 500's forward price-to-earnings ratio above 22 times and near its highest level in more than three years, according to LSEG Datastream.The benchmark index is up 23% this year. Trump's victory initially sparked broad stock gains on optimism about his agenda of lower taxes and deregulation.But stocks have pulled back this week as markets continue to digest the implications from the election.Investors will keep focus on Trump's transition plans, including his picks for key cabinet roles, after some of his initial appointees drove weakness in areas of the market such as pharmaceutical and defence shares.Stocks also fell after Federal Reserve Chair Jerome Powell said on Thursday that the central bank does not need to rush to lower interest rates, which will keep monetary policy at the forefront for markets in coming weeks."Given that the stock market has become so expensive, the fact that the Fed is signalling that they're not going to be as accommodative as they had indicated before the election... will create at least some headwinds in the days and weeks ahead," Matthew Maley, chief market strategist at Miller Tabak, said in a note on Friday.

Iran has the world’s second-biggest reserves of natural gas, but that’s still not enough for the country to keep the lights on this winter.The Gulf nation is facing wide-reaching power outages — including scheduled blackouts across Tehran and other major cities in recent days — as US sanctions restrict investment.It’s the latest example of Iran’s economic struggles as it tries to balance its domestic energy needs. The sanctions have hit Iran’s energy sector hard for years, leaving vast gas fields underdeveloped, power lines in dire need of upgrades, and industries battered by interruptions to electricity.Natural gas is critical to fuelling Iran’s power stations, heavy industry and chemical facilities. With reserves of the fuel second only to Russia, it supplies households in a country of 90mn whose consumption of gas and electricity has hit successive records for the past decade. That’s driven a 58% increase in gas production in the decade to 2022, according to the US Energy Information Administration.One example of how the sector has struggled is Iran’s ability to build its own gas compression platforms, without which production levels at gas fields like South Pars drop significantly. According to Iranian state media, the giant South Pars alone needs 20 gas compressor platforms requiring $20bn of investment. The country doesn’t have the technology or expertise to produce them and can’t import the required components because of sanctions.At the same time President Masoud Pezeshkian has urged his officials to “mobilise” all their efforts to help develop clean energy in order to avoid power outages in the long term.The re-election of Donald Trump brings greater focus to Iran’s fossil-fuels industry and also the possibility that he revives his so-called maximum pressure strategy on Iran by squeezing the country’s energy sector. That could spell more bad news for the country by continuing to keep out foreign investment and by cutting into oil revenues.Since Trump’s last term, Iran’s oil output has surged back to near capacity, bringing billions of dollars more into the economy. While the administration of Joe Biden prioritised maintaining global supply and targeting lower crude prices in the face of sanctions on Russia, Trump could target Chinese purchases of Iranian oil to squeeze the country’s income even further, according to analysts.Iran is preparing the “necessary measures” to counter any additional pressure from the US on its energy industry, Oil Minister Mohsen Paknejad said on Tuesday, according to the state-run Shana news agency.“Plans have been made to ensure the stability of Iran’s oil production and exports,” he was cited as saying.The country is also holding preliminary talks to import gas from Turkmenistan this winter, Paknejad said, according to a report from the semi-official Iranian Students’ News Agency. Iran imports gas to serve some parts of the country with better connections to the gas grids of its neighbours than its own.

