BUSINESS | 03BUSINESS | 02

Infrastructure

projects to

continue until

2030: Ashghal

Amal Ameen first

ever Lexus Brand

Ambassador

in Qatar

TUESDAY 10 MARCH 2020

BUSINESS

QIIB’s strategic risk management helped maintain stable growth in 2019: Sheikh Dr. KhalidSATISH KANADY THE PENINSULA

QIIB Chairman and Managing Director Sheikh Dr. Khalid bin Thani bin Abdullah Al Thani said yesterday that QIIB had diver-sified its investments and financing portfolios in 2019 as much as possible in order to aver potential risks. This helped the bank to strengthen its position as a leading bank, maintain stable growth, provide best returns for it s shareholders and maintain a good rating from the international rating agencies, Sheikh Dr. Khalid said while addressing QIIB’s Ordinary General Assembly Meeting, yesterday.

The Chairman, who said that QIIB had worked closely with the various economic sectors in the country in 2019, noted that the bank worked wisely in order to achieve its goal while relying on the support, vision and guidance of the Amir H H Sheikh Tamim bin Hamad Al Thani.

Sheikh Dr. Khalid said: “It is worth noting that last year, as in the previous years, the Qatari banking sector was full of activity and competitiveness. We participated in the financing of many projects, such as infra-structure projects, large projects

and SMEs, and we are satisfied with what we have accom-plished in this respect, which is an essential aspect of our work.”

QIIB was able to maintain its strong financial position and stable growth. It also built part-nerships with different investment dimensions abroad based on its reputation and the great reputation of the Qatari economy. QIIB’s results for 2019 show that the bank is moving forward, benefiting from the strength of the Qatari economy, which is achieving the best results in all sectors.

Sheikh Dr. Khalid noted that QIIB strengthened its capital by issuing sukuks so as to keep

pace with the global and eco-nomic developments in the banking and financial sector. The Bank also encouraged Qatari competencies to work in the banking sector, providing them with all necessary incentives.

Keen to meet the require-ments of the regulatory and supervisory authorities, QIIB reviewed all its policies and pro-cedures in line with the laws, legislations and regulations, in particular the good governance and sound management policy, as per the requirements of Qatar Central Bank and Qatar Financial Markets Authority, the latest of which was

QFMA Governance Code for companies listed on the financial market. �P03

Sheikh Dr. Khalid bin Thani bin Abdullah Al Thani (second left), QIIB Chairman and Managing Director; Rashid Nasser Al Kaabi (left), QIIB Vice-Chairman; Sheikh Abdullah bin Thani bin Abdullah Al Thani (right) Board Member, QIIB; and Dr. Abdul Basit Al Shaibei, QIIB CEO, during the Annual Ordinary General Assembly Meeting of QIIB at Ezdan Tower, yesterday. PIC: ABDUL BASIT/THE PENINSULA

Credit rating companies affirmed QIIB high ratings with a stable outlook based on a number of factors, including the strength of the bank’s position among Islamic banks and the quality of its assets.

Dr. Abdul Basit Al Shaibei, QIIB CEO

QIIB’s results for 2019 show that the bank is moving forward, benefiting from the strength of the Qatari economy, which is achieving the best results in all sectors.

Sheikh Dr. Khalid bin Thani bin Abdullah Al Thani QIIB Chairman & Managing Director

QIIB gets shareholders nod to appoint Board Members

THE PENINSULA — DOHA

The Ordinary General Assembly Meeting of QIIB has unanimously approved the recommendation to appoint seven candidates as members of the Board of Directors for the next three years.The Board Members are: Sheikh Dr Khalid bin Thani bin Abdullah Al Thani (Danah Al Safat Investment Company), Sheikh Abdullah bin Thani bin Abdullah Al Thani (Al Toqa Real Estate and Contracting Company), Sheikh Turki bin Khalid bin Thani Al Thani (Qatar Islamic Group Company), Walid Ahmed Ibrahim Al Saadi (Medical Care Group Company), Ali Abdulrahman Al Hashemi (Faseel Company for Business and Real Estate), Hisham Mustafa Al Sahtari ( Al Qara for Trade company) and Hassan Abdullah Al Thawadi (Independent candidate).The general Assembly authorised the board of directors to appoint two more independent candidates to the Board, after obtaining the approval of Qatar Central Bank.

UK companies look for new businesses in QatarLANI ROSE R DIZON THE PENINSULA

More British companies are settting up their businesses in Doha, especially after the recent reforms in Qatar’s investments laws, an appointed dealmaker for the UK government has said.

Talking to The Peninsula on the sidelines of the 3rd SMEs Conference which concluded in Doha recently, Alpesh Patel, a prominent dealmaker for the UK’s Department for Interna-tional Trade’s Global Entre-preneur Programme, who was also a panel speaker during the event, said Qatar’s ambition to be a regional base for fintech, as well as its business-friendly pol-icies, are attracting more British companies to establish their businesses here.

