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Located on the Arabian Gulf coast, the State of Qatar is a gateway between East and West, welcoming visitors from around the world. At the cross roads of contrasting economies, cultures and natural environments, the strategic location of the country has attracted visitors to the region for thousands of years.
With a predominantly young population, Qatar is currently experiencing high rates of population growth due to massive urban development, large-scale investment projects and generous government expenditure.
The positive economic expansion that Qatar has experienced has brought visitors from a variety of sectors and markets, including oil and gas, real estate, finance, education, research and science, and sport and leisure.
With the advent of economic prosperity in the last century came the development of a modern infrastructure, transport and telecommunication links, educational facilities, science and technology research, hospitals and health care.
Having built a reputation for quality and excellence, Qatar is recognized as a leading destination in the Gulf region for meetings, exhibitions and conferences, offering travellers a business-oriented destination combined with leisure activities. Qatar is a bridge between tradition and global innovation. It is a luxury destination that attracts premier leisure, business, medical, sport and education tourism, while properly preserving, maintaining and highlighting its authentic heritage and rich past.
Qatar is a place where people see things differently, where citizens embrace new ideas and visitors are welcomed as honoured guests and dear friends. |
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Land area:
The total land area of Qatar is approximately 11.521 km2.
Population:
The population of Qatar amounts to 1.679110 inhabitants .83% of inhabitants reside in Doha and its main suburb Al- Rayyan.
Capital city: Doha
Official Language
Arabic is the official language in Qatar, and English is widely spoken.
Religion:
Islam is the official religion of the country, and the Shariah (Islamic law) is a main source of its legislation.
Major towns:
Doha, Al Wakrah, Al Khor, Dukhan, Al Shamal, Mesaieed, Ras Lafan and others.
Currency:
The official currency is the Qatari Riyal (QR), which is divided into 100 dirhams.The exchange parity has been set at the fixed rate of USD 1=QR 3.64.
National Day:
The 18 th of Dec in commemoration of Sheikh Jasim bin Mohamed Al Thani, the founder of the State of Qatar.
Public holidays:
National Day: 18 December.
Eid Al-Fitr Holiday:starts from the 28 th of Ramadan until the 4 th of Shawal (Higri calender).
Eid Al Adha Holiday: Starts from the 9 th of Zilhijjah until the 13 th of Zillhijjah(Hijjri Calender).
Work Hours:
Government offices: 7 am to 2 pm.
Private establishments: 8 am to noon, and 4 pm to 8 pm.
Friday and Saturday are the weekend holidys.
Local time:
Greenwich Mean Time + 3 hours (GTM+3).
Electrical current:
240Volts +6% with frequency 50hertz.
Financial & Banking System
Qatar Central Bank (QCB)
Qatar Central Bank was established in 1993 with a mandate to work in the field of issuing currency and act as the bank of the government and the bank of banks in addition to its main task of managing the monetary policy of the State. The bank's capital has been raised to QR500 million.
Qatar Exchange (QE)
Qatar Exchange (Doha Securities market previously) was established by virtue of law (14) of 1995 and commenced work on 26 May, 1997. On Sept 14, 2005, law no (33) of 2005, modified by law decree no. (14) of 2007, was issued pertaining to establishing the authority and the market whereby legislative and monitoring tasks were assigned to the authority and the executive role to the market regarding trading and assigning stocks and making financial settlements between brokers.
The market entered a new stage with the issuance of law no. (33) of 2009 converting Doha Securities Market to an incorporation under the name "Qatar Exchange" with view of introducing a qualitative improvement in its structure to make it an international exchange market operating according to the best international practices. To this end, Qatar Exchange entered a partnership with NYCE Euronext with a share of 20%. Qatar Exchange started operations under the new name on June 21, 2009.
The goals of QE can be summed up as follows:
1- To provide opportunities for the investment of citizens' savings in financial securities with a view to serving national economy.
2- To develop the financial market so as to serve the efforts of economic development and help implement the targets of the State's economic policy.
3- To encourage setting up new companies as well as organization of the issue of stocks in the primary market and define the requirements in the issue bulletin.
4- To issue bulletins and reports containing all the information on the daily, weekly, monthly and yearly values of shares as well as all other data setting out the companies' financial status for investors.
Listed Companies:
45 companies were listed in Qatar Exchange by December 2009 compared to 17 companies at the time of launching the market.
Qatar Exchange index reflected an increase of (73.05) points (1.06%) to close by the end of the year at (6,959.17) points.
Trading movement in Qatar Exchange:
The total value of the circulated shares decreased by the rate of (47.5%) to stand at QR(92,164,529,101.6) compared to QR(175,552,351,734.8) in 2008. The number of traded shares decreased by the rate of (11.39%) to reach (3,450,086,784) compared to (3,893,519,719) shares; and the number of implemented contracts decreased by the rate of (22.47%) to reach (1,690,085) compared to (2,179,861) contracts in 2008.
