Qatar’s banking sector shows robust growth with assets hitting $550bn

Qatar’s banking sector shows robust growth with assets hitting $550bn
The broad money supply also expanded by 6.4 percent, according to Qatar Central Bank. Shutterstock
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Updated 05 September 2024
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Qatar’s banking sector shows robust growth with assets hitting $550bn

Qatar’s banking sector shows robust growth with assets hitting $550bn
  • Key indicators showed a significant increase in domestic deposits, surging 11.4% year-on-year to 833.1 billion riyals
  • Total domestic credit climbed by 7.3%, reaching 1.3 trillion riyals

RIYADH: Qatar’s banking sector demonstrated a strong performance in July, with total assets of commercial banks rising by 6.4 percent year-on-year to reach 2 trillion Qatari riyals ($549.9 billion). 

The latest statistics were released in the central bank’s July Monthly Monetary Bulletin and shared through the institute’s official X account.

Key indicators showed a significant increase in domestic deposits, surging 11.4 percent year-on-year to 833.1 billion riyals. Similarly, total domestic credit climbed by 7.3 percent, reaching 1.3 trillion riyals during the same period.

The broad money supply also expanded by 6.4 percent, amounting to 727.4 billion riyals, further highlighting the sustained momentum in Qatar’s financial landscape.

This robust growth aligns with the goals outlined in Qatar’s Third National Development Strategy for 2024-2030. The approach emphasizes enhancing financial services to fuel national development and drive economic diversification, which are key priorities as the country seeks to strengthen its foundations.

Further supporting this transition, an analysis by Standard Chartered predicted that Qatar is on track to restore government revenues to pre-2014 oil price shock levels and double its economy by 2031. 

The report attributed this recovery to the Gulf country’s strategic positioning within the global energy market and its continuous efforts toward diversification.

The study underscored Qatar’s status as the world’s sixth-largest gas producer and holder of the third-greatest natural fuel reserves, which allows the country to benefit from rising hydrocarbon prices. 

In addition, Standard Chartered noted the steady growth of the country’s non-oil economy, which now contributes two-thirds of the nation’s gross domestic product.

Qatar’s international economic profile has been further elevated since hosting the FIFA World Cup in 2022.

According to the International Monetary Fund, the event boosted the country’s global presence, while the World Bank projects Qatar’s economy to grow by 2.1 percent in 2024, accelerating to 3.2 percent by 2025. 

Standard Chartered also anticipated continued growth in the liquefied natural gas sector, which will further bolster the country’s economic expansion in the years ahead.

Beyond its energy and banking sectors, Qatar is also making strides in the sukuk market. 

In August, Estithmar Holding, a Qatar-based company, issued a 500 million riyal sukuk, marking the first corporate issuance denominated in local currency under its 3.4 billion riyal program.

The firm’s group CEO Mohamad bin Badr Al-Sadah said: “The issuance of the first corporate Qatari-riyal-denominated sukuk is a historic milestone for Estithmar Holding.” 

On being listed on the London Stock Exchange’s International Securities Market, he said this issuance has garnered significant interest from diverse investors.


Saudi Arabia’s non-oil business growth continues as PMI rises to 56.3 

Saudi Arabia’s non-oil business growth continues as PMI rises to 56.3 
Updated 1 min 15 sec ago
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Saudi Arabia’s non-oil business growth continues as PMI rises to 56.3 

Saudi Arabia’s non-oil business growth continues as PMI rises to 56.3 

RIYADH: Saudi Arabia’s non-oil private sector business conditions strengthened in September, driven by improved sales momentum and rising new orders, according to an economic tracker. 

The Riyad Bank Saudi Arabia PMI survey, compiled by S&P Global, showed the Kingdom’s Purchasing Managers’ Index reached 56.3 in September, up from 54.8 in August. 

S&P Global noted that any PMI reading above 50 indicates growth in the non-oil sector, while readings below 50 signal contraction. 

Supporting non-oil sector growth is a key goal of Saudi Arabia’s Vision 2030 initiative, which aims to diversify the economy and reduce dependence on oil revenue. 

