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The Qatar Stock Exchange on Sunday witnessed a rollercoaster ride for most part of the session before settling marginally lower despite buying interests in five of the seven sectors.The local retail investors were seen increasingly net sellers as the 20-stock Qatar Index shed about four points or 0.04% to 10,467.97 points, but recovering from an intraday low of 10,459 points.The foreign institutions’ weakened net buying interests had its influence on the main bourse, whose capitalisation melted QR0.75bn or 0.12% to QR612.32bn on the back of microcap and small cap segments.However, about 56% of the traded constituents were seen extending gains to investors in the main market, which saw as many as 0.02 exchange traded funds (sponsored by AlRayan Bank and Doha Bank) valued at mere QR0.04mn changed hands across six deals.The foreign retail investors turned bearish in the main bourse, whose trade turnover and volumes were on the decline.The Islamic index was seen making gains vis-à-vis declines in the other indices in the main bourse, which saw no trading of treasury bills.The Gulf institutions continued to be net profit takers but with lesser intensity in the main market, which saw no trading of sovereign bonds.The Total Return Index was down 0.04% and the All Share Index by 0.1%, while the All Islamic Index rose 0.41% in the main market.The banks and financial services sector index shed 0.59% and industrials 0.06%; whereas telecom declined 1.26%, real estate (1.06%), transport (0.86%), insurance (0.44%) and consumer goods and services (0.39%).Major losers in the main market included Beema, Aamal Company, Doha Insurance, Gulf International Services, Nakilat and Industries Qatar.In the junior bourse, both Al Mahhar Holding and Techno Q saw their shares depreciate in value.Nevertheless, Al Faleh Educational Holding, Qatar German Medical Devices, Milaha, Inma Holding, Qamco, Lesha Bank, Meeza, Qatari Investors Group, Ooredoo and United Development Company were among the movers in the main market.The Qatari individual investors’ net selling increased noticeably to QR22.05mn compared to QR15.37mn on January 16.The foreign individuals were net sellers to the extent of QR1.4mn against net buyers of QR1.58mn last Thursday.The foreign funds’ net buying decreased substantially to QR0.04mn compared to QR44.49mn the previous trading day.However, the domestic institutions turned net buyers to the tune of QR23.65mn against net sellers of QR4.28mn on January 16.The Arab individuals were net buyers to the extent of QR1.1mn compared with net profit takers of QR0.9mn last Thursday.The Gulf retail investors turned net buyers to the tune of QR0.23mn against net sellers of QR0.29mn the previous trading day.The Gulf institutions’ net profit booking weakened significantly to QR1.56mn compared to QR25.3mn on January 16.The Arab institutions had no major net exposure against net buyers to the tune of QR0.1mn last Thursday.Trade volumes in the main market shrank 13% to 139.96mn shares, value by 32% to QR267.48mn and deals by 29% to 10,539.The venture market saw a 65% contraction in trade volumes to 0.24mn equities, 63% in value to QR0.66mn and 20% in transactions to 49.

International credit rating agency Capital Intelligence (CI) has affirmed the long-term foreign and local currency rating (LT FCR and LT LCR) of Qatar at ‘AA’.The sovereign’s short-term (ST) FCR and ST LCR have also been affirmed at ‘A1+’. The outlook for the ratings remains "stable."The ratings reflect Qatar’s very strong external balances and budgetary performance, supported by still favourable liquefied natural gas (LNG) prices.The ratings also take into account the country’s capacity to absorb external or financial shocks given the large portfolio of foreign assets held by the Qatar Investment Authority (QIA) and consequent comfortable net external creditor position when including these assets.The ratings continue to be supported by substantial hydrocarbon reserves, expanding LNG production and export capacity, and very high GDP (gross domestic product) per capita, as well as high and increasing official foreign reserves.Highlighting that the public finances remain strong; CI said the government budget recorded a surplus of 0.6% of GDP in the first half (H1) 2024, but is expected to have posted a larger overall surplus of 2.9% for the full year (down from 5.6% in 2023).Moving forward, the budget surplus is expected to average 3% of GDP in 2025-26, supported by an expected increase in LNG or liquefied natural gas production capacity from the North Field and, consequently, a lower fiscal breakeven hydrocarbon price.While the reliance on hydrocarbon revenues remains a rating constraint, the government has ample leeway to respond to severe fluctuations in hydrocarbon prices given the size of fiscal buffers and the degree of expenditure flexibility.The sovereign’s financial buffers remain large, and are considered a major supporting factor for the ratings.Very large current account surpluses have contributed to a very strong net external creditor position, when the external assets of QIA are included, it said, adding QIA’s total assets are estimated at around 230% of GDP in 2024.The government deposits increased to 15.3% of GDP in November 2024, while total government and government institution deposits in the domestic banking system were around 45.8% of GDP.Finding that economic activity remains positive, supported by the resilience of the non-hydrocarbon sectors; the report said real GDP is slated to have increased by 1.3% in 2024 against 1.2% in 2023."The short- to medium-term growth outlook remains relatively favourable", with real GDP expected to grow by an average of 3.8% in 2025-26, supported by infrastructure investment and higher expected production from Qatar’s largest gas field, as well as robust performance in the service sector, CI said.Nevertheless, risks to the growth outlook remain relatively large due to geopolitical risk factors following the war in Gaza, as well as tepid growth in major global economies, especially China, Qatar’s main LNG importer. Other risks include a faster than projected decline in the global reliance on hydrocarbons as a source of energy.At present, Qatar’s ratings continue to be underpinned by sizeable hydrocarbon reserves (around 12.9% of global gas reserves) and associated export capacity, which in turn provide the government with substantial financial means.Given the large hydrocarbon exports and rather small population, GDP per capita is expected to exceed $72,000 this year (higher than similarly rated peers)," CI said.