Elon Musk's political ascendancy has some Wall Street banks hoping they may soon be able to offload $13bn of debt that backed the billionaire's purchase of the social media platform X, three banking sources said.Some of the lenders in the consortium, which included Morgan Stanley and Bank of America, think Musk's emergence as a close aide to Republican President-elect Donald Trump could boost the prospects of X, previously known as Twitter, the sources said. If that were to happen, it would allow them to sell the debt without having to take a massive loss on the deal, the sources said.Musk, X, Morgan Stanley and Bank of America did not immediately respond to a request for comment.Banks typically sell such loans to investors soon after the deal is done, but in the case of X, which Musk bought for $44bn in 2022, they have been stuck holding the debt. Musk's sweeping changes to the platform, including laying off many people who worked to moderate content, and one of his posts on X, scared away advertisers and hit revenues. That reduced the value of the debt, as the risk of default increased.In recent months, one of the sources said, some banks expected X had seen increased traffic as users flocked to the platform around big events like the US elections. Trump, whose account on the platform was restored by Musk after the previous management banned him in January 2021, has been regularly posting on it.The banking sources said they wanted to see whether that and a robust US economy would translate to increased revenues for the platform.Analysts have said Musk's ties with Trump — who put him in charge of a new government department on efficiency — could benefit the entrepreneur's various business ventures, which range from Tesla electric vehicles to SpaceX rockets. Tesla's market value surpassed $1tn for the first time in two years in the days after the election results.The Trump campaign did not immediately respond to a request for comment.It is unclear to what extent Musk's close connection in the new administration could help revive X's business. One of the sources said it could also further divide its user base. Newer platforms like Bluesky and Meta's Threads have been benefiting from a user exodus from X since the election.US web traffic on X reached its highest point this year on election day with 42.3mn visits, which climbed another 10% to 46.5mn visits the day after the election, according to data from web analytics company Similarweb. But by the weekend, X's web traffic tapered off to more normal levels, Similarweb said. The data firm said 115,000 web users in the US deactivated their X account on Nov 6, higher than any other day since Musk took over the platform.The social media company is expected to report its latest finances to the lending consortium in the weeks after the quarter ends next month, the sources said. The banks could then decide whether they should continue holding onto the debt or look to engage investors on it, the sources said.Other banks in the consortium include Barclays, Mitsubishi UFJ, BNP Paribas, Mizuho and Societe Generale.BNP, SocGen, and Barclays declined to comment. The other banks did not immediately respond to a request for comment.Sources have said banks have marked down the value of the debt to different degrees on their books, depending on their outlook on it.One of the lenders is marking potential losses on the loan weekly, and had already set aside reserves to fully cover them, according to a source familiar with the situation.Attempts to sell the debt in late 2022 attracted bids which would have seen banks taking as much as a 20% loss on the face value of the debt, sources at the time said.Instead of crystallising those losses, banks have been holding on to the paper, the sources said. X has kept up with interest payments on the bonds, they said.

Qatar Islamic Bank (QIB), Qatar’s leading digital bank, has collaborated with Aman Hospital to organize an awareness initiative for its employees on the occasion of World Diabetes Day.Throughout the day, Aman Hospital staff conducted blood glucose and blood pressure screenings, as well as Body Mass Index (BMI) assessments to provide a well-rounded health profile to each employee. Additionally, hospital’s dietitians engaged with the employees in one-on-one consultations, offering personalized advices on managing diabetes risks, balanced diets, and lifestyle adjustments.In addition, QIB utilized its social media platforms to initiate a series of engaging stories to educate the community about diabetes and highlight the importance of adopting healthy lifestyle practices.Mashaal Abdulaziz Al Derham, Assistant General Manager, Head of Corporate Communications & Quality Assurance at QIB, said: “We are committed to supporting our employees by fostering health awareness and encouraging a proactive approach to well-being. With diabetes posing a significant health challenge, we feel a responsibility to champion programs that promote prevention and elevate public health. We would like to thank Aman Hospital for their valuable collaboration and their efforts in advancing impactful health initiatives.”This initiative is a testament to QIB’s CSR strategy aligned with Qatar’s National Vision (QNV) 2030, recognizing the importance of healthcare provision and the improvement of the overall health of the population.

Global oil market apprehensions and concerns on the key US economic data had their reflection in the Qatar Stock Exchange (QSE), which saw its key index plummet 113 points and capitalisation erode QR7.57bn as three-fourth of traded constituents were in the red this week.The foreign funds were seen net profit takers as the 20-stock Qatar Index knocked off 1.07% this week which saw QSE showcase listed companies in New York and said foreign institutional investors are increasingly looking at it with them typically accounting for 30-40% of average daily turnover in the recent past.The industrials and consumer goods and services sectors witnessed higher than average selling pressure this week which saw Aamal Company assume full ownership of Advanced Pipes and Casts.The Gulf institutions turned bearish in the main market this week which saw an agreement between Milaha and Qatar Free Zones Authority relating to QR80mn Yachts and Ships Yard at Marsa Port in Umm Alhoul Free Zone.The Arab funds were seen net profit takers, albeit at lower levels, in the main bourse this week which saw Mekdam Holding Group receive a letter of award for a contract worth QR181mn from the country's hydrocarbon behemoth QatarEnergy.The Arab individuals’ weakened net buying had its influence in the main market this week which saw Qatar's banking sector’s total assets