“The rise in Saudi Arabia’s PMI to 56.3 shows the highest level in four months, highlighting a notable acceleration in non-oil private sector growth. This uptick was primarily driven by increased output and new orders, reflecting the sector’s expanding activity,” said Naif Al-Ghaith, chief economist at Riyad Bank.  

He added: “Businesses are responding to stronger domestic demand, which plays a critical role in reducing Saudi Arabia’s dependence on oil revenues.”  

Al-Ghaith also emphasized the significance of non-oil sector growth, given current crude production cuts and declining global oil prices. 

To stabilize the market, Saudi Arabia reduced its oil output by 500,000 barrels per day in April 2023, with the cut extended until December 2024. 

“As oil revenues come under pressure, the robust performance of the non-oil private sector serves as a buffer, helping to mitigate the potential impact on the country’s economic health. The diversification of revenue streams is crucial for maintaining growth amid fluctuating oil markets,” said Al-Ghaith.  

The report also indicated that improved business conditions supported employment growth, though companies struggled to find skilled workers in September. 

Despite strengthening demand, firms expressed concerns over competitive pressures, which dampened future activity expectations.  

S&P Global noted that higher competition led to a reduction in selling prices for the third consecutive month, despite rising business costs. 

“Rising output levels not only enhance the competitiveness of Saudi businesses but also drive forward developments aimed at expanding private sector participation in the economy. This shift provides a more stable foundation for long-term growth, making the economy less vulnerable to oil price volatility,” said Al-Ghaith.  

According to the report, growth was robust and widespread across monitored segments of the non-oil economy, with respondents citing higher demand and new project approvals. 

“By expanding output across key non-oil industries, Saudi Arabia is better positioned to navigate the challenges of oil market fluctuations, ensuring a more sustainable and diversified economic future,” concluded Al-Ghaith. 


OPEC+ sticks to output policy, doubles down on compliance

OPEC+ sticks to output policy, doubles down on compliance
Updated 02 October 2024
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OPEC+ sticks to output policy, doubles down on compliance

OPEC+ sticks to output policy, doubles down on compliance

LONDON/DUBAI: A meeting of top OPEC+ ministers has kept oil output policy unchanged including a plan to start raising output from December, while also emphasizing the need for some members to make further cuts to compensate for overproduction.

Several ministers from the Organization of the Petroleum Exporting Countries and allies led by Russia, or OPEC+ as the group is known, held an online Joint Ministerial Monitoring Committee meeting on Wednesday.

“The JMMC emphasized the critical importance of achieving full conformity and compensation,” OPEC said in a statement after the meeting. “Furthermore, the committee will continuously assess market conditions.”

Oil prices dropped below $70 a barrel in September for the first time since 2021, but have since rallied above $75 on concerns a possible escalation in the Middle East following Iran’s military attack on Israel could disrupt output from the region.

OPEC+ is cutting output by a total of 5.86 million barrels per day, or about 5.7 percent of global demand, in a series of steps agreed since late 2022.

The group plans a 180,000 bpd increase in December as part of a gradual unwinding of its most recent layer of voluntary cuts extending into 2025. The hike was delayed from October after prices slid.

Countries’ compliance was in focus at the meeting, sources who attended told Reuters, and is expected to remain so in coming weeks, particularly that of Iraq and Kazakhstan.

Those nations have promised what are known as compensation cuts of 123,000 bpd in September and more in later months to make up for their previous over-production.

Iraq, Kazakhstan and Russia told the meeting that they had delivered on their promised cuts in September, the OPEC statement said.

But this will have to be verified by the second week of October by secondary sources — the consultancies and price reporting agencies that the group uses for determining its members’ output levels, the statement added.

The JMMC usually meets every two months and can make recommendations to change policy.

It will hold its next meeting on Dec. 1, ahead of a full meeting of OPEC+.


