Subscribe

Don't miss any update with Africazine.

― Advertisement ―

spot_img
HomeAfricaTotal assets of Qatar's banks surge 5.8 percent to $541 billion in...

Total assets of Qatar’s banks surge 5.8 percent to $541 billion in February

According to Qatar Central Bank (QCB), the total assets of Qatar’s commercial banks saw a 5.8 percent increase to QAR1.97 trillion ($541 billion) in February 2024. This expansion was accompanied by increases in other significant metrics, indicating a healthy performance of the banking sector.

Qatar’s February 2024 monthly monetary bulletin revealed that, in addition to the expansion of commercial banks’ total assets, total domestic deposits saw a 9.2 percent annual increase to QAR845.8 billion in February. Meanwhile, domestic credit saw a 5.8 percent annual increase to QAR1.26 trillion. Qatar’s total broad money supply (M2) also expanded by 6.5 percent year-on-year, reaching QAR747.5 billion in February 2024.

Qatar’s banking sector

In a report, KPMG stated that Qatar National Bank maintained its position as the largest bank in the GCC region in terms of assets in 2023, with assets valued at $338 billion. Moreover, Qatar demonstrated impressive financial metrics, including the lowest cost-to-income ratio at 24.6 percent and the highest coverage ratio for stage 3 loans at 84.2 percent.

Read: Egypt’s foreign reserves jump to $40.36 billion in March

Profitability across the region witnessed a significant 23.1 percent increase due to the growth in loan books, improved interest margins, reduced loan impairments, and cost-efficiency measures. Besides, asset growth remained robust, with banks expanding their asset base by 8.1 percent in 2023.

The region’s banks, including those in Qatar, showcased resilience and readiness to adapt to global economic conditions. Despite challenges, the sector demonstrated conservative credit risk management practices, leading to a decrease in the overall non-performing loan (NPL) ratio and an increase in return on assets (ROA).

For more news on banking & finance, click here.