reach QR2.03tn in September 2024, an increase of 1.2% month-on-month and 2.9% year-on-year.However, the domestic funds were seen net buyers in the main bourse this week which saw the global credit rating agency Standard and Poor's view that banks in the Gulf Cooperation Council region are expected to do well and be profitable in 2025 amidst lower interest rates.The local retail investors turned bullish in the main market this week, which saw the Qatar Central Bank assistant governor Hamad Ahmed al-Mulla reveal that the country's Islamic banking assets total QR576bn in September.The Gulf individuals were seen net buyers in the main bourse this week which saw a total of 0.12mn Masraf Al Rayan-sponsored exchange-traded fund QATR worth QR0.28mn trade across 34 deals.The foreign retail investors’ weakened net selling had its impact in the main market this week which saw as many as 0.01mn Doha Bank-sponsored exchange-traded fund QETF valued at QR0.06mn change hands across seven transactions.The Islamic index was seen declining slower than the other indices in the main market this week which saw the industrials and banking sectors together constitute more than 53% of the total trade volumes.Market capitalisation eroded 1.21% to QR619.51bn on the back of large and midcap segments this week, which saw no trading of treasury bills.Trade turnover and volumes were on the increase in both the main and venture markets this week, which saw no trading of sovereign bonds.The Total Return Index shed 1.07%, the All Share Index by 1.03% and the All Islamic Index by 0.96% this week which saw the Institute of International Finance forecast Qatar’s public foreign assets to reach $500bn or 240% of gross domestic product by 2025.The industrials sector index tanked 2.04%, consumer goods and services (1.09%), real estate (1.05%), banks and financial services (0.81%), insurance (0.66%) and transport (0.6%); while telecom was up 0.07% this week.Major losers in the main bourse included Al Faleh Educational Holding, Qatar German Medical Devices, Industries Qatar, Commercial Bank, Dlala, QNB, QIIB, Dukhan Bank, Woqod, Baladna, Meeza, Qatar National Cement, Qatar Electricity and Water, Gulf International Services, Mesaieed Petrochemical Holding, Qamco, Qatar Insurance, Ezdan, Mazaya Qatar and Nakilat. In the venture market, Al Mahhar Holding saw its shares depreciate in value this week.Nevertheless, Widam Food, Doha Bank, Al Khaleej Takaful, Gulf Warehousing and Doha Insurance were among the gainers in the main market. In the junior bourse, Techno Q saw its shares appreciate in value this week.The foreign funds were net sellers to the tune of QR200.48mn against net buyers of QR53.37mn the week ended November 7.The Gulf institutions turned net sellers to the extent of QR51.1mn compared with net buyers of QR5.34mn a week ago.The Arab institutions were net profit takers to the tune of QR0.03mn against no major net exposure the previous week.The Arab individuals’ net buying decreased noticeably to QR10.35mn compared to QR15.83mn the week ended November 7.However, the domestic funds turned net buyers to the extent of QR191.34mn against net sellers of QR10.72mn a week ago.The local retail investors were net buyers to the tune of QR47.45mn compared with net sellers of QR45.03mn the previous week.The Gulf individuals turned net buyers to the extent of QR3.03mn against net sellers of QR2.11mn the week ended November 7.The foreign retail investors’ net profit booking weakened markedly to QR0.55mn compared to QR16.67mn a week ago.The main market witnessed a 51% surge in trade volumes to 707.16mn shares and 93% in value to QR2bn on more than doubled deals to 75,873 this week.In the venture market, trade volumes more than doubled to 3.91mn equities and value more than doubled to QR9.5mn transactions more than doubled to 310.

Qatar, which is seeking to cement its position in the global liquefied natural gas (LNG) market, is expected to see its public foreign assets reach $500bn by 2025, according to the Institute of International Finance (IIF)."The current account and fiscal balances will remain in large surpluses, leading to further accumulation of public foreign assets, which could increase to about $500bn, equivalent to 240% of GDP (gross domestic product), by end-2025," the Washington-based economic think-tank said in its latest report.Highlighting that Qatar is seeking to cement its position as the world’s second-largest gas exporter and the largest exporter of LNG, given its massive reserves and surging global demand; it said massive investment in the natural gas sector is underway to expand LNG production.QatarEnergy had early this year announced that it is proceeding with a new LNG expansion project, the "North Field West” project, to further raise the country's LNG production capacity to 142mn tonnes per year before the end of this decade, representing an increase of almost 85% from current production levels.Qatar’s long-term LNG contracts are linked to crude oil prices and such an expansion in gas production would lower the fiscal and external breakeven oil prices from around $45 per barrel in 2023 to $33 by 2025, IIF said.IIF also said Qatar’s non-hydrocarbon real GDP growth moderated after hosting the 2022 FIFA World Cup. Substantial public infrastructure investment on ports, roads, metro, and airports since 2011 set the stage for economic diversification, the report said.Nonetheless, challenges remain to move to a sustained higher non-hydrocarbon growth driven by the private sector as envisaged in the Qatar’s National Vision 2030, it said."We expect non-hydrocarbon growth to remain below 1% due to weaker private consumption and investment," it said.According to IIF, the GCC countries have navigated the global landscape and the conflict in the Middle East "quite well".However, the large current account and fiscal surpluses that helped cushion past shocks have started to narrow, amid falling oil revenues and large investment-related imports needed to diversify their economies away from oil."In our baseline scenario, which assumes no disruption of oil exports from the region, average oil prices could decline from $80 per barrel in 2024 to $70 in 2025," it said.Considerable progress has been made in improving the business climate, particularly in Saudi Arabia and the UAE — which, combined, account for 75% of total GCC output. Progress has been made in diversifying GCC economies away from oil, as signalled by the steady decline in the share of the hydrocarbon sector’s contribution to real GDP from 36% in 2015 to 30% in 2024."Digitalisation and AI (artificial intelligence) continue to play a key role in the economic diversification strategy," IIF said.