Market Value:
The market value of the listed companies listed in Qatar Exchange at the end of 2009 increased by the rate of (14.75%) to reach QR(320,207,247,626.6), compared to QR(279,038,216,441.6) at the end of 2008.
The share prices of (22) listed companies increased, the share prices of another (22) listed companies decreased and the share price of only one listed company doesn’t change compared to their prices at the end of 2008.
QE Investment Systems:
- The Council of Ministers approved on 29 May 2002 the Law of Investment Funds draft allowing non-Qataris to invest in all listed companies. Some of these funds are being established.
-The market opened the door for non-Qatari investments in the listed shares with a percentage of not more than (25%) - unless the company memorandum of association stipulates a higher percentage- in line with the law No (2) For 2005, which amends some provisions of law No (13) For 2000 on the organization of foreign capital investments.
QE Committee:
In accordance with Resolution No. (11) For 2002 of the Council of Ministers, the QE Committee nominates members of the committee for the next three years as proposed by H.E. Minister of Economy and Trade and the Committee is composed of a chairman, vice-chairman and nine members.
Committee's Functions:
Membership of the committee is for three years and is renewable. He who succeeds a member will complete the term of his predecessor. The committee exercises all the functions required to manage QE. Following are the main functions:
1- To draw up the general policy.
2- To propose the statutes, organizational structure, personnel system, procurement rules, financial rules, registration rules, membership, circulation and annual subscriptions.
3- To lay down the organizational rules as well as rules of dealing in financial securities in QE, monitoring their application and supervision of circulation of such securities.
4- To take the necessary measures as regards questionable transactions in the light of the provisions of QE statutes.
5- To consider applications by brokers.
6- To temporarily suspend transactions at QE or the shares of a company / companies in the event of exceptional circumstances jeopardizing smooth and regular operation.
7- To approve the annual budgetary estimates, final accounts, and appointment of auditors.
Commercial Banks
There are (17) commercial banks registered in Qatar, according to the registered companies in the chamber in 20/5/2010, of which (8) are national including (2) Islamic banks' all operating from more than (114) branches.
The commercial banks sectors in Qatar achieved a continuous growth in the last years (despite a minor slowdown in 2008) as a result of the general economic growth in Qatar. In 2008, commercial banks sector realized a growth estimated at (107.6) billion Qatari riyals representing a rate of (36.5%) as compared to 104.9 billion riyals or a percentage of (55.3%) in 2007. The total of assets and liabilities mounted to (401.9) billion riyals by the end of 2008 as compared to (294.3) billion riyals at the end of 2007.
Collective Budget of Commercial Banks:
The increase was concentrated in the assets in the major transactions of commercial banks especially in granting credit and financial investments as credit facilities for clients were improved at the end of 2008 with an amount of (82) billion riyals representing (51.1%) as compared to (58) billion riyals representing a percentage of (56.6%) at the end of 2007.
Local Credit Facilities inside Qatar:
Local credit facilities rose by (74.5) billion riyals representing a percentage of (50.9%) at the end of 2008 mounting to a total of (220.8) billion riyals as compared to (51.6) billion riyals representing (54.4%) in 2007.
Local credit facilities in the local currency granted inside Qatar rose by an amount of (70.8) billion riyals representing a percentage of (73.8%) to reach a total balance of (166.6) billion riyals at the end of 2008 by contrast to an increase of (28.4) billion riyals representing a percentage of (42%) at the end of 2007.
Local credit facilities granted to the private sector was estimated at (49.4) billion Qatari riyals at the end of 2008 as compared to (29.2) billion riyals at the end of 2007.
By contrast, credit facilities granted to the public sector declined to constitute about (41.2%) of the total local credit facilities at the end of 2008 as compared to (65.5%) at the end of 2007.
As for credit facilities granted in hard currency for the public and private sectors, there was an increase of (3.7) billion riyals at the end of 2008 representing a percentage of (7.3%) making a total of balance mounting to (54.2) billion riyals at the end of 2008 as compared to an increase of (23.2) billion riyals representing a percentage of (85.1%) at the end of 2007.
Cash Assets:
Cash assets at the commercial banks that comprise cash and banks balances decreased by (7.9) billion riyals representing (30.2%) at the end of 2008 to reach a total of (26.2) billion riyals compared to an unprecedented increase mounted to (19.9) billion riyals representing an increase rate of (317.8%) at the end of 2007.
However, foreign assets kept at the banks declined at the end of 2008 and mounted to (13) billion riyals as compared to (26.7) billion riyals at the end of 2007.
