QFC hosts ‘Qatar Economic Market Forum’; aiming towards sustainable and economic growth

Qatar Financial Centre (QFC) along with Bloomberg Intelligence hosted ‘Qatar Economic Market Forum’ yesterday at W Hotel Doha. The forum under the theme “From Sustainable Financing to Debt Capital Markets, Uncovering Solutions for the Future of Banking in Qatar” is aimed at discovering Qatar’s banking sector and numerous strategies to carry out towards sustainable and economic growth. The event was attended by many officials, leaders, and key stakeholders from private firms, government organisations, and financial institutions during the day-long forum that focused on discussing issues relating to debt capital markets, sustainable financing, and the funding of banks.

During the opening remark, Yousuf Mohamed Al Jaida, Chief Executive Officer at QFC said: “There is an active drive in Qatar to strengthen the domestic debt capital market to diversify sources of funding and expand sustainable finance solutions. It’s a part of the broader strategy to enhance the country’s capital market infrastructure and create a greener future in line with Qatar National Vision 2030.” 

Hosting major events and tournaments, Qatar has become a key hub for global investors eventuating on a stronger economy with various projects and investments taking place.  He said that “The country is increasingly attracting international investors to its growing equity market and there is an encouraging potential for local bonds. In general, Qatar issuers have been accessing the international debt capital market since the inaugural sovereign issuance in 2003 of $700m.”

“The banking sector plays a big role in translating sustainability ambitions into reality. By leveraging this power, we can address many environmental challenges we face today. QFC has played an integral part in Qatar’s capital market development journey, and we are proud to collaborate with Bloomberg Intelligence in organising this forum for an open discourse on how we can maximise the financial solutions to advance national sustainability objectives,” he added. 

The forum further expounded on this year’s economic outlook, health check on the GCC banking sector and domestic debt capital market on Qatar followed by panel discussions on Developing a Domestic Debt Capital Market and its Impact on the Banking Sector and Sustainable Finance & ESG in Qatar, which was moderated by Bloomberg correspondent Simone Foxman and keynote speakers included several experts in the banking industry. 

While presenting the 2023 economic outlook, Edmond Christou, Senior Research Analyst at Bloomberg Intelligence highlighted the overview of oil, gas, and LNG production in the region. Christou said “There is a lot of optimism in 2023 for the micro outlook. And the year has started on a very optimistic note but again a lot of uncertainty and risks do remain.”

“Although we have seen lower debt issuance by Qatari banks last year, diversification of the funding mix remains a key area of focus given local lenders’ debt makes up 8 percent of overall liabilities, in comparison to over 11 percent for international peers. Developing a domestic capital market helps banks tap into liquidity and strengthen long-term funding, to support a growing infrastructure pipeline,” he added.

During the event, Bloomberg Intelligence shared a graph that outlined the demonstration of Gulf Banks that had issued a debt fund worth $105bn since 2019, 5 percent of which are green bonds, signaling a vital growth for green or sustainable finance in the region. 

With reputed regulations for the governance of existing and new financial investments, Qatar is en route to an enhancing diversified capital market and is expected to reach a global value of more than $22 trillion by 2031, which results in boosting the country’s economy and attracting global investors worldwide.