The Qatar Central Bank (QCB) bills auction received bids worth QR10.5bn, while the total allocated amount was QR2.7bn, the central bank announced on Thursday.The allocations were for six tenors ranging from seven days to 350 days, the QCB said, adding the new issuance allocation amounted to QR2bn and tap issuance stood at QR700mn.QR500mn was allocated for a new issuance for seven days with a yield of 4.918%.QR500mn was allocated for a new issuance for 28 days with a yield of 4.896%.QR500mn was allocated for a new issuance for 91 days with a yield of 4.837%.QR500mn was allocated for a tap issuance for 168 days with a yield of 4.783%.QR500mn was allocated for a new issuance for 273 days with a yield of 4.734%.QR200mn was allocated for a tap issuance for 350 days with a yield of 4.712%, QCB said.

The Qatar Free Zones Authority (QFZ) has signed a landmark partnership agreement with Chinese investment leader Luyi Holding Group to develop a world-class industrial park in Qatar.The project aims to catalyse foreign investment, strengthen local industry, and advance Qatar’s economic diversification goals in alignment with the Qatar National Vision 2030.The agreement was signed by QFZ CEO Sheikh Mohammed bin Hamad bin Faisal al-Thani and Luyi Holding Group chairman Yin Haijie on the sidelines of the China International Import Expo (CIIE) in Shanghai. The collaboration represents a significant step within China’s Belt and Road Initiative to enhance regional co-operation and economic development.Sheikh Mohammed said, “This agreement marks a crucial milestone in Qatar’s strategic drive to diversify its economy, attract foreign investment, and strengthen the localisation of key industries. The planned industrial park will introduce a broad spectrum of industries that directly support Qatar’s targeted cluster development.”He added: “Our advanced infrastructure, progressive business regulations, and comprehensive free zones incentives have created a compelling environment that attracts global businesses. This partnership with Luyi Holding Group reinforces Qatar’s position as an internationally competitive investment destination.“The new industrial park is expected to generate substantial opportunities for local companies across logistics, construction, and technology services sectors while creating new employment opportunities, enhancing local expertise, and facilitating knowledge transfer within Qatar’s industrial landscape.”Haijie emphasised how the park aligns with the Belt and Road Initiative’s goals of strengthening trade and development ties across the Middle East and beyond.“Qatar’s strategic location, modern infrastructure, and favourable investment climate made it the clear choice for our Middle Eastern expansion. This project will strengthen Sino-Qatari economic relations and establish Qatar as our regional operational hub,” he said.Located in Qatar’s Umm Alhoul Free Zone, Phase 1 is a 282,000sq m industrial park that will feature state-of-the-art industrial units ranging from 5,000 to 30,000sq m, designed for immediate manufacturing and operational use. The facility aims to attract leading international companies across multiple sectors, including plastic and metal products, performance materials, and solar panels.This strategic development will strengthen Qatar’s industrial foundation by localising critical industries while serving both local and regional market demands, advancing the nation’s economic diversification objectives.The Belt and Road Initiative seeks to strengthen connections across Asia, Africa, and Europe by developing new industrial communities and cities. For Qatar, this partnership represents a strategic opportunity to forge vital economic alliances and cement its position as an influential hub in global trade.