Saudi Arabia calls for harmonized international efforts to ensure cybersecurity

Saudi Arabia calls for harmonized international efforts to ensure cybersecurity
Updated 02 October 2024
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Saudi Arabia calls for harmonized international efforts to ensure cybersecurity

Saudi Arabia calls for harmonized international efforts to ensure cybersecurity

RIYADH: Saudi Arabia’s Crown Prince Mohammed bin Salman on Wednesday emphasized the need to “harmonize international efforts” to ensure cybersecurity and “protect children in cyberspace,” the Saudi Press Agency reported.

In a message read at the opening ceremony of the two-day Global Cybersecurity Forum in Riyadh, the crown prince stated: “Cyberspace is closely linked to the growth of economies, the prosperity of societies, the security of individuals, and the stability of nations.”

According to SPA, he noted that due to the cross-border nature of cyberspace, it is essential to harmonize international efforts to seize the opportunities it presents and “face the challenges it presents, by investing in people.”

The event convenes high-level international figures, including former prime ministers, top government officials, decision-makers, policymakers, thought leaders, and CEOs from more than 125 countries. Welcoming the participants, the crown prince said: “The Kingdom of Saudi Arabia has always been a force for good for the benefit of humanity and human prosperity around the world. It has continuously worked to uphold the principle of cooperation and strengthen international collaboration toward efforts that support development and prosperity for all nations. It has initiated several initiatives aimed at achieving these genuine goals in all sectors.”

He added: “Believing in the importance of investing in people in this vital and promising domain, in 2020 we launched two global initiatives. The first relates to protecting children in cyberspace, and the second focuses on empowering women in the field of cybersecurity. The institute for the Global Cybersecurity Forum is entrusted with overseeing both initiatives, as well as implementing the associated projects.”

He highlighted the progress made by these initiatives, particularly the increased understanding of needs at the global level that has led to new and inspiring visions, enabling the GCF to develop impactful initiatives and programs, publish research and studies, and formulate new frameworks and strategies. These efforts empower decision-makers worldwide to develop policies and programs that enhance child protection in cyberspace and promote women’s participation in the field of cybersecurity.


Women’s risk management, attention to detail give edge in cybersecurity, forum told

Women’s risk management, attention to detail give edge in cybersecurity, forum told
Updated 02 October 2024
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Women’s risk management, attention to detail give edge in cybersecurity, forum told

Women’s risk management, attention to detail give edge in cybersecurity, forum told

RIYADH: Women are playing an increasingly vital role in the cybersecurity industry, leveraging their strengths in risk management and attention to detail, according to the chair of the Cyberpsychology Department at Capital Technology University. 

Speaking at the Global Cybersecurity Forum in Riyadh, Mary Aiken noted that women’s focus on evaluating risks and their intuitive understanding of threats result in stronger decision-making and strategic outcomes for organizations. 

This comes as women are projected to make up 30 percent of the global cybersecurity workforce by 2025, with that figure rising to 35 percent by 2031, according to Cybersecurity Ventures. 

Aiken highlighted that attention to detail is a crucial skill in cybersecurity roles like data analysis, emphasizing that women excel in this area.

“The research says you get better strategic decision-making, you get better risk management because women are very focused on evaluating risk and have good intuitive perceptions around risk,” she said. 

Aiken also pointed out that women often demonstrate high levels of verbal fluency, which contributes to their effectiveness as leaders in the cybersecurity field. “They actually make good leaders and cyber leaders,” she noted. 

Additionally, she emphasized that diplomatic skills and empathy, often seen as gender-based traits, play a key role in attracting and retaining talent in the industry. 

Also present on the panel, Chief Information Officer at Paladin Capital Group Christopher Steed emphasized that despite the benefits of gender diversity, only 2 percent of venture-backed startups in 2023 were women-led. In the cybersecurity field, that number is slightly higher, ranging between 10 percent and 13 percent. 

“Our numbers when it comes to women-led startups are actually higher than that; however, I think it’s also important to broaden the definition. It can’t just be women-founded; it can’t just be women in C-level positions. It’s also the employee base,” he added. 