Commercial Banks Operating in Qatar
National Banks
1- Qatar National Bank.
2- The Commercial Bank of Qatar.
3- Doha Bank.
4- Qatar Islamic Bank.
5- Al-Ahli Bank.
6- Qatar International Islamic Bank.
7- Qatar International Bank.
8- Al-Rayan Bank.
9- Al-Khalij Commercial Bank (Al-Khaliji).
10- Barwa Bank.
Arab Banks
1- Arab Bank.
2- Mashreq Bank.
Foreign Banks
1- Standard Chartered bank.
2- HSBC.
3- United Bank Ltd.
4- Bank Saderat Iran.
5- BNP Paribas.
Exchange Companies
Exchange companies play an important role in meeting local needs for foreign currencies and precious metals used for various purposes, especially for the invisible economic transactions. The companies of this sector meet a major part of local requirements for foreign currencies tourist and educational purposes as well as for medical treatment abroad and private money remittances by expatriates to their families back home. These requirements are met in various forms of cash, travelers' cheques, draft cheques cashed at overseas correspondents and offices of banks and exchange houses that use the latest innovations of technological or electronic money transfer means, besides other services such as telegraphic or fax transfers. There are (22) exchange companies registered in Qatar ,according to the registered companies in the chamber in 20/52010
Exchange Companies Operating in Qatar
1- Al-Fardan Exchange.
2- Gulf Exchange.
3- Al-Zaman Exchange.
4- Al-Doha Exchange.
5- Al Basri Exchange.
6- National Exchange.
7- Trust Exchange.
8- Al-Mannai Exchange.
9- Al-Sharqi Exchange.
10- Al-Madina Exchange.
11- Al-Ittihad Exchange.
12- Habib Qatar Exchange.
13- Al-Lari Exchange.
14- Al-Sadd Exchange.
15- Islamic Exchange.
16- Arabian Exchange.
17- Al-Jazera Exchange.
18- Future Exchange.
19- Al-Dar Exchange.
20- Global Exchange.
21- Al-Sayrafa Financial Business & Exchange.
22- Qatar / UAE Exchange.
Insurance Companies
The insurance sector is one of the important components of the financial and banking system. The need for the insurance service has been increasing over the years with the increasing complications of modern daily life, especially at the economic and corporate levels where risks and losses have reached unprecedented heights.
Insurance services have become diverse. They offer various classes of insurance coverage such as insurance against accidents and fire, marine and land insurance, health insurance and others. There are (15) insurance companies registered in Qatar,according to the registered companies in the chamber in 20/5/2010, (11) of which are national and (4) are agencies or branches of Arab or foreign companies.
Insurance Companies Operating in Qatar
1- Qatar Insurance Co.
2- Doha Insurance Co.
3- Qatar Insurance and Reinsurance Co.
4- Gulf Insurance Co.
5- Qatar Islamic Insurance Co.
6- Arabian Insurance Co.
7- Lebanese-Swiss Insurance Co.
8- Egyptian National Insurance Co.
9- American Insurance Co.
10- Qatar Takaful Co.
11- Al-Koot Insurance and Reinsurance Co.
12- Qatar United Office for Insurance Co.
13- Trust Alliance Cartel Reliance Co.
14- Savoy Insurance Services Co.
15- Qatar-Brokers Insurance Co.
Qatar Financial Center
Qatar Financial Center seeks to stimulate the national economic activity in line with the international economic developments and create the suitable environment to enhance development and open new horizons for investment.
The Center is authorized to license the establishment and economic activities of companies, individuals, banks, investment projects, finance companies, insurance companies, all sorts of stock and securities markets, asset management and all kinds of brokerage services. It offers its services in the field of investment categorization and evaluation, financial representation, counseling, financial facilities, holdings and operations and management of offshore companies.
The entities authorized to operate at or through the Center enjoy the freedom to repatriate their profits and investment assets in addition to being secured against nationalization, expropriation or the imposition of restrictions on private ownership. All entities licensed to operate at or through the Center can be 100% owned by foreigners or non-resident individuals or companies.
It has a three-tier authority structure comprising Qatar Financial Center Authority, Qatar Financial Regulatory Authority and an Arbitration Body, each of which is financially and administratively autonomous. The Center Authority aims to enhance the position of the Center as a pioneering international financial and business hub and boost the operational efficiency of the Qatari economy in line with the best international standards. The Regulatory Authority undertakes licensing tasks and organizes and supervises banking, insurance and business activities discharged at the Center. The Arbitration Body is concerned with hearing the appeals presented by the companies and legal entities against the decisions of the Regulatory Authority; and its decisions are final, unchallengeable and are binding to all parties.
Reasons to choose QFC
1- The QFC Regulatory Authority has created principle-based legislation of international standard, modeled closely on that used in London and other major financial centers.