“Overall, from the embassy, there are 700 UK companies registered here. I am looking to

bring about 10 to 12 more in the next three months or maybe sooner. These are scale up com-panies of the highest quality. So the kinds of companies that I work with are the ones which

by our estimation, are likely to be worth hundreds of millions of US dollars within five to three years.

The ones which will invest, employ local people, train local people with the right skills, and help build the entrepreneurial ecosystem here as well. And I think one of the reasons why I’m able to bring those companies here, is because they see that Qatar is really welcoming entre-preneurs with all of the laws being enacted, which also send a signal that the country is open for business,” he added.

Patel, who is also a Financial Times top FTSE forecaster and an award-winning hedge fund manager, is bringing several UK companies to Doha which spe-cialise in various sectors including blockchain, oil and gas, fintech, clean tech, social impact, and lending algorithms among others.

“The kinds of UK companies we’re seeing setting up in Qatar are for instance in blockchain, and I brought such a company called Finboot. We’ve also got an air purification company called Air for Life. They already have a tentative order for 50,000 air masks. And their technology comes out of NASA, they then set up in the UK, and now they’re looking to set up here.

We’ve also got a blockchain and fintech company called Worldwide Generation, which is at the early stages of inquiry. What they do is they make sure that money from governments goes to where it’s supposed to be spent in a particular way. We also have another company spe-cialising on lending algorithms, which is helping banks improve their SME credit lending using algorithms to work out credit risks. �P03

Alpesh Patel, during a panel session at the 3rd SMEs Conference which concluded in Doha recently. PIC: SALIM MATRAMKOT/THE PENINSULA

Oil price volatility will not affect Qatari bankingsystem: Dr. Al ShaibeiTHE PENINSULA — 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 pre-vious 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 any-thing with the oil price fluctua-tions. Be it liquidity or capital adequacy, the bank will be very comfortable in 2020. He said Qatar can always face chal-lenges 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 suc-cessful 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 com-petent 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 pro-motion opportunities to ensure their effective participation in the development of the national banking sector.

Oil prices plungeREUTERS — NEW YORK

Oil prices suffered their biggest daily rout since the 1991 yesterday as top producers Saudi Arabia and Russia began a price war that threatens to overwhelm global oil markets with supply.

A 20 percent slump in oil prices triggered another day of heavy losses on Wall Street’s main stock indexes as the rapid spread of coronavirus amplified fears of a global recession.

Saudi Arabia and Russia both said they would raise production at the weekend after a three-year pact between them and other major oil producers to limit supply fell apart on Friday. Moscow had refused to support Opec in making a deeper oil cut to cope with the substantial fall in demand caused by the impact of coronavirus on travel and eco-nomic activity.

Brent crude futures were down $9.15, or 20.2 percent, to $36.12 a barrel by 1:06 p.m. EDT (1706 GMT). They earlier fell by as much as 31 percent to $31.02, their lowest since February 12, 2016.

US West Texas Intermediate (WTI) crude fell $8.16, or 19.8 percnet, to $33.12 a barrel. WTI earlier dropped 33 percent to $27.34, also the lowest since Feb-ruary 12, 2016. If losses hold, yes-terday would be the biggest one-day percentage decline for both benchmarks since January 17, 1991, when oil prices fell a third at the outset of the US Gulf War.

Energy stock prices have also fallen sharply, and shale pro-ducers began cutting spending in anticipation of lower rev-enues. Shares for Exxon Mobil Corp and Chevron Corp fell by 9 percent and nearly 14 percent respectively.

02 TUESDAY 10 MARCH 2020BUSINESS

Infrastructure projects to continue until 2030: AshghalMOHAMMED SHOEB THE PENINSULA

The major road development projects, being implemented under the ‘Expressway Programme’, are expected to be completed by the end of this year or early next year, however, there is a long list of other shovel-ready projects which will keep creating job opportu-nities worth billions of riyals for local companies, which will continue until 2030, said a senior official of the Public Works Authority (Ashghal).

The other infrastructure develop-mental projects, such as ‘local areas infrastructure programme’ and many other projects related to roads, buildings and sewage infrastructure, will keep cre-ating massive opportunities for com-panies over the years beyond the 2022.

Under the ambitious expressway development programme, Ashghal is overseeing the construction of about 800km of safe and efficient roads through the implementation of over 30

projects divided into 46 contracts. And over 90 percent of them are complete.

“Nearly 90 to 92 percent of the Expressway Programme has been already delivered till date, and the remaining works to be completed by the end of this year or the first quarter of 2021. Now Ashghal’s main concentration is on developing the local roads and

drainage programme to serve the sub-divisions. This progamme is expected to continue even after the 2022 World Cup, perhaps up to 2030,” Youssef Al Emadi, Director of Projects Affairs at Ashghal told The Peninsula.