Chairman of Qatar Chamber (QC) Sheikh Khalifa bin Jassim al-Thani said Qatari-Turkish relations have witnessed great developments over the past years, praising the vital role played by the Qatari-Turkish Supreme Strategic Committee, stressing the importance of the meetings held between officials of the two countries and the agreements signed during them to enhance strategic relations.In remarks to Qatar News Agency (QNA), he pointed out that the strategic committee contributes, through its periodic meetings, to enhancing joint co-operation across all fields, especially in the economic, trade, and investment fields.Sheikh Khalifa noted the strength of trade relations between Qatar and Turkiye, stressing the keenness of both countries to enhance and develop fruitful co-operation mechanisms, explore new horizons for co-operation, and develop and expand strategic co-operation relations between them, in light of the agreements and memoranda of understanding signed between the two countries.He said that the volume of trade exchange between the two countries reached QR4.75bn in 2023, of which QR1.64bn was the value of Qatari exports, and QR3.11bn was the value of imports from Turkiye. Petroleum products and raw aluminium are at the top of Qatari exports to Turkiye, while the main imports from Turkiye include transformers, iron products, and foodstuffs.Regarding mutual investments, Sheikh Khalifa said there are several Turkish companies in the Qatari market operating in various sectors, and in return, there are several successful Qatari investments in Turkiye in sectors including real estate, tourism, and others.He stressed QC's keenness to support and develop means of co-operation and partnership between business owners from both sides, stressing the desire of Qatari businessmen and investors to invest in Turkiye. He also noted the existence of many investment opportunities in Qatar that can attract Turkish investors in various sectors, such as energy, tourism, real estate, agriculture, and food.

The 10th Qatari-Turkish Supreme Strategic Committee will further cement bilateral economic relations and break new grounds for co-operation, said Turkish Minister of Trade Omer Bolat.Speaking to Qatar News Agency (QNA), he hailed the Committee as a key platform to assess existing Qatar-Turkiye relations across multiple areas, particularly the economy and trade.He added that the committee has brought about the signing of over 100 agreements, protocols for co-operation, and memoranda of understanding, aligning with the countries' strategic co-operation objectives. The agreements covered a broad range of areas, including defence industries, infrastructure, logistics services, free zones, and other key sectors.Highlighting the committee as a bridge to boost bilateral relations, Bolat said the mechanisms emanating from its meetings ensured regular co-ordination between state agencies as well as between the private sectors of both countries.Bolat also pointed out that the Qatari-Turkish Joint Committee for Economic and Trade Cooperation had discussed various aspects of trade and economic relations, with its first session in February 2024 having discussed organizing a business forum and a roundtable meeting, which gave a boost to bilateral trade and economic relations.Bilateral economic relations significantly grew over the past decade, Bolat said, noting that the 2022 trade volume recorded $2.3bn but dropped to $1.3bn in 2023, with Turkish exports to Qatar at $791mn and imports from Qatar at $543mn. The trade volume from January to October 2024 stands at $933mn.But he voiced hopes that bilateral trade potential would be expanded with the implementation of the 2018 economic partnership agreement.Turkish exports to Qatar include defence industry products, machinery, electrical appliances, metal goods, furniture, textiles, and clothing. Meanwhile, imports from Qatar include unprocessed aluminium, polyethylene, organic and inorganic chemicals, fertilizers, gold, jewelry, and electronic control products.Bolat added that Qatar emerged as the eighth-largest market for Turkish construction services, with Turkish contractors having implemented 198 projects in Qatar at $20.3bn. Turkish companies have also contributed to several vital projects in Qatar.Speaking of mutual investments, he said that Qatari direct investments in Turkiye amount to $4.9bn across sectors such as finance, banking, port management, and poultry production. Turkish investments in Qatar total $48mn, mainly in defence, textiles, electrical cables, and service sectors.Both countries are exploring ways to boost joint investments further, Bolat said, unveiling that both sides are in the final stages of technical negotiations to sign new agreements and protocols to expand cooperation across numerous sectors.Bolat explained that bilateral agreements and protocols include streamlining trade, cooperation in contracting services in third countries, consumer protection, market monitoring, auditing, technical regulation, standardization, accreditation, and compliance, highlighting both countries' commitment to global co-operation.He observed an increasing interest among Qatari and Turkish investors and companies to collaborate on joint projects in third countries, which could significantly boost investment and trade co-operation between the two countries.Bolat added the 10th Supreme Strategic Committee would beef up mutual investments and facilitate partnerships on investments in third countries, leveraging Turkiye’s economic performance in recent years, Qatar's investment potential, and the strategic alignment between the two nations.He emphasized that the positive and exemplary high-level relations between Qatar and Turkiye are a guarantee for enhancing trade and investments. Agreements such as the Reciprocal Promotion and Protection of Investments and the Avoidance of Double Taxation have greatly facilitated joint investments.He reaffirmed Turkiye's support for Qatari investments, with the country's Investment Office actively assisting Qatari companies with their investments, providing guidance and removing obstacles. Likewise, Qatari authorities offer necessary support and facilities for Turkish companies.On potential co-operation in technology and innovation, Bolat noted that the Qatar National Vision 2030 aims to increase investments in technology and innovation domestically and abroad, with Qatar also showing interest in emerging investments in Turkiye.Bolat reiterated his country’s unwavering support for Qatari and Turkish companies to elevate bilateral trade and economic relations. He added that Turkiye places particular importance on its relations with Qatar and other GCC countries.