2- The QFC is not an offshore centre, nor a free zone. Companies licensed by the QFC can operate in local and other currencies
3- The law establishing the QFC allows a very broad range of business operations
4- The QFC is not a property development – the QFC law allows buildings in Doha to be designated as QFC sites, which means licensed firms do not have to be in QFC premises
5- The QFC allows 100% ownership by foreign companies, and all profits can be remitted outside Qatar
6- QFC has its own immigration and employment laws, which means that all such arrangements are handled by the QFC
7- The QFC was established by the government of Qatar and enjoys the full support of Qatar's Council of Ministers
Economic Institution & Organization
Qatar General Organization for Standards and Metrology
Qatar General Organization for Standards and Metrology aims to upgrade the quality of commodities and materials. It is the only body authorized to discharge the following duties:
1- Prepare, endorse and publish the standard specifications of commodities and products; operation, test and examination procedures of raw materials and equipments; the basis for assessment, the standard measurement systems, terms, definitions and hallmarks, in addition to other functions in coordination with concerned departments.
2- Issue and endorse conformity certificates for standard and quality specifications, designate the basis of offering such certificates and approve laboratories and non-government service utilities.
3- Follow up local and imported commodities and products to ensure their conformity with the declared standard specifications.
4- Spread awareness of standardization and metrology activities among all concerned parties and highlight the regional and international developments in this field.
5- Conduct studies and researches on conformity with the standard specifications and quality systems to reach the solutions for involved impediments.
6- Represent the State in the Arab and foreign organizations for standards and metrology.
7- Follow up the implementation of regional and international agreements in the field of standards and specifications and coordinate with concerned parties in this field.
8- Propose the legislations pertaining to standards and metrology.
The financial resources of the organization include the following:
1- The financial resources allocated by the State.
2- The income generated by its activities.
3- Loans and financial facilities.
4- Grants, legacies, donations etc.
5- Other resources endorsed by the council of ministers on the basis of proposals from the organization's board of directors and concerned ministers.
The Supreme Council for Economic Affairs and Investment
Presided over by His Highness the Emir, with His Highness the Heir Apparent as vice president, the Council is generally concerned with economic and energy affairs and the investment of the country's surplus financial resources.
It is namely responsible for the following functions:
1- Drawing out the State's general policies in the economic, financial, commercial and energy fields, as well as endorsing and following up the implementation plans thereof.
2- Coordinating between the ministries and government departments, public authorities and companies working in the fields referred to in paragraph (1) in order to achieve the required integration in service of public interest.
3- Outlining the general principles to be observed in preparing and implementing the development plans of the State.
4- Endorsing the financial and monetary policies of the State including the priorities of public spending.
5- Designating the criteria to be observed in preparing the general budget and the budgets of public authorities, establishments and companies in service of the declared objectives.
6- Approving the projects to utilize the natural resources of the country as well as the major industrial and economic projects in which the State or public authorities, establishments and companies are involved.
7- Designating the general principles of commercial policies on the local and international levels in such a way as to develop the internal trade, stimulate commercial exchange and increase the financial returns thereof.
8- Outlining the policies required to diversify the economic base and increase the sources of public income.
9- Preparing the policies, controls and criteria for designating the priorities of the privatization of public sector projects.
10- Endorsing the policies aiming to activate the private sector and increase the contribution thereof in the national economic activity and development.
11- Designating the policies and procedures to be taken to encourage national and foreign investments, and deciding the suitable incentives to be offered in this respect.
12- Following up the international economic developments and their potential impact on the national economy, and taking the required steps and precautions to benefit from their advantages and curtail their disadvantages.
13- Deciding the suitable frameworks through which to support economic and commercial cooperation at the regional and international levels.
The council is responsible for the following tasks in the field of investing the country's surplus financial resources:
1- Designating - within the general strategy of the State - the objectives of investing the country's surplus financial resources.
2- Drawing out a long-term policy and annual implementation plans thereof to invest the State's surplus financial resources.
3- Following up the implementation of investment programs and periodically evaluating the results thereof.
4- Designating the banks and financial establishments in or through which to invest the State's surplus financial resources.
5- Designating the foreign currencies by which to evaluate the investment assets of the State's surplus financial resources.
6- Designating the securities in which to place the investments.
7- Discharging any other duties ordered by the Emir.
The Council has a general secretariat chaired by a secretary general who is aided by two deputies one for economic affairs and the other for investment affairs. The secretary general and his two deputies are appointed by a decision from the Council's president.
The general secretariat is composed of the following administrative units:
1- Financial Investment Department.
2- Direct Investment Department.
3- Investment Accounts Department.
4- Energy General Policies Department.
5- Administrative and Financial Affairs Department.