Margins in Qatar’s banking industry are expected to decline "modestly" in view of (an expected) lower rate regime, even as asset quality would get boost, according to Standard and Poor's (S&P), a global credit rating agency.Stabilising external debt, a related increase in funding costs from typically more expensive domestic sources, and interest rate cuts will crimp the margins by about 10-20 basis points or bps by the end of 2025, S&P said in a latest report.At the same time, oversupply in the real estate sector because of the World Cup will likely ease with lower rates, it said, adding this, in turn, would reduce banks’ cost of risk.Lower rates will reduce the net interest income of banks in selected emerging markets in Europe, the Middle East, and Africa (EMEA), it said, adding yet higher lending growth, improving asset quality, a lower cost of risk, or higher reliance on local funding sources will protect banks' bottom lines.Despite lower rates, "we expect credit growth to decelerate to an average of 5% in 2025 compared with an average of 8% in 2019-22, as the completion of many infrastructure projects means lower funding needs," the rating agency said.Expecting monetary easing to continue, albeit only gradually; it said the risk of the US Federal Reserve's easing bias being disrupted has increased due to ongoing consumer resiliency, excess inflation in the system, and uncertainty about expectations."The incoming US administration’s likely introduction of trade tariffs and immigration curbs could increase inflation in the US," the report said.After the Fed decreased rates by 100 bps in 2024, it could afford to slow the pace of rate cuts in the months ahead."We now expect the Fed to reduce rates by 75 bps in 2025, which is less than we previously anticipated," S&P said.Anticipating that the European Central Bank (ECB) will cut rates more quickly than expected due to persistently weak confidence and better visibility on disinflation; it said "we now project that the main policy rate will reach 2.5% before the summer of 2025, before our previous expectation of September 2025."Lower rates are likely to have a differentiated effect on selected emerging markets in EMEA, depending on the structure of their banking systems’ balance sheets, the correlation between their monetary policies and those of developed markets, and their dependence on external debt.Banking systems that depend more on external funding - such as those in Turkiye, Qatar, and, to a much lesser but increasing extent, Saudi Arabia - will benefit from the lower rates and higher global liquidity as this will make funding cheaper, according to the rating agency.The key factors to watch are management reactions, balance-sheet repositioning, and shifting global narratives about monetary easing resulting in fewer interest rate cuts, S&P said.

Softer US core inflation data and Gaza ceasefire had their reflection on the Qatar Stock Exchange (QSE), which settled in the positive trajectory this week.The domestic institutions were increasingly net buyers as the 20-stock Qatar Index rose 0.29% this week which saw QNB report net profit of QR16.72bn in 2024.The transport, telecom and industrials counters witnessed higher than average demand this week which saw Qatar Islamic Bank report net profit of QR4.61bn in 2024.The foreign institutions’ weakened net profit booking had its influence in the main market this week which saw Aamal Company’s moves to establish a subsidiary in Saudi Arabia.The Arab institutions turned net buyers, albeit at lower levels, in the main bourse this week which saw a total of 0.19mn AlRayan Bank-sponsored exchange-traded fund QATR worth QR0.43mn trade across 51 deals.The Gulf institutions continued to be net buyers but with lesser intensity in the main market this week which saw as many as 0.01mn Doha Bank-sponsored exchange-traded fund QETF valued at QR0.11mn change hands across 12 transactions.The foreign retail investors also continued to be bullish but with lesser vigour in the main bourse this week which saw AlRayan Bank, in partnership with ProgressSoft, implement the Qatar Central Bank’s new real time gross settlement system.The Islamic index was seen declining vis-à-vis gains in the other indices in the main market this week, which saw market capitalisation decline QR0.74bn or 0.12% to QR613.07bn on the back of microcap segments.Trade turnover and volumes were on the increase in the main market as well as junior bourse this week which saw no trading of treasury bills.The local retail investors were increasingly net sellers this week which saw no trading of sovereign bonds.The Total Return Index rose 0.29% and the All Share Index by 0.07%; while the All Islamic Index was down 0.18% this week which saw the global credit rating agency Moody’s view that Qatar’s growth will be supported by petrochemicals industry and construction related to expansion of liquefied natural gas.The transport sector index shot up 3.37%, telecom (1.07%) and industrials (0.52%); while real estate declined 1.33%, consumer goods and services (0.78%), insurance (0.78%) and banks and financial services (0.46%) this week which saw industrials, banking and realty sector together constitute about 71% of total trade volumes.Major gainers in the main market included Nakilat, Al Faleh Educational Holding, Aamal Company, Doha Insurance, Estithmar Holding, Qamco, Mazaya Qatar and Ooredoo. In the junior bourse, both Al Mahhar Holding and Techno Q saw their shares appreciate in value this week.As much as 62% of the traded constituents were in the red with major losers being Qatar General Insurance and Reinsurance, Ezdan, Lesha Bank, Gulf Warehousing, Alijarah Holding, Dukhan Bank, Masraf Al Rayan, Widam Food and Meeza this week.The domestic institutions’ net buying increased substantially to QR92.04mn compared to QR22.53mn the week ended January 9.The Arab funds turned net buyers to the sellers to the extent of QR0.68mn against net sellers of QR0.1mn a week ago.The foreign institutions’ net selling decreased noticeably to QR82.29mn compared to QR99.17mn the previous week.However, the Qatari individuals’ net selling strengthened markedly to QR16.96mn against QR4.66mn the week ended January 9.The Arab retail investors were net sellers to the tune of QR6.74mn compared with net buyers of QR16.57mn a week ago.The Gulf individuals turned net profit takers to the extent of QR3.69mn against net buyers of QR2.25mn the previous week.The Gulf institutions’ net buying shrank drastically to QR13.42mn compared to QR50.5mn the week ended January 9.The foreign individual investors’ net buying eased notably to QR3.53mn against QR12.09mn a week ago.The main market saw 4% jump in trade volumes to 670.83mn shares, 2% in value to QR1.89bn and 4% in deals to 72,381 this week.In the venture market, trade volumes were up 2% to 1.83mn equities and value by 2% to QR4.64mn, whereas transactions tanked 25% to 155.