Speaking to this newspaper on the sidelines of an event recently Al Emadi, added: “Since there are huge areas and

a lot of subdivisions to be covered under this programme, we will be doing it on priority basis.” Asked about the Sharq Crossing project, and the tendering process, he said “it’s too early to talk about that”, adding that there are many projects to be implemented, and as far as subdivisions and other projects are concerned, Ashghal is working on them aggressively.

The Ministry of Finance, in the national budget 2020, has allocated QR90bn for major projects to be spent during the current year. These projects include the re-launch of the ambitious $12-bn Sharq Crossing project, which will be completed over the next four years and expected to create thousands of new jobs directly and indirectly.

The local area infrastructure devel-opment programme is a nationwide pro-gramme that includes the development of roads, drainage and new infra-structure in all areas. The programme will provide a comprehensive infra-structure for new areas that lack

infrastructure facilities, in addition to developing and enhancing existing infra-structure in central and suburban areas. The programme will increase the capacity of roads and utility services to meet the requirements of the continuous urban development.

Commenting further on infrastructure development in new areas, he said: “The existing houses which are not being served with infrastructure, is being given the top priority. And then the localities which have high water tables and devel-opment of infrastructure on for empty lands will be given priority, accordingly.

About restrictions on construction and development activities during the 2022 FIFA games, he said that Ashghal is working in close coordination with the Supreme Committee for Delivery & Legacy in terms of which project we shall stop before the games. The unfinished projects, especially surrounding the sta-diums and other related facilities, will be stopped, while the works on other projects will continue uninterrupted.

Now Ashghal’s main concentration is on developing the local roads and drainage programme to serve the subdivisions. This progamme is expected to continue even after the 2022 World Cup, perhaps up to 2030.” Youssef Al Emadi, Director of Projects Affairs at Ashghal PIC: ABDUL BASIT/THE PENINSULA

Masraf Al Rayan launches‘Investor Relations’ appTHE PENINSULA — DOHA

Masraf Al Rayan, the leading bank in Qatar and the region, has announced the launch of its ‘Investor Relations’ appli-cation that aims to provide convenience and update the immediate price and daily performance of the bank’s share and information related to investors, on smart phones and tablets running on the iOS and Android operating systems.

The bank said in a statement to the press that the application offers, in addition to providing investors with the latest data for the stock price, news and disclosures, in addition to alerts for the most important events that concern the communities of share-holders and investors.

Masraf Al Rayan “Investor Relations app”will also open another communication window with all stakeholders, from shareholders, investors and specialized technical ana-lysts, as it will provide quick access to a large database of digital data, in addition to the latest news and financial developments in the opera-tions of the group.

Adel Mustafawi, Group CEO at Masraf Al Rayan said, “The application developed and managed by Euroland IR will provide an important central resource for financial and operational information, which enable existing and potential investors and other owners to be aware of the activities of Masraf Al Rayan Group at any given time and place, as the new digital tools allow access to the bank’s stock performance as well as

the use of interactive charts to display the performance.

“Masraf Al Rayan worked to reinforce its position to be one of the best institutions in the field of investor relations locally, regionally and globally by strengthening and sup-porting investor relations activities and adopting the highest standards of profes-sionalism and efficiency in communicating with investors a n d t h e i n v e s t m e n t community.

In addition to these efforts, we are proud to launch this application that provides all investors with an easy access to information related to the bank’s stock performance and other financial information through periodic reports, financial state-ments and the latest news pub-lished by the Investor Relations Department in harmony with our strategy and our com-mitment to enhance the level of disclosure and transparency in favor of the interest of share-holders and other stakeholders” added Mustafawi.

The new investor relations application is available in many languages including Arabic and English, and pro-vides a full description of financial indicators, key per-formance indicators, quarterly and annual financial reports, in addition to the possibility of conducting a historical research in the stock price and an investment calculator.

Masraf Al Rayan launch of this vital technology comes as another step towards exe-cuting its strategy that aims to make the bank the preferred investment option through providing an application that facilitates good governance and keeping pace with tech-nological development in the field of communications by creating innovative channels to communicate with all stakeholders.

About Masraf Al RayanMasraf Al Rayan is one of

the leading banks in Qatar and the region, which has maintained an excellent per-formance in local and regional markets despite the challenging financial and economic conditions. The Bank has grown significantly in recent years, providing a comprehensive range of cor-porate and retail banking products and services, asset management, treasury and trade finance, in line with plans and efforts to provide specialized services and build l a s t i n g r e l a t i o n s h i p s , including retail and private individuals, institutions, com-panies and government insti-tutions. It operates 16 branches and a network of 96 ATMs distributed all across the country.

A provided photo of the icon of Masraf Al Rayan’s mobile app ‘Investor Relations’

