Qatari banks show solid gains in 1999
(MEBG) - Most banks in Qatar showed steady growth and improved profitability in 1999, despite a sharp fall in oil prices in late 1998 and early 1999, according to a study conducted by Emad El Zubi, the financial controller at the Doha Bank.
The study showed that the total assets of commercial and Islamic banks in Qatar grew by 12.1 percent, from QR41.95 billion in 1998 to QR47.06 billion in 1999. The total assets of the local banking sector, including the Islamic banks, amounted to QR40.499 billion, constituting an almost 86 percent market share.Four domesticall-owned banks, two Islamic banks and eight foreign-owned banks operated in Qatar as of the end of 1999.
In terms of assets, the Qatar National Bank (QNB) holds 47.50 percent market share, followed by Doha Bank (DB) with a 10.76 percent share, Commercial Bank of Qatar (QNB) with a 9.86 percent share, and Qatar Islamic Bank (QIB) with an 8.46 percent share.
Total loans and advances equaled QR29.12 billion in 1999, compared to 29.89 billion the year before. Market shares is this respect stand at 49.78 percent for QNB, 10.76 percent for QIB, 9.34 percent for Doha Bank and 7.84 percent for CBQ. The figures are almost identical to 1998, with the exception of QNB, whose market share fell by almost 5 percent in 1999.
Customer deposits increased by 11.74 percent in 1999 to QR32.04 billion, with QNB again holding the largest market share at 39.88 percent.
QNB is also the leading bank in terms of shareholder’s equity, with a market share of 62.58 percent followed by CBQ 8.26 percent. Total shareholder's equity increased by 8.69 percent in 1999 to a total of QR6.146 billion.
Profit before tax for the entire sector totaled QR962 million in 1999, compared to QR908 million in 1998, constituting an increase of 5.93 percent. Local banks earned QR785 million, or 82 percent of the total. Profit before tax for QNB, DB and CBQ increased slightly, while that of QIB decreased from 7.17 percent to 5.81 percent and that of Ahli Bank from 6.56 percent to 5.5 percent in 1998.
© 2000 Mena Report (www.menareport.com)