February 23, 2024

Total assets of Qatar’s banking sector stood at QR1.880 trillion in May 2023: QNBFS

 

Total assets of Qatar’s banking sector stood at QR1.880 trillion in May 2023, QNB Financial Services (QNBFS) said in its monthly report onTuesday.

According to the report, Qatar’s banking sector total loan book went up 0.2 percent MoM and deposits dropped by 1 percent in the month ofMay 2023.

The private sector pushed the overall credit higher as deposits moved down by 1 percent in May and the LDR increased to 131.2 percent against 129.6 percent in April 2023, it said.

The overall loan book went up 0.2 percent in May 2023. Domestic Private Sector loans moved up by 0.5 percent MoM in May 2023.

Highlighting that the services segment was the main driver for the private sector loan increase, the report said, “Services sector that contributes 30 percent to private sector loans increased by 1.3 percent MoM, while consumption and others that contributes 20 percent to private sector loans also moved up by 1.3 percent MoM and General Trade that contributes 21 to private sector loans gained 0.8 percent MoM. However, the Real Estate segment that contributes 22 percent to private sector loans declined by 1.1 percent MoM in May 2023.”

Total Public Sector loans edged lower by 0.2 percent MoM, the report said.

The government segment that represents 28 percent of public sector loans declined 1.1 percent MoM, while the semi-government institutions’ segment went down 1.5 percent MoM.

However, the report said that the loan book of government institutions’ segment that represents 67 percent of public sector loans increased 0.3 percent MoM. Outside Qatar, the loan went down by 1.5 percent MoM during the month of May 2023.

Public sector deposits declined 2.1 percent MoM for the month of May 2023. Looking at segment details, the government segment that represents 28 percent of public sector deposits was the main reason behind the decline with a drop by 7.9 percent MoM, while the semi-government institutions’ segment moved down by 3 percent MoM.

However, the report said, “The government institutions’ segment that represents 60 percent of public sector deposits moved higher by 1.1 percent MoM in May 2023.”

Non-resident deposits shifted back to their general downward trend with a 2.7 percent decline MoM in May 2023, after having moved up by 0.4 percent in April 2023 and an increase of 2.8 percent in March 2023.

Private sector deposits went up by 0.5 percent MoM in May 2023. On the private sector front, the report said the companies and institutions’ segment gained by 0.8 percent MoM, while the consumer segment increased by 0.3 percent MoM duringMay 2023.

Qatar banking sector loan provisions to gross loans were at 3.8 percent in May 2023, compared to 3.7 percent in April 2023, the report said.

Qatar banking sector liquid assets to total assets were at a lower 30.4 percent in May 2023, compared to 31 percent in April 2023, it said.

 

 

 

 

 

 

 

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