Transiting through Doha is, on average, 8.1% cheaper than via Dubai, making it imperative for Qatar to accord top priority for a “competitive” stopover programme, according to a Georgetown University in Qatar study.A study of ‘Qatar’s Airfare Competitiveness’ by Dr Alexis Antoniade, Professor Director, and Chair of International Economics at Georgetown University in Qatar, found that on average, across all origin-destination pairs and time periods, travellers save 8.1% by choosing Doha over Dubai for transit.Flights connecting North America and Africa that transit through Doha were, on average, 11.2% cheaper than those transiting through Dubai, it said, analysing 100mn airfares across 157 destinations between February 2023 and October 2024 (both point-to-point and transit flights through Doha).Similarly, flights connecting the Middle East and Western Europe via Doha were 10.8% cheaper than those via Dubai, it said, adding across all regional pairs, Qatar provides cost savings for transit flights.Suggesting that a “competitive stopover programme should be Qatar’s top priority”; he said to boost tourism, the focus should not be on what to build or where to build, as this approach overlooks the main barrier to increasing tourist numbers identified.“Instead, the focus should be on how to encourage the millions of travellers passing through Doha airport to step out and visit Qatar for a few nights,” he added.A successful stopover programme would provide an immediate boost to the tourism sector, offering critical support to the hospitality, retail, and entertainment industries, according to him.Additionally, it would organically promote Qatar’s beauty and offerings as tourists share images and stories on their social media platforms, enhancing brand awareness, according to him.Such a programme would also improve economic sentiment, as busier streets, malls, and restaurants would create a sense of vibrancy, he said. This, in turn, would drive growth in the real estate sector and make Qatar more attractive to companies, foreign direct investment (FDI), and talent, he added.Results highlight a significant airfare premium for point-to-point travel to Qatar, which was 39% higher on average compared to Dubai, limiting Qatar’s attractiveness as a destination. A key factor that may explain these large cost premia, which make Qatar an uncompetitive travel destination, is the greater number of carriers operating at DXB (Dubai International Airport) - including low-cost carriers - and increased competition that is absent in Qatar.Highlighting that the average cost of economy airfare for round-trip travel to or from Qatar and the 157 airports included in the study, the author said the average airfare for economy round-trip flights to and from Qatar between February 2023 and October 2024 was $1,355 for non-stop flights and $1,541 for one-stop.When evaluating Qatar’s airfare competitiveness, the study found that Qatar is a “significantly” more expensive destination compared with Dubai across all regions, regardless of whether non-stop or one-stop flights are considered.Travellers flying to Qatar from South Asia and back (or travellers flying from Qatar to South Asia and back) have paid on average 82.2% more than those in Dubai for similar trips. Even within Middle East and North Africa or Mena travel, point-to-point travel to or from Doha was, on average, 45.5% more expensive than comparable travel to or from Dubai.

The Qatar Central Bank (QCB) has granted sandbox entry approval to Madad Financial Technologies.The approval was granted in line with the Third Financial Sector Strategy, the Fintech Strategy, and the QCB's efforts to develop and regulate the fintech ecosystem in the country.Madad Financial Technologies offers an innovative digital invoice discounting marketplace designed specifically for micro, small, and medium enterprises (MSMEs).This step highlights QCB's commitment to fostering the financial sector and advancing the objectives of the third financial sector strategy.However, QCB said the entry into the regulatory sandbox does not equate to full-scale licensing approval; rather the applicant is considered an authorised fintech sandbox participant for regulatory activities by the fintech entity.

The US President-elect's gradual approach to raising tariffs and hopes of ceasefire in Gaza had their respective positive impact on the global and regional bourses, reflecting in a 165-point gain on the Qatar Stock Exchange (QSE).The domestic institutions were seen increasingly net buyers as the 20-stock Qatar Index on Tuesday shot up 1.62% to 10,384.89 points, recovering from an intraday low of 10,283 points.The transport and banking counters witnessed higher than average demand in the main bourse, whose capitalisation added QR8.23bn or 1.37% to QR608.65bn on the back of large and midcap segments.More than 65% of the traded constituents extended gains in the main market, which saw no trading of exchange traded funds (sponsored by AlRayan Bank and Doha Bank).The Gulf institutions were increasingly bullish in the main bourse, whose trade turnover grew amidst lower volumes.The Islamic index was seen gaining slower than then the other indices in the main bourse, which saw no trading of treasury bills.The foreign institutions’ weakened net profit booking had its influence in the main market, which saw no trading of sovereign bonds.The Total Return Index gained 1.62%, the All Share Index by 1.53% and the All Islamic Index by 0.95% in the main market.The transport sector shot up 5.03%, banks and financial services (1.77%), telecom (0.73%), consumer goods and services (0.72%), industrials (0.59%) and insurance (0.26%); while real estate declined 0.19%.Major gainers in the main market included Nakilat, Qatar Islamic Bank, QIIB, QNB, Industries Qatar, Aamal Company and Ooredoo.In the junior bourse, Al Mahhar Holding saw its shares appreciate in value.Nevertheless, Gulf Warehousing, Inma Holding, Qatar Oman Investment, Al Faleh Educational Holding and Dukhan Bank were among the losers in the main bourse.In the venture market, Techno Q saw its shares depreciate in value.The domestic institutions’ net buying increased substantially to QR42.47mn compared to QR13.4mn on January 13.The Gulf institutions’ net buying strengthened significantly to QR24.63mn against QR1.65mn the previous day.The foreign institutions’ net selling decreased considerably to QR38.29mn compared to QR71.34mn on Monday.However, the Qatari individuals turned net sellers to the tune of QR24.24mn against net buyers of QR40.47mn on January 13.The Arab retail investors were net sellers to the extent of QR3.24mn compared with net buyers of QR7.67mn the previous day.The foreign individuals turned net profit takers to the tune of QR1.37mn against net buyers of QR7.14mn on Monday.The Gulf retail investors’ net buying weakened marginally to QR0.04mn compared to QR0.43mn on January 13.The Arab institutions had no major net exposure against net buyers to the extent of QR0.58mn the previous day.Trade volumes in the main market fell 6% to 132.88mn shares, while value was up 5% to QR435.15mn but on 4% shrinkage in deals to 16,547.The venture market saw a 15% contraction in trade volumes to 0.46mn equities and 16% in value to QR1.13mn but on 3% jump in transactions to 34.

