Qatar banks’ assets rose by QR18.1 billion ($5 billion) to QR1.28 trillion ($351.5 billion) in March, compared to the previous month.
The total domestic private sector deposits at local banks, by the end of March, increased by QR 2.4bn to reach QR364.3bn; in addition to deposits worth QR10.7bn by non-banking financial institutions, The Group Securities noted in its reading of latest data released by Qatar Central Bank (QCB).
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The March data shows that the total banks' deposits at QCB witnessed a QR1bn drop to touch QR43.3bn. The breakdown shows QR36bn as the obligatory reserve balance and QR7.3bn as banks free balances at QCB.
The reserve balance is set by QCB at the rate of 4.75 percent of the total customers' deposits at each bank. The obligatory reserve is deposited permanently and with no interest. In March, the Government and public sector deposits decreased by around QR7.6bn to reach QR 188bn, with a breakdown as QR6bn for government; QR96.6bn for government institutions; and QR30.4bn for semi-governmental institutions, in which government share is less than 100 percent and more than 50 percent.
On the other hand, government and the public sector's total loans decreased about QR13.8bn to QR305.1bn. as Government loans stood at QR150.9bn, down by QR14.6bn, Governmental institutions loan touched QR140.5bn with an increase of QR0.4bn. Semi-Governmental institutions loans increased by QR0.4bn to QR13.7bn.
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The balance of Qatar Government bonds and bills with banks increased QR0.8bn in March to reach QR118.8bn. The total domestic public debt (government, government institutions, quasi-governmental institutions, bills and bonds) decreased QR13bn to QR423.9bn.
Total domestic loans and credit facilities provided by banks to the local private sector increased by QR0.5bn to QR439bn. Of this, QR132bn went to real estate sector and QR121.3bn for individual’s consumer loans. While QR62.2bn was facilitated to the service sector, QR61.2bn went to trade. There were also loans and facilities worth QR15.7bn for the non-banking financial sector.
investments in securities outside Qatar increased about QR1bn to QR18.9bn. The breakdown shows QR15.5bn in bonds and Sukuk; and QR3.3bn in shares and others.
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Bank loans to foreign parties increased QR0.8bn to QR95.7bn and banks’ investments in foreign companies settled at the level of QR39.8bn. In contrast, foreign banks liabilities on banks in Qatar increased QR11.2bn to reach QR208.6bn. The Group analysts find that banking sector's debt to the outside world has decreased QR7.2bn below the level of debts in February to reach QR178.8bn.
By Satish Kanady
