Seetharaman speaking at the knowledge sharing session on “Opportunities in Qatar and GCC” at the Trident Hotel, Mumbai recently. LEFT: Doha Bank chairman Sheikh Fahad bin Mohamed bin Jabor al-Thani, managing director Sheikh Abdul Rehman bin Mohamed bin Jabor al-Thani; directors, Sheikh Abdulla Mohamed Jabor al-Thani and Ahmed Abdulla Ahmed al-Khal among other dignitaries at the event.
India and GCC countries can harness strong energy relationship by extending their partnership to manufacture value-added products such as refining, petrochemicals, plastics, fertilisers and pharmaceuticals, Doha Bank Group CEO Dr R Seetharaman has said.
He was speaking at a knowledge sharing session on “Opportunities in Qatar and GCC” at the Trident Hotel, Mumbai recently.
The event was held in the run up to Doha Bank’s entry into the Indian financial market as it received the licence to commence banking operations in India.
The event was attended among others by Doha Bank chairman Sheikh Fahad bin Mohamed bin Jabor al-Thani, managing director Sheikh Abdul Rehman bin Mohamed bin Jabor al-Thani, directors, Sheikh Abdulla Mohamed Jabor al-Thani and Ahmed Abdulla Ahmed al-Khal.
Seetharaman said projects worth more than $450bn are expected to be launched in 2014 in the Gulf. Qatar, UAE and Kuwait are expected to implement projects worth more than $70bn, $85bn and $70bn respectively in 2014. GCC (Gulf Co-operation Council) airports are planning to increase their capacities.
The GCC is expected to attract $57bn into petrochemical industry over the next five years. The growing demand for healthcare services coupled with regulatory changes and emphasis on quality healthcare makes the GCC a huge potential investment destination for the Indian healthcare companies.
Qatar plans to spend more than $1bn in the next five years to build and equip hospitals and medical cities. India is an ideal source for sourcing and developing agro-based value chain in the GCC region. Indian investors in turn have huge opportunities for investment in knowledge and skill-based services in the GCC, particularly in fields such as IT, Seetharaman said.
With greater emphasis on education and push for scientific research facilities in the GCC, universities and research institutes from India can use their expertise and the market opportunities to expand in the region, he said.
On Qatar–India bilateral trend Seetharaman said, “Qatar is the largest supplier of LNG to India. There is a large market for Qatar’s LNG, oil and petrochemical sectors in India.
RasGas entered into a 25 year, 7.5mn tonnes per year (tpy) sale and purchase agreement with Petronet and has been supplying the Indian market since 2004.
“The bilateral trade between the Qatar and India during 2012-13 exceeded $16bn. In May 2013, Qatar bought a 5% stake in Indian telecoms firm Bharti Airtel for $1.26bn. In March this year, India and Qatar agreed to enhance trade ties between them. Many Indian Companies such as L&T, Tata Projects, Voltas, and Punj Llyod have active relationships in the Qatari market,” Seetharaman said.
Highlighting GCC–India bilateral trade he said, “GCC - India trade increased by 8% in 2012-13 when compared to previous year. Imports of the GCC from India increased by 13% in 2012-13 when compared to previous year to $51bn. Exports of the GCC countries to India increased by 6% in 2012-13 when compared to previous year to $108bn. India and the GCC identified sectors such as oil and gas, fertiliser and information technology as key areas of co-operation. In the financial year that ended in March 2013, remittances from the GCC to India rose to $24.93bn from $16.43bn in 2011. The GCC will continue to grow in its stature as a major remittance source to India.”
On Indian economy, Seetharaman said, “India’s gross domestic product (GDP) grew at the rate of 4.8% during July-September 2013, better than the country’s growth in April–June 2013 of 4.4%. The economic growth is expected to be below 5% for 2013-2014. India‘s wholesale-price index (WPI) rose 4.68% from a year earlier in February 2014 compared with 5.05% in January 2014.
“India‘s consumer-price inflation (CPI) slowed to 8.1% in February 2014 when compared with 8.79% in January 2014. India’s current account deficit was at $4.2bn during October–December 2013 at four-year low on account of a decline in gold imports. Indian stock market surged close to 7% YTD and Indian rupee strengthened below 60 per dollar on huge capital inflows on account of huge capital inflows and on the hopes of a stable government in the forthcoming elections.”