Aamal Company, one of the region’s leading diversified companies, is planning to establish a new subsidiary entity in Saudi Arabia.This "promising" addition to Aamal's investment portfolio will be part of the industrial manufacturing sector, one of the company's key operating sectors.The newly established company will specialise in a broad range of activities aimed at providing integrated solutions in the construction and infrastructure sector. These include project design and participation in tenders, technical and engineering supervision and consulting services, production of precast concrete elements such as pillars and walls, manufacturing high-quality concrete pipes for water and wastewater networks, transportation and installation services for concrete components, quality control and inspections, comprehensive project management solutions, engineering solution development, and custom-built construction components based on demand."The establishment of the new company is a part of Aamal's strategic plan to expand its operations and enhance its presence in new and promising markets, with Saudi Arabia being one of the most dynamic regional and global markets at present," said its chief executive officer Rashid bin Ali al-Mansoori.Through this company, he said Aamal aims to strengthen its regional expansion by establishing a solid business base in Saudi Arabia.It also opens new avenues for exploring opportunities in vital sectors such as technology and energy, while underpinning Aamal's position in the construction and infrastructure industry through sustainable strategic growth.

Inflation worries and expected higher interest regime in the US on account of latest job data had their reflection on the Qatar Stock Exchange (QSE), which Monday saw its key index plummet as much as 185 points and capitalisation erode more than QR10bn.The foreign institutions were seen increasingly net profit takers as the 20-stock Qatar Index rose 1.78% to 10,219.69 points, although it touched an intraday high of 10,408 points.An across the board selling – notably in the banking and telecom counters -- was visible in the main bourse, whose capitalisation eroded QR10.18bn or 1.68% to QR600.42bn on the back of large and midcap segments.As much as 96% of the traded constituents were in the red in the main market, which saw a total of 0.01mn exchange traded funds (sponsored by AlRayan Bank and Doha Bank) valued at QR0.06mn change hands across seven transactions.The Gulf institutions’ weakened net buying had its effect on the main bourse, whose trade turnover and volumes were on the rise.The Islamic index was seen declining slower than then the other indices in the main bourse, which saw no trading of treasury bills.However, the local retail investors were seen bullish in the main market, which saw no trading of sovereign bonds.The Total Return Index shed 1.78%, the All Share Index by 1.67% and the All Islamic Index by 1.64% in the main market.The telecom sector index tanked 2.54%, banks and financial services (1.95%), transport (1.55%), industrials (1.37%), consumer goods and services (1.36%), real estate (0.47%) and insurance (0.16%).Major losers in the main market included Industries Qatar, Ooredoo, Qatar Islamic Bank, QIIB, Ezdan, Qatari Investors Group, Widam Food, Alijarah Holding, Mesaieed Petrochemical Holding, Gulf Warehousing, Nakilat, Milaha and Salam International Investment. In the junior bourse, both Al Mahhar Holding and Techno Q saw their shares depreciate in value.Nevertheless, Doha Insurance and Vodafone Qatar were the two gainers in the main market.The foreign institutions’ net selling increased significantly to QR71.34mn compared to QR8.82mn on January 12.The Gulf institutions’ net buying weakened noticeably to QR1.65mn against QR11.72mn the previous day.However, the Qatari individuals turned net buyers to the tune of QR40.47mn compared with net sellers of QR0.83mn on Sunday.The domestic institutions were net buyers to the extent of QR13.4mn against net sellers of QR0.53mn on January 12.The Arab individuals turned net buyers to the tune of QR7.67mn compared with net profit takers of QR0.09mn the previous day.The foreign retail investors were net buyers to the extent of QR7.14mn against net sellers of QR0.19mn on Sunday.The Arab institutions turned net buyers to the tune of QR0.58mn compared with no major net exposure on January 12.The Gulf individual investors were net buyers to the extent of QR0.43mn against net sellers of QR1.27mn the previous day.Trade volumes in the main market soared 60% to 141.17mn shares and value by 91% to QR415.24mn on more than doubled transactions to 17,257.The venture market saw trade volumes grow six-fold to 0.54mn equities and value by more than five-fold to QR1.34mn on more than doubled deals to 33.

Higher Islamic debt issuances by Qatar and Saudi Arabia supported the growth in aggregate sukuk in the GCC or Gulf Co-operation Council in 2024, according to Kamco Invest, a regional economic think-tank.Total sukuk issuances in the GCC stood at a record high of $82.1bn in 2024 against $56.1bn in 2023 whereas non-GCC global sukuk issuances stood at $50.4bn in 2024 compared to $65.1bn in 2023, Kamco said in its latest report.Within the Middle East and North Africa region, the GCC was the key driver of higher bond issuances in 2024, accounting for more than 73% of the total issuances.Total bond issuances by GCC countries reached a record high at $103.4bn in 2024, an increase of 71% or $42.9bn.The UAE witnessed the biggest growth in issuances during the year reaching $49.7bn compared to $31.2bn in 2023, followed by Qatar that recorded a growth of $13.4bn.The UAE was also the biggest bond issuer in the region followed by Saudi Arabia and Qatar with aggregate issuances of $30.8bn and $16.8bn, respectively.In terms of type of issuers in the GCC, both government and corporates in the region registered higher year-on-year issuances in 2024.Total sovereign bond issuances in the GCC stood at $33.3bn in 2024 against $20.2bn in 2023; while the GCC corporates saw issuances of $70.1bn in 2024 compared to $40.3bn in 2023, Kamco said.Highlighting that the outlook for 2025 remains clouded by a number of factors, most important one being the expected policies of the new incoming government in the US; it said the likely change in policies in the US is forecasted to be inflationary, further adding to US Fed’s worries about fighting sticky inflation.In terms of GCC fixed income issuances, maturities are elevated in 2025 at $89.8bn and the refinancing of these instruments are expected to account for the bulk of the issuances by corporates and governments in the region this year, it said."We are seeing a fund raising spree in the US as treasury yields are trending upwards," the report said.The recent issuance of $12bn bonds by Saudi Arabia and the $1bn sukuk issuance by Kuwait’s KFH are seen as following similar strategies.Issuances in 2025 would be further supported by a strong pipeline of projects across the GCC related to the respective diversification goals, according to Kamco."We expect fresh issuances to come during the second half of 2025 as more clarity emerges in terms of interest rates and inflation," it said.A fear that some of the rate cuts may be reversed in 2026 could also trigger higher issuances to lock in lower rates, it said, adding fiscal deficits by some sovereigns in the region, including Saudi Arabia’s forecasted $27bn, is another factor supporting issuances by GCC sovereigns."The outlook for sukuk issuances is also positive with GCC expected to dominate the market once again, in line with the last few years," it said.A rising demand for sukuks as well as sustainable financing is expected to drive growth in global issuances of sukuks and ESG or environmental, social and governance-compliant sukuk instruments, according to Kamco.

