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The total assets of commercial banks in Qatar scaled up 6.5% to QR2.12tn in July this year compared to the same period in 2024, according to latest data issued by the Qatar Central Bank (QCB).Total domestic deposits with local banks rose 2.3% to QR852.3bn in July compared to the same period last year. Total credit disbursed by the local banks totalled QR1.34tn in July, up 5.5% on the same period in 2024. Broad money supply (M2) increased by 1.7% to QR739.5bn in July, compared to the same period in 2024, the QCB noted. M2 is an estimate of liquid assets, including cash on hand, money deposited in checking accounts, savings accounts, and other short-term saving vehicles such as money market funds and certificates of deposit.An increase in the country's bank assets, deposits, and credit indicates a growing banking sector, which clearly suggests an expansion of the money supply and increased economic activity. A healthy banking sector with growing assets and credit improve access to capital for businesses and households, facilitating their growth and development.

Eurozone factory activity expanded for the first time since mid-2022 as domestic demand offset the impact from US tariffs while the Asian manufacturing sector saw shrinkage, private surveys showed Monday.There were mixed signals over the Chinese economy, however, as one such survey unexpectedly indicated modest expansion, contradicting an official readout the day before which showed activity continuing to shrink. Export powerhouses Japan, South Korea and Taiwan all saw manufacturing activity shrink in August, underscoring the challenge Asia faces in weathering the hit from sharply higher trade barriers erected by US President Donald Trump. In Europe, Greece and Spain led factory growth while manufacturing in Germany, the bloc's largest economy, shrank albeit at a slower pace.The HCOB Eurozone Manufacturing Purchasing Managers' Index (PMI) rose to an over-three-year high of 50.7 in August from 49.8 in July, surpassing the 50.0 threshold that separates growth from contraction."The recovery is real but remains fragile. Inventory levels continue to decline, and the slightly accelerated drop in order backlogs shows that companies are still suffering from uncertainty," said Cyrus de la Rubia, chief economist at Hamburg Commercial Bank. "Domestic orders have risen and are offsetting the weakening demand from abroad. In fact, the best remedy against US tariffs may be to strengthen domestic demand."Meanwhile, manufacturing in Germany rose to a 38-month high of 49.8, a whisker away from the 50 mark, offering hope for the economy that shrank 0.3% last quarter on slowing demand from its top trading partner the US.The EU and the US struck a framework trade deal in late July but only the baseline tariff of 15% has so far been implemented. In Britain, outside the European Union, factory activity suffered a fresh setback in August after signs of a recovery due to worries about trade tensions and tax increases at home.The S&P Global Japan Manufacturing Purchasing Managers' Index (PMI) stood at 49.7 in August, improving from 48.9 in July but staying below the 50 threshold for two straight months.South Korea's factory activity also shrank with the S&P Global PMI standing at 48.3 in August, up from 48.0 in July but contracting for the seventh straight month.Both countries struck a trade deal with the US that eased, but not removed, the pressure on their export-reliant economies."It's a double-whammy for Asian economies, as they face higher US tariffs and competition from cheap Chinese exports," said Toru Nishihama, chief emerging market economist at Dai-ichi Life Research Institute. "We'll likely see the hit from US tariffs intensify going forward, with countries reliant on U.S.-bound shipments like Thailand and South Korea particularly vulnerable," he said.However, the RatingDog China General Manufacturing PMI, compiled by S&P Global, unexpectedly rose to 50.5 in August from 49.5 in July, exceeding the 50-mark that separates growth from contraction. The reading confounds an official survey on Sunday that showed activity shrank for a fifth straight month on weak domestic demand and uncertainty over the outcome of Beijing's trade deal with the USHalf-way through the month Trump extended his tariff truce with China for another 90 days, withholding imposition of three-digit duties until November 10.Meanwhile, India, which grew at a much better-than-expected 7.8% in the last quarter, continued to be a significant outlier in the region. Manufacturing activity in Asia's third-largest economy expanded at its fastest pace in more than 17 years in August.But the Trump administration's steep 50% tariff on US imports of Indian goods like garments, gems and jewellery threatens to dampen growth in the coming quarters.