Saudi Arabia has scaled back lofty ambitions for its NEOM gigaproject to prioritise completing elements essential to hosting global sporting events over the next decade as rising costs weigh, three sources told Reuters a day after the sudden departure of the project's longtime CEO.Crown Prince Mohammed bin Salman, has poured hundreds of billions of dollars into development projects through the kingdom's PIF sovereign wealth fund.But the world's top oil exporter has had to rein in some of its ambitious plans over the past year as low oil prices and production continue to hit an economy still heavily reliant on hydrocarbon revenues.NEOM, a Red Sea urban and industrial development nearly the size of Belgium that is due to house nearly 9mn people, is central to the prince's Vision 2030 plan to create new engines of economic growth beyond oil.The crown prince originally announced NEOM in 2017 as a 26,500-square-km (10,230-square-mile) high-tech development with several zones, including industrial and logistics areas.One part of the project is "The Line" — which was envisioned as a 200-metre-wide series of "modules" for different urban uses sandwiched between two 500-metre-high, 170-km-long mirrored exterior facades that cut through a vast array of desert and mountains."When the (NEOM) project was first pitched as an idea, costs were $500bn. However, The Line alone was going to cost over a trillion which was why it's been scaled back," one consultant with knowledge of the matter said.The Line involves hanging pathways, gardens and a stadium and aims to run on 100% renewable energy.But work on the project is now solely focused on finishing a 2.4kilometre stretch including a stadium that is expected to host the final match of the 2034 soccer World Cup, after which future plans will be evaluated, one of the three sources with direct knowledge of the matter said."The Line changed its plans (in) September and October to integrate the stadium which brought utility to the project because it will be used for the World Cup," he said.Another priority is the completion of Trojena, a planned mountain resort which will host the Asian Winter Games in 2029, the same source said, adding that NEOM had been "scaled down and broken into chunks." The kingdom's government communications office and NEOM did not immediately reply to a request for comment."They are really looking at everything closely now, which makes sense because everyone across different projects was working in silos and there was a lot of overlap," the consultant said.Project leaders have been working under extremely tight deadlines to deliver massive developments by the 2030 deadline with several schemes falling behind schedule or facing delays, multiple sources have previously said.Two other sources familiar with the matter told Reuters that the departure of Nadhmi al-Nasr, the long-time chief executive, was partly due to his inability to deliver key goals.NEOM has not commented on the reasons behind Nasr's departure.

Turkiye and the State of Qatar possess components of economic integration through trade co-operation across numerous economic sectors shared by the two countries, Turkish economic experts and analysts confirmed.Speaking to Qatar News Agency (QNA), they underscored the importance of the 10th Session of the Qatari-Turkish Supreme Strategic Committee, which convened in Ankara, in giving impetus to the economic and trade co-operation between the two countries, as well as exploring new economic opportunities for the shared interests of the two nations.In this regard, Vice-President of the International Business Forum, Gazi Misirli, noted the strength of the Qatari-Turkish ties, especially that they are constantly evolving in all fields, particularly in economy and tourism, adding that the bilateral relationship has remarkably advanced in the economic arena, with significant growth in shared investments between the two nations, as well as a boom in trade exchange.Qatar-Turkiye joint co-ordination in the economic area has become more robust than ever and has entered a new phase of strategic co-operation in the long term, Misirli underlined.Chairperson of the Arab-Turkish businessmen Association in Istanbul (ARTIAD), Jamal Al Din Kareem, said that Qatari-Turkish relations are currently the best in both the political and economic spheres, given the close rapprochement they have forged over the past decade. He underscored Turkiye’s unwavering support for co-operation and partnership between the Turkish and Qatari businessmen, affirming that elevating the co-operation between Turkish and Qatari businessmen and investors is essential in the coming period.Given the growing economic co-operation, the political harmony and converging perspectives, the bilateral relationship has been evolving increasingly, culminating in Turkiye being a crucial destination for Qataris. Subsequently, interest in the banking and real estate investment sectors by Qatari investors has been on an upward