The Qatar Stock Exchange (QSE) saw strong profit booking from foreign funds, leading to 130 points plunge in key index this week, which otherwise saw the Ministry of Commerce and Industry unveil the 2024-30 strategy, targeting 3.4% growth in non-hydrocarbon gross domestic product (GDP) and $100bn foreign direct investment. The real estate and banking counters experienced higher than average selling pressure as the 20-stock Qatar Index shed 1.23% this week which saw the global credit rating agency Standard and Poor’s view Qatar banks as profitable and seen benefitting from strong capitalisation and adequate liquidity. The local retail investors were seen bearish this week which saw the World Travel & Tourism Council forecasts that travel and tourism share to Qatar GDP may account for 13% in 2034. The domestic institutions’ substantially weakened net buying had its influence in the main market this week which saw the Qatar Central Bank’s stress results indicate that all Qatari banks have “sufficient cushion” available to withstand liquidity risks. The Arab institutions turned net sellers, albeit at lower levels, in the main bourse this week which saw a total of 0.09mn AlRayan Bank-sponsored exchange-traded fund QATR worth QR0.19mn trade across 28 deals. However, the Gulf institutions were seen bullish in the main market this week which saw as many as 0.01mn Doha Bank-sponsored exchange-traded fund QETF valued at QR0.05mn change hands across six transactions The Arab retail investors turned net buyers in the main bourse this week which saw container, RORO and livestock movements through Qatar’s ports saw brisk growth in 2024. The Islamic index was seen declining slower than the other indices in the main market this week, which saw market capitalisation decline QR7.05bn or 1.14% to QR613.81bn on the back of large and midcap segments. Trade turnover and volumes were on the increase in the main market, while the junior bourse saw lower turnover and volumes this week which saw no trading of treasury bills and sovereign bonds. The Total Return Index shed 1.23%, the All Share Index by 1.17% and the All Islamic Index by 0.85% this week. The realty sector index tanked 2.44%, banks and financial services (2.04%), transport (1.06%), industrials (0.84%) and insurance (0.53%); while telecom gained 4.37% and consumer goods and services (0.65%) this week. As much as 69% of the traded constituents were in the red with major losers being Ezdan, Meeza, United Development Company, Qatar Islamic Bank, Milaha, QNB, Commercial Bank, QIIB, Qatar Oman Investment, Lesha Bank, Baladna, Al Faleh Educational Holding, Gulf International Services, Mesaieed Petrochemical Holding and Estithmar Holding. In the venture market, Techno Q saw its shares depreciate in value this week. Nevertheless, Zad Holding, Qatar Cinema and Film Distribution, Ooredoo, Qatar National Cement, Qatari Investors Group, Doha Bank, Aamal Company, Qatari Investors Group and Vodafone Qatar were among the gainers in the main market. In the junior bourse, Al Mahhar Holding saw its shares appreciate in value this week. The foreign institutions’ net selling increased drastically to QR99.17mn against QR18.44mn the week ended January 2. The Qatari individual investors were net sellers to the tune of QR4.66mn against net buyers of QR1.98mn the previous week. The Arab funds turned net sellers to the extent of QR0.1mn compared with net buyers of QR0.01mn a week ago. The domestic institutions’ net buying declined substantially to QR22.53mn against QR66.02mn the week ended January 2. However, the Gulf funds were net buyers to the tune of QR50.5mn compared with net sellers of QR7.85mn the previous week. The Arab retail investors turned net buyers to the extent of QR16.57mn against net profit takers of QR18.58mn a week ago. The foreign individuals were net buyers to the tune of QR12.09mn compared with net sellers of QR15.97mn the week ended January 2. The Gulf retail investors turned net buyers to the extent of QR2.25mn against net sellers of QR7.17mn the previous week. The main market saw trade volumes more than double to 642.35mn shares and value more than double to QR1.85bn on more than doubled deals to 69,685 this week. The venture market saw 49% contraction in trade volumes to 1.8mn equities, 47% in value to QR4.54mn and 4% in transactions to 208.

