QR360bn fund boost for health, education

HH the Emir Sheikh Hamad bin Khalifa al-Thani yesterday issued Law No 6 of 2013, establishing the Health and Education Fund with a capital of QR360bn, providing a solid base for the realisation of Qatar’s ambitious growth plans.

The Law comprises seven chapters and 30 articles. Article 3 of the Law says the Fund shall be under the direct control of HH the Emir and its headquarters will be in Doha. It may establish offices inside and outside Qatar on the basis of decisions taken by the committee for the management of the Fund.

The Fund aims at providing  financial and sustainable resources to support the health and educational services and the institutions managing them, says Article 4.

According to Article 5, the capital of the Fund shall be QR360bn to be paid from the government revenues in annual payments. The amount of each payment shall be in accordance with a decision to be issued by HH the Emir.

Article 6 stipulates that the Fund may provide financial support in emergency cases and in cases where the government cannot finance the programmes of health and education from the general budget, provided that this support may not exceed 65% of the revenues of the fund in the preceding year.

Article 7 allows the Fund managers to establish companies, individually or with others or acquire existing companies or shares in their capital, whether in Qatar or abroad in co-ordination with the Qatar Investment Authority.

The other highlights of the Law are: The Fund shall be managed by a committee to be appointed by HH the Emir and comprising a president and four members. The tenure of the Committee shall be three years which will be renewable for a similar period or periods.

The Committee shall take any decisions it deems necessary for achieving the objectives of the Fund and may approve the plans, programmes and projects of the Fund and follow up their execution, manage the Fund on the basis of economic criteria, set up the rules and procedures necessary for providing funds to the health and educational institutions, approve the draft annual budget of the Fund and its final accounts, and accept gifts, grants and donations.

Chapter 5, Article 23 of the Law, says that Qatar Investment Authority shall invest the Fund’s financial resources. The Authority shall set up and execute the policies and plans which are necessary for this investment as per Emiri decree No 22 of 2005 after approval of these policies and plans by HH the Emir.

The Authority shall submit a quarterly report to  the Emir accompanied by a copy of the auditor’s report for the results of the investment of money from the Fund.

The Fund may, in particular: specify the fields of support in the health and education sectors which have priority in the development plans, study and specify the rates of annual support provided to the health and education services, receive applications for support and take decisions, promote investments in the fields of health and education, co-ordinate and co-operate with the local, regional and international bodies and institutions that are related to the objectives of the Fund.

The Fund can also enter into agreements, memorandums of understanding and contracts with the national, regional and international organisations operating in the field of the Fund’s specialisation.