trajectory, ultimately leading them to secure the top position among foreign investors in Turkiye in 2018, Kareem highlighted.During his participation in the conference titled Business and Investment Opportunities in Turkiye, held in Doha recently, Turkish Minister of Treasury and Finance, Mehmet Simsek, described the Qatari-Turkish political and economic ties as incredible, highlighting that they underscored the constantly evolving trade relations.Conditions are favourable to reinforce this relationship and pave the way for businessmen to forge further trade relations, Simsek said.The bilateral relationship has been strengthening in recent years across all fields, with a particular emphasis on economic ties.Over 711 Turkish firms are operating in Qatar, including 664 with joint Qatari-Turkish capital, 47 fully Turkish-owned, and 15 located in Qatar's free zones. Additionally, more than 183 Qatari firms are operating in Turkiye.Qatar's direct investments in Turkiye have largely increased to a value of $33.2bn, whilst the value of projects implemented by Turkish construction firms in the Qatari infrastructure reached $22bn.In the tourism segment, the number of Qatari visitors to Turkiye increased to 30,000 in 2016, then rose to nearly 110,000 in 2019, and over 150,000 in 2023.The two nations established the Qatar-Turkiye Business Council, which periodically convenes between the Foreign Economic Relations Board of Turkiye (DEIK) and the Qatari Businessmen Association (QBA).Turkiye is considered one of the major economies whose GDP draws on diverse sectors, including industry, tourism, services, investment, banking, and agriculture, and recently has remained one of the preferred tourism destinations for Qataris, thereby undergirding its economy.Additionally, leveraging the Qatari investments in the tourism sector could squarely support the Turkish economy.

The Abu Dhabi Investment Authority, which manages around $1tn in assets, plans more investments in the private equity sector, underlining its clout as a globally influential dealmaker.ADIA last year boosted it targeted allocation to private equity to 12%-17% of its overall portfolio, according to its 2023 annual review published on Thursday. That was up from 10%-15% a year earlier. The allocation to all other asset classes, including developed market equities or real estate, remained unchanged.The fund’s increased focus on private equity comes as rising interest rates last year damped dealmaking activity in the sector which plunged to its lowest level in five years, according to the review.Despite the challenges, ADIA’s private equity department made over 20 direct investments of more than $150mn. It also invested in some of its existing portfolio companies to support growth opportunities including acquisitions, it said.Last year’s market dislocation also meant that private creditor providers increasingly play a major role in funding leveraged buyouts, according to the report. ADIA made further inroads in that space, anchoring several investments in platforms such as Jefferies Credit Partners’ Direct Lending BDC and Overland Advisors, a partnership between Centerbridge and Wells Fargo that’s focused on non-sponsored middle-market direct lending.“Overall, ADIA was well positioned to capitalise on the strong gains in parts of these markets, while benefiting from dislocations in areas where conditions were more challenging,” said ADIA’s managing director Hamed bin Zayed al-Nahyan.ADIA’s widening interest in private equity and credit is one of the many ramifications of the fund’s internal overhaul that took place in recent years.The investment behemoth adopted a more data-driven approach by reorganising departments and setting up an in-house team staffed with more than a hundred artificial intelligence, computing and math scientists with the aim of making the entire fund more nimble and faster in its decisions.ADIA is one of several Abu Dhabi sovereign entities that combined manage almost $1.7tn in wealth, according to consultancy Global SWF. That’s helped the emirate’s financial centre attract some of the biggest international names in asset management and investing.“In private equity, for example, ADIA has leveraged its often decades-long relationships in the sector to broaden and deepen how it accesses the sector, and ultimately enhance returns,” said Hamed bin Zayed al-Nahyan.In the first three quarters of the year, ADIA and Abu Dhabi’s two other main funds together invested $36bn across the globe, according to data from Global SWF.Looking forward, ADIA in its review pointed to the various elections that took place around the globe, saying that voters’ decisions will have significant impact on domestic policy and relations between countries.Even as financial systems worldwide could again prove resilient to geopolitics, “this is no cause for complacency, as an unpredictable outlook often has real-world outcomes that eventually cascade down to financial markets,” Hamed bin Zayed al-Nahyan said.