The Qatar Stock Exchange (QSE) on Thursday lost more than 14 points, dragged mainly by the real estate, transport and banking counters.The foreign funds were seen increasingly net sellers as the 20-stock Qatar Index lost 0.14% to 10,441.53 points, but recovering from an intraday low of 10,404 points.The Gulf retail investors turned net profit takers in the main bourse, whose capitalisation was melting QR1.08bn or 0.18% to QR613.81bn on the back of small and microcap segments.The Gulf institutions’ weakened net buying had its influence in the main market, which saw as many as 3,999 exchange traded funds (sponsored by AlRayan Bank and Doha Bank) valued at QR0.04mn change hands across five transactions.As much as 52% of the traded constituents were in the red in the main bourse, whose trade turnover and volumes were on the decline.The Islamic index was seen gaining vis-à-vis declines in the other indices of the main bourse, which saw no trading of treasury bills.The domestic funds were seen increasingly net buyers in the main market, which saw no trading of sovereign bonds.The Total Return Index fell 0.14% and the All Share Index by 0.18%, while the All Islamic Index was up 0.07% in the main market.The realty sector index shrank 0.73%, transport (0.49%), banks and financial services (0.4%), industrials (0.08%) and consumer goods and services (0.05%); whereas telecom and insurance gained 1.61% and 0.71% respectively.Major losers in the main market included Meeza, Zad Holding, United Development Company, Commercial Bank, Ezdan and QNB.Nevertheless, Widam Food, Qatar General Insurance and Reinsurance, Ooredoo, Mannai Corporation, Aamal Company, Doha Bank, Qatar German Medical Devices and Estithmar Holding were among the movers in the main bourse.In the venture market, Al Mahhar Holding saw its shares appreciate in value.The foreign institutions’ net selling increased noticeably to QR49.72mn compared to QR42.02mn on January 8.The Gulf retail investors turned net sellers to the tune of QR0.46mn against net buyers of QR0.68mn on Wednesday.The Gulf institutions’ net buying weakened substantially to QR9.91mn compared to QR19.27mn the previous day.The foreign individual investors’ net buying declined perceptibly to QR5.55mn against QR8.88mn on January 8.However, the domestic institutions’ net buying strengthened markedly to QR25.66mn compared to QR22.06mn on Wednesday.The Qatari individuals were net buyers to the extent of QR5.92mn against net sellers of QR10.74mn the previous day.The Arab individual investors’ net buying expanded noticeably to QR3.14mn compared to QR1.97mn on January 8.The Arab institutions had no major net exposure against net profit takers to the tune of QR0.1mn on Wednesday.Trade volumes in the main market shrank 22% to 123.52mn shares, value by 23% to QR391.12mn and transactions by 27% to 14,581.The venture market saw doubling of trade volumes to 0.04mn equities and 67% surge in value to QR0.1mn but on 36% contraction in deals to nine.

Qatar's banking sector is profitable and benefit from strong capitalisation and adequate liquidity, as "significant" jump in liquefied natural gas (LNG) production and its spillover effect on non-hydrocarbons will support credit growth in the next two to three years, according to Standard and Poor's (S&P).In its latest report, S&P said Qatari banks are well capitalised with the total capital ratio and Tier 1 ratio, including capital conservation buffer for the whole banking system, remain well above the central bank’s minimum requirements of 12.5% and 10.5%, respectively.Supportive shareholders, dividend payouts that tend to be below 50% and strong profitability are slated to contribute to stable capitalisation levels, it said.The (profitability) trend is expected to continue with an only modest drop in net interest margins owing to interest rate cuts, it said."We expect banks profitability to decline slightly due to the lower interest rates and the replacement of external funding by more expensive local funding sources," it said, expecting cost of risk to trend down, thanks to the supportive economic environment and lower rates, which will give some breathing space to struggling realty exposures.The rating agency said non-performing loans or NPLs will remain modestly elevated at about 4% in 2025 before dropping in 2026, when GDP (gross domestic product) and lending opportunities are expected to pick up amid the LNG expansion, but oversupply in the real estate and hospitality sectors would weigh on banks’ asset quality.Asset quality should stabilise, thanks to interest rate cuts, precautionary provisions booked over the past few years, and the government's tourism and non-oil diversification push, it however noted."The contribution of Turkiye and Egypt to exposed Qatari banks’ lending books is likely to shrink further due to the depreciation of local currencies and lending growth in Qatar," S&P said.Although geopolitical tensions in the Middle East are high, it however does not expect a full-scale regional conflict, and so anticipate macroeconomic conditions in Qatar to remain broadly “stable”.Qatar's North Field Expansion project will increase LNG production (by about 35% by 2027 in its forecast), it said, expecting growth to temporarily average 5.8% in 2026-27 compared with an average 2% growth in 2024-25A return to normal non-hydrocarbon economic activity, relatively flat LNG production until 2025, and completion of many capital projects imply lower requirements for credit, S&P said, forecasting slower domestic credit growth in Qatar of around 5% in 2025-26 against 11% average in 2019-20.Finding that most of the major infrastructure projects have been completed, softening the need for external funding; S&P said "we expect local funding sources will fund credit expansion in 2025-26."In the first nine months of 2024, domestic deposits increased by about 5% compared with less than 1% growth in 2023, it noted.

Container, RORO (vehicle) and livestock movements through Qatar's ports saw brisk growth during 2024 as Hamad Port emerged as a key transshipment hub in the region, according to official data.The positive yearly trajectory in vital parameters of maritime sector comes amidst the country's growing international trade to support its strong economic growth, especially in the non-energy private sector.As many as 2,803 ships had called on Qatar's three ports during 2024, which showed rose 1.28% over the previous year. The maximum number of ships berthed was in December and the lowest of 192 in April.The three ports were seen handling 130,684 vehicles (RORO) during 2024, which registered a 62.18% increase year-on-year. The RORO movement through three ports reached the maximum of 27,795 units in November 2024 and the lowest of 19,573 units in April 2024.RORO ships – which are designed to transport vehicles like cars, trucks, and motorcycles -- feature ramps that allow vehicles to drive directly on and off, eliminating the need for cranes and making it an efficient way to move cargo across the seas.The National Planning Council data reveals robust year-on-year growth in the registration of new vehicles for private use and private motorcycles, trailers and heavy equipment during majority of the months in 2024.The container handling through the three ports stood at 1.46mn TEUs (twenty-foot equivalent units) during 2024, which was up 9.55% on an annualised basis. The container movement recorded the maximum of 144,884 TEUs in June 2024 and the lowest of 87,005 in April 2024.The container terminals have been designed to address the increasing trade volume, enhance ease of doing business and support economic diversification, which is one of the most vital goals of the Qatar National Vision 2030.With a stacking area of 176,000 sqm, the container terminal 2 or CT2 is equipped with the latest advanced technology, including remote-operated ship-to-shore cranes, hybrid rubber-tyred gantries, and electric tractors.Hamad Port, which celebrated a huge milestone of exceeding 10mn TEUs since beginning operations in 2016, has rapidly evolved into a critical hub for international shipping, catering to the needs of all major global shipping lines.In 2024, Mwani Qatar achieved a 23% jump in transshipment cargo against the previous year, underscoring the growing prominence and trust that Hamad Port enjoys among global shipping lines as a key transshipment hub in the region, it said in its social medial handle X.The three ports were seen handling 543,713 livestock heads during 2024, which zoomed 22.46% on a yearly basis. The livestock movement through three ports saw the highest at 118,569 heads in March 2024 and the lowest of 19,573 heads in April 2024.The general cargo handled through three ports stood at 1.66mn freight tonnes during 2024, which however registered a 63.26% plunge year-on-year. The general and bulk cargo through the three ports was the highest in April 2024 when it was 235,432 freight tonnes and the lowest in June 2024 when it was 56,934 freight tonnes.The building materials handled amounted to 247,543 tonnes during 2024, showing a 53.15% slump on an annualised basis. This comes amidst the rebound of business activities, especially in the construction and real estate sectors.The building materials traffic witnessed the maximum of 52,242 tonnes in March 2024 and two months (September and October) had seen no movements.