David Hoffman, professor of cybersecurity policy at Duke University, echoed these sentiments, sharing his experience with female students leading in cybersecurity competitions. 

“Our national championship cyber team has predominantly been led by women, but that doesn’t mean they aren’t already facing an uphill struggle and barriers that some of their male colleagues and peers do not,” he concluded. 

The Global Cybersecurity Forum, which runs from Oct. 2 to 3, focused on enhancing collaboration in cyberspace under the theme “Advancing Collective Action.” 

The event gathers global leaders from technology, public policy, and defense sectors to address strategic priorities in the cybersecurity landscape. 


US National Cyber Director calls for global cybersecurity overhaul at Riyadh forum

US National Cyber Director calls for global cybersecurity overhaul at Riyadh forum
Updated 02 October 2024
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US National Cyber Director calls for global cybersecurity overhaul at Riyadh forum

US National Cyber Director calls for global cybersecurity overhaul at Riyadh forum

RIYADH: Cyberspace has become increasingly fragile due to decades of prioritizing innovation and market efficiency over security, according to experts at the Global Cybersecurity Forum in Riyadh. 

The discussion highlighted that attackers, often organized in syndicates, have outpaced defenders, who are typically constrained by operating in silos, making cybersecurity a global challenge that requires collective action.

US National Cyber Director Chris Inglis stressed the inherent vulnerabilities in digital infrastructure, attributing it to the rapid pace of technological development. 

“For 50 years, as we’ve developed the internet and all of the associated technologies, innovation and market efficiency have been the predominant drivers, and safety has always been the poor third child in the corner,” he said. 

This oversight, he highlighted, has left many systems challenging to defend, with resilience often being an afterthought.

Inglis emphasized the importance of moving beyond isolated defense strategies, advocating for closer collaboration between governments, private sectors, and international bodies. 

He proposed a new “social contract” for cyberspace, fostering shared responsibility to address existing vulnerabilities and emerging threats. 

According to Inglis, frameworks for information sharing and collective action are key to closing the gap between attackers and defenders.

The conversation also turned to the increasing role of artificial intelligence in cybersecurity. 

While acknowledging that AI is currently being used more effectively by attackers, Inglis expressed optimism about its potential to serve as a powerful defensive tool. 

“At the moment, generative AI tends to be more frequently used by the attacker, so that at the moment is something where the attackers are ahead of the defenders. That’s not necessarily the way it needs to be,” Inglis stated. 

He called for a more strategic approach to AI development, with a focus on ensuring that it remains under human control and aligned with ethical standards. “We should not, must not, develop AI for its own sake. We have to develop it because we have some plan in mind of what we want it to do,” he emphasized.

Inglis outlined key actions needed to bolster global cyber resilience. These include establishing information-sharing protocols, encouraging collaboration across sectors, and leveraging government resources to complement private sector capacities, particularly in critical areas like finance. 

Governments, he suggested, have unique access to intelligence that can inform broader defense strategies, while the private sector excels at innovation and rapid deployment of solutions.

The panel also stressed the need for proactive measures to stay ahead of evolving threats. The global community can create a safer, more resilient digital environment by prioritizing security in future innovations and ensuring that AI technologies are developed responsibly. 

These remarks echo the notions raised during the discussions at the UN General Assembly in September, where global leaders called for robust AI governance to prevent its misuse in spreading misinformation and destabilizing democratic processes. 

Concerns over cybersecurity developments were raised at another panel at the forum in Riyadh by Paul Selby, chief information security officer at the US Department of Energy.

He painted a bleak picture of the current state of global defensive capabilities in the industry, but added: “Now, what gives me hope? This gives me hope that we're all here. We're all talking about it. The first step in correcting any problem is recognizing the problem,.” 

He added that the cost of attacks through supply chain risk management, or as a result of not having supply chain risk management, was $46 billion in 2023 and that is expected to rise to $60 billion in 2025.

“There was last year, 245,000 malware instances in Open Source Software. That's more than double the previous four years,” he added.

“Our adversaries are moving faster than we are reacting," Selby stressed, underscoring the need for a united global response.