Turkiye’s economic growth remained resilient in the second quarter despite an emergency interest-rate hike by the central bank in March.Gross domestic product expanded 1.6% on a quarterly basis, up from a revised 0.7% in the preceding three-month period when adjusted for seasonality and working days, Turkiye’s statistics office said on Monday. The median estimate in a Bloomberg survey of economists projected an expansion of 0.6%.The economy grew 4.8% annually, compared with the median estimate of 4.1% in the survey and a revised 2.3% in the preceding quarter. The acceleration was largely down to the higher number of working days Turkiye had this year compared to 2024, QNB Turkiye economists led by Erkin Isik said in a research note ahead of the data release.The surprise boost came after the Turkish central bank raised interest rates in an unscheduled meeting in March to mitigate the market fallout following the jailing of a prominent opposition politician, reversing a cycle of rate cuts it had just begun. Even so, domestic demand climbed at the fastest pace in more than a year, leading the surge in annual growth. The central bank resumed its cuts in July, lowering the main policy rate to 43% from 46%.Spending by households, which is the main driver of Turkiye’s economy, rose 5.1%, the highest rate since the first quarter of 2024, Turkstat said.“On the surface, Turkiye’s especially strong growth data for the second quarter could be seen as reason to derail the central bank’s easing path. But activity is likely to post slower gains ahead and we maintain our call for rate cuts at all remaining meetings this year amid falling inflation,” says Selva Bahar Baziki, economist, Bloomberg Economics.“Today’s figures provide worrying evidence that domestic demand is too strong, which may prevent the current account deficit from narrowing further and inflation from falling as quickly as policymakers want,” Capital Economics’ chief emerging markets economist William Jackson said in a note. Though August inflation figures, which will be released on Wednesday, will give a better sense of that, Monday’s GDP report suggests the central bank “will not lower interest rates as quickly as we currently expect,” he said. Jackson currently sees the main policy rate reduced to 37% at the end of the year.Gross fixed capital formation, a measure of investments by businesses, soared by nearly 9% in the second quarter from a year earlier, while exports of goods and services increased by 1.7% from a year earlier, and up from 0.1% the prior quarter.The lira was little changed after the data release, trading 0.1% higher at 41.1182 per the US dollar at 10.57am in Istanbul.Monday’s release marks the first time Turkstat published revised growth data, which the agency said was carried out for better compliance with international peers.

Turkiye’s economic growth remained resilient in the second quarter despite an emergency interest-rate hike by the central bank in March.Gross domestic product expanded 1.6% on a quarterly basis, up from a revised 0.7% in the preceding three-month period when adjusted for seasonality and working days, Turkiye’s statistics office said on Monday. The median estimate in a Bloomberg survey of economists projected an expansion of 0.6%.The economy grew 4.8% annually, compared with the median estimate of 4.1% in the survey and a revised 2.3% in the preceding quarter. The acceleration was largely down to the higher number of working days Turkiye had this year compared to 2024, QNB Turkiye economists led by Erkin Isik said in a research note ahead of the data release.The surprise boost came after the Turkish central bank raised interest rates in an unscheduled meeting in March to mitigate the market fallout following the jailing of a prominent opposition politician, reversing a cycle of rate cuts it had just begun. Even so, domestic demand climbed at the fastest pace in more than a year, leading the surge in annual growth. The central bank resumed its cuts in July, lowering the main policy rate to 43% from 46%.Spending by households, which is the main driver of Turkiye’s economy, rose 5.1%, the highest rate since the first quarter of 2024, Turkstat said.“On the surface, Turkiye’s especially strong growth data for the second quarter could be seen as reason to derail the central bank’s easing path. But activity is likely to post slower gains ahead and we maintain our call for rate cuts at all remaining meetings this year amid falling inflation,” says Selva Bahar Baziki, economist, Bloomberg Economics.“Today’s figures provide worrying evidence that domestic demand is too strong, which may prevent the current account deficit from narrowing further and inflation from falling as quickly as policymakers want,” Capital Economics’ chief emerging markets economist William Jackson said in a note. Though August inflation figures, which will be released on Wednesday, will give a better sense of that, Monday’s GDP report suggests the central bank “will not lower interest rates as quickly as we currently expect,” he said. Jackson currently sees the main policy rate reduced to 37% at the end of the year.Gross fixed capital formation, a measure of investments by businesses, soared by nearly 9% in the second quarter from a year earlier, while exports of goods and services increased by 1.7% from a year earlier, and up from 0.1% the prior quarter.The lira was little changed after the data release, trading 0.1% higher at 41.1182 per the US dollar at 10.57am in Istanbul.Monday’s release marks the first time Turkstat published revised growth data, which the agency said was carried out for better compliance with international peers.