The Qatar Stock Exchange (QSE) on Wednesday seen closing in the positive trajectory despite net profit booking pressure in four of the seven sectors.The domestic and Gulf institutions were seen net buyers as the 20-stock Qatar Index rose 0.04% or about five points to 10,455.97, recovering from an intraday low of 10,366 points.The transport and telecom counters witnessed higher than average demand in the main bourse, whose capitalisation was down QR0.38bn or 0.06% to QR614.89bn on the back of microcap segments.The foreign individuals were also seen net buyers in the main market, which saw no trading of exchange traded funds (sponsored by AlRayan Bank and Doha Bank).More than 59% of the traded constituents extended gains to investors in the main bourse, whose trade turnover and volumes were on the increase.The Islamic index was seen gaining slower than the key index in the main bourse, which saw no trading of treasury bills.The Gulf retail investors were seen net buyers in the main market, which saw no trading of sovereign bonds.The Total Return Index rose 0.04% and the All Islamic Index by 0.03%, while the All Share Index was down 0.07% in the main market.The transport sector index rose 1.15%, telecom (0.77%) and industrials (0.14%); while consumer goods and services declined 1.21%, real estate (0.93%), insurance (0.64%) and banks and financial services (0.16%).Major movers in the main market included Qatar Cinema and Film Distribution, Nakilat, Mekdam Holding, Ooredoo and Gulf Warehousing.Nevertheless, Zad Holding, Doha Bank, Gulf International Services, Estithmar Holding, Qatar German Medical Devices, Commercial Bank, Lesha Bank, Qatar Oman Investment, Widam Food, Baladna, Al Faleh Educational Holding, Ezdan and United Development Company were among the loses in the main bourse.In the venture market, Al Mahhar Holding saw its shares depreciate in value.The domestic institutions’ net buying strengthened markedly to QR22.06mn against QR10.38mn on January 7.The Gulf institutions turned net buyers to the tune of QR19.27mn compared with net sellers of QR0.22mn on Tuesday.The foreign individuals were net buyers to the extent of QR8.88mn against net profit takers of QR3.43mn the previous day.The Gulf retail investors turned net buyers to the tune of QR0.68mn compared with net sellers of QR2.22mn on January 7.The Qatari individual investors’ net selling declined significantly to QR10.74mn against QR33.88mn on Tuesday.However, the foreign funds were net sellers to the extent of QR42.02mn compared with net buyers of QR25.04mn the previous day.The Arab institutions turned net profit takers to the tune of QR0.1mn against no major net exposure on January 7.The Arab retail investors’ net buying weakened perceptibly to QR1.97mn compared to QR4.42mn on Tuesday.Trade volumes in the main market soared 24% to 158.25mn shares, value by 36% to QR509.47mn and transactions by 47% to 19,928.The venture market saw an 80% contraction in trade volumes to 0.02mn equities, 75% in value to QR0.06mn and 46% in deals to 14.

The Qatar Stock Exchange (QSE) on Tuesday gained as much as 75 points in key index and about QR3bn in capitalisation, tracking sentiments in the regional markets ahead of the US Federal Reserve’s upcoming interest rate decision.The transport and banking counters witnessed higher than average demand as the 20-stock Qatar Index rose 0.72% to 10,496.82 points, although it touched an intraday high of 10,510 points.The foreign funds were increasingly net buyers in the main bourse, whose capitalisation added QR2.96bn or 0.47% to QR618.88bn on the back of small cap segments.The domestic institutions were also increasingly bullish in the main market, which saw as many as 0.01mn ETFs or the exchange traded funds (sponsored by AlRayan Bank), valued at QR0.1mn change hands across nine deals.As much as 64% of the traded constituents extended gains to investors in the main bourse, whose trade turnover and volumes were on the increase.The Islamic index was seen gaining slower than the other indices of the main bourse, which saw no trading of treasury bills.The Arab retail investors were seen increasingly net buyers in the main market, which saw no trading of sovereign bonds.The Total Return Index rose 0.72%, the All Share Index by 0.65% and the All Islamic Index by 0.58% in the main market.The transport sector index shot up 1%, banks and financial services (0.95%), insurance (0.51%), industrials (0.42%), realty (0.08%) and consumer goods and services (0.05%); while telecom declined 0.63%.Major movers in the main market included Doha Bank, AlRayan Bank, Milaha, Commercial Bank, Qatar Islamic Bank, Inma Holding, Qatar Islamic Insurance, Barwa, Vodafone Qatar and Nakilat. In the junior bourse, Techno Q saw its shares appreciate in value.Nevertheless, Ooredoo, Mazaya Qatar, Ahlibank Qatar, Mekdam Holding and Ezdan were among the losers in the main bourse. In the venture market, Al Mahhar Holding saw its shares depreciate in value. The foreign institutions’ net buying increased substantially to QR25.04mn compared to QR0.04mn on December 9.The domestic institutions’ net buying strengthened markedly to QR10.38mn against QR8.93mn the previous day.The Arab retail investors’ net buying strengthened perceptibly to QR4.42mn compared to QR3.54mn on Monday.The Gulf institutions’ net profit booking declined noticeably to QR0.32mn against QR1.64mn on December 9.The Gulf retail investors’ net selling shrank remarkably to QR2.22mn compared to QR4.24mn the previous day. However, the Qatari individual investors’ net selling expanded significantly to QR33.88mn against QR7.73mn on Monday.The foreign individuals were net sellers to the tune of QR3.43mn compared with net buyers of QR1.06mn on December 9.The Arab institutions had no major net exposure for the fifth straight session.Trade volumes in the main market soared 31% to 138.32mn shares, value by 27% to QR404.36mn and transactions by 4% to 14,597.The venture market saw 50% contraction in trade volumes to 0.05mn equities, 54% in value to QR0.13mn and 32% in deals to 15.