Doha has identified six critical factors, which include national innovation strategy, high research and development level and diverse funding options for SMEs or small and medium enterprises, for establishing and maintaining a successful startup ecosystem, according to Invest Qatar."By examining the key elements of leading global startup ecosystems, we can identify several critical factors and policies essential for establishing and maintaining a successful ecosystem," Invest Qatar said in a report.Highlighting that the critical factors also include talent and startup attraction strategies, an entrepreneurial culture and robust support systems; it said "for any startup ecosystem to thrive, it must be built on these foundational elements."Stressing that the development of Qatar’s startup ecosystem is an ongoing process, continuously evolving to match global standards; it said public and private stakeholders are committed to improving the foundational elementsof the ecosystem, including education, R&D, funding, support systems and entrepreneurship competitions.Findung that Qatar’s startup ecosystem is a vital engine of economic development and diversification, it said the efforts of entrepreneurs, academic and research entities, and public and private sectors have "significantly" strengthened the ecosystem in recent years.This progress is evident in the well-connected and established network of startups that is now poised to capitalise on numerous opportunities for growth and success, it said, citing a prime example of “Startup Qatar” initiative.This initiative provides a comprehensive support to startups, offering resources such as funding, business setup and registration support, access to information and other support services.By enhancing the local business environment and attracting foreign direct investment, “Startup Qatar” aims to aid the growth of new ventures and position the country as a key player in the global startup landscape."This initiative underscores the significant progress Qatar has made in fostering entrepreneurship and developing a robust startup sector," it said.

LuLu Mall Al Khor has been awarded the prestigious Silver Award (NOI Enhancement) for Sustainability Excellence in Energy Optimisation at the MECS+R Award 2024, organised by the Middle East Council of Shopping Centres & Retailers (MECS+R).The accolade was jointly presented by Dr Younis al-Mulla, chairman of MECS+R, and David Macadam, CEO of MECS+R, during a ceremony held in Riyadh.LuLu Mall’s recognition as the Silver Winner in the Sustainability Excellence category, particularly for its outstanding achievements in energy optimisation, underscores its commitment to implementing sustainable practices that reduce its environmental issues while improving its financial performance.The prestigious award marks a significant milestone for Al Khor Mall as it continues to elevate its standards of operation, sustainability, and customer experience in the competitive retail landscape of the Middle East.As the first premium shopping destination of its kind in Al Khor, LuLu Mall emphasises sustainability and energy efficiency and features an international standard LuLu Hypermarket, cinemas, amusement zones, a food court, restaurants, cafes, and over 100 global brands. Blending Arabic architecture with ample parking, it caters to the leisure and shopping needs of locals and expatriates alike.LuLu Mall Al Khor exemplifies sustainable retail, integrating energy optimisation, waste management, plastic-free initiatives, and digitisation. Through advanced eco-friendly practices and participation in Earth Hour, the mall actively promotes environmental stewardship, setting a benchmark for sustainability in the retail industry.The mall’s journey to achieving sustainability excellence is rooted in its collaboration with Honeywell, a global leader in energy management solutions. The mall deployed the Honeywell Forge Energy Optimisation system, a cloud-based platform designed to monitor and optimise energy consumption in real time. By analysing data from weather patterns, occupancy levels, and operational conditions, the system autonomously adjusts chiller temperatures, fan speeds, and other HVAC settings to maintain peak energy efficiency.This initiative has resulted in impressive results for LuLu Mall Al Khor. Over 18 months, the mall achieved an average of 15% savings on HVAC energy consumption, reducing its energy expenses significantly. In 2019, before these optimisations were implemented, the mall’s energy costs amounted to $1.28mn. From August 2023 to July 2024, the mall successfully lowered its energy costs to $1.17mn, saving $110,000.The award highlights LuLu Mall’s strategic focus on sustainability, which aligns with the broader goals of LuLu Group International to prioritise eco-friendly operations. The group’s ongoing investment in sustainable technologies and practices showcases its leadership in driving positive environmental change within the retail industry.In Qatar, LuLu Group has consistently demonstrated its dedication to sustainability through various initiatives. Notably, the LuLu Hypermarket in Al Meshaf became the first carbon-neutral hypermarket in the GCC region, achieving this milestone in January 2023.Additionally, LuLu Hypermarket actively supported Qatar Sustainability Week 2024, organized by the Earthna Centre for a Sustainable Future, in partnership with the Ministry of Environment and Climate Change, reinforcing its commitment to environmental stewardship.As a part of LuLu Group International, LuLu Al Khor Mall’s achievement is a testament to the group’s unwavering commitment to sustainability, innovation, and operational excellence. The award reinforces the mall’s role as a pioneer in the Middle East’s retail sector and sets a high standard for sustainable practices in the region.