DOHA: QIIB CEO Dr. Abdul Basit Ahmed Al Shaibei yesterday sought to describe the oil price volatility as ‘cyclical’ and affirmed that the ‘oil price factor’ will in no way affect Qatar’s banking system.
Speaking to the media on the sidelines of QIIB’s Ordinary General Assembly Meeting, Dr. Al Shaibei told The Peninsula that Qatar’s banking sector really did well in 2019 and will continue to do so despite the (oil) market volatility. “Oil price is cyclical. We have seen it many times. We have seen the boom and bust cycle in the past”, he said.
Commenting on the bank’s general assembly giving approval for extending the previous year’s approval to issue Sukuk, the CEO said the bank has no immediate plans to go to market. “Both in terms of liquidity and Capital Adequacy, QIIB is in a very comfortable position. We don’t need to go for Additional Tier1 or for the normal senior unsecured Sukuk. Yes, the market looks very attractive. The rates are very low, but I can tell you the bank is very comfortable at this point of time. I don’t’ think we will go for any Sukuk in the second quarter or the third quarter of 2020.”
He added that QIIB going to market or not does not do anything with the oil price fluctuations. Be it liquidity or capital adequacy, the bank will be very comfortable in 2020. He said Qatar can always face challenges and the country has proved it. With a strong economy, the country is always ready to face any worst case scenario.
Earlier, addressing the meeting, Dr. Al Shaibei said the year 2019 was a special year for the bank, as it made two successful sukuk issuances with competitive pricing. These sukuks were listed on the London Stock Exchange (LSE) and witnessed strong appetite from international investors.
In the field of human resources, the Bank pursued its policy of encouraging competent Qataris to engage in the banking sector in line with the principles of Qatar National Vision 2030 in the field of Human Resources. QNV 2030 focuses on empowering citizens in the bank’s various sectors and providing them with all necessary incentives such as training, guidance and promotion opportunities to ensure their effective participation in the development of the national banking sector.