Qatar reported an overall 0.8% year-on-year growth in real gross domestic product (GDP) during the second quarter (Q2) of 2024, powered by its non-oil sector, especially information and communication, transport and wholesale and retail trade, according to official estimates.Qatar's inflation-adjusted (real) economy is estimated to have grown despite contraction in the hydrocarbons sector, according to the National Planning Council (NPC) data.The real economy was up 1% on a quarterly basis during the review period with non-mining sector growth masking the decline in the mining sector.The mining and quarrying sector, under which hydrocarbons fall, is estimated to have fallen 2.6% year-on-year, but non-mining and quarrying sector jumped 2.8% to place the overall real GDP at QR177bn.The agriculture, forestry and fishing sectors were seen falling 5.2% and 4.8% on yearly and quarterly basis respectively during Q2-2024.On a quarterly basis, the real GDP (at constant prices) growth during Q2-2024 was mainly due to a 3.7% surge in the non-mining sector, even as mining and quarrying sector reported a 3.5% decrease.Within non-hydrocarbons, the information and communication segments is estimated to have expanded 8.8%, followed by transportation and storage (7.7%), real estate (6.9%), wholesale and retail trade (3.2%) and accommodation and food service (1.8%).Nevertheless, utilities saw a 6.9% decline, manufacturing (2.7%), construction (0.6%) and finance and insurance (0.1%) during the review period.On a quarterly basis, the accommodation and food services segment witnessed 9.1% surge, information and communication (8.4%), finance and insurance (7.2%), construction (7.2%), manufacturing (3.5%), realty (3%), wholesale and retail trade (1%), utilities (1%) and transportation and storage (0.2%) during Q2-2024.At constant prices, the construction sector contributed 11.1% to the GDP, followed by finance and insurance 8.5%, wholesale and retail trade 7.6%, manufacturing 7.4% and real estate 7.3% at the end of Q2-2024.On a nominal basis (at current prices), Qatar's GDP is estimated to have grown 0.7% and 0.9% year-on-year and quarter-on-quarter respectively at the end of Q2-2024.The non-mining and quarrying sectors shot up 1.8% and 3.7% on annualised and quarterly basis respectively during Q2-2024; whereas the mining sector reported 1% and 3.4% contraction year-on-year and quarter-on-quarter respectively.Within non-hydrocarbons (in nominal terms), there was an 8.2% year-on-year jump in transportation and storage, 7.9% in accommodation and food service, 7% in real estate and 4% in wholesale and retail trade during Q2-2024.Nevertheless, the construction sector saw a 3.8% decline, information and communication (3.6%), finance and insurance (1.6%), manufacturing (1.3%) and utilities (0.6%) during the review period.On a quarterly basis in nominal terms, the finance and insurance segment zoomed 9%, construction (7.5%), manufacturing (5.9%), real estate (3.9%) and wholesale and retail trade (0.6%) during Q2-2024.However, the information and communication segment saw a 3% shrinkage on a quarterly basis, transportation and storage (2.7%), utilities (0.5%) and accommodation and food services (0.3%) during Q2-2024.The import duties, on real terms, are estimated to have risen 10.7% year-on-year but shrank 12.1% quarter-on-quarter at the end of Q2-2024.On nominal terms, the import duties reported a 7.9% expansion year-on-year, whereas it plunged 8.9% on a quarterly basis during the review period.

Technology sits at the heart of the industry and is one of the key sectors to be used for achieving economic diversification of Qatar, which has already rolled out $2.5bn of incentives to encourage innovations and digitisation, HE the Finance Minister Ali bin Ahmed al-Kuwari on Saturday told the 22nd Doha Forum."Definitely this is the anchor...As part of our Third National Development Strategy toward Qatar Vision 2030, technology sits at the heart of our industry," al-Kuwari said at one of the panel sessions at the Doha Forum, which was moderated by Borge Brende, the World Economic Forum president and chief executive officer.Highlighting that the key growth is coming from technology, AI (artificial intelligence) and innovations; he said technology is no longer seen as a necessity only for improving processes but now it is viewed as a necessity to achieve economic growth."The role of technology is changing. And it's basically who has it today, they have the growth; who doesn't have it, they lost it," he said, referring to the critical importance of technology and innovations.In this context, the minister said Qatar has already pledged multi-billion dollar incentives to encourage innovations, digitisation and AI.At the Qatar Economic Forum 2024, HE the Prime Minister Sheikh Mohammed bin Abdulrahman bin Jassim al-Thani had announced $2.5bn in incentives to advance the country’s programmes in AI (artificial intelligence), technology and innovation.Al-Kuwari highlighted the $1bn fund-of-funds to attract funds from the region or overseas to establish the business in Doha.The Qatar Investment Authority’s (QIA) $1bn ‘fund-of-funds’, could catalyse venture capital (VC) activity in the country, experts said, adding the impact of the fund-of-funds extends beyond direct investments.Highlighting Ooredoo's $1bn investment in expanding data centre capacity and also its tie up with the US-chip maker Nvidia; Google Cloud Center of Excellence and Microsoft Azure establishing in free zones; the finance minister said, "We see Qatar already taking the position, and the opportunities are tremendous.""We are in a good position to leverage in that. Qatar has one of the fastest Internet speeds in the world, whether it's a mobile or fixed line. So this really gives us, a good opportunity," he said.Qatar has identified six critical factors – which include national innovation strategy, high research and development (R&D) levels and diverse funding options for SMEs (small and medium enterprises) – for establishing and maintaining a successful startup ecosystem, according to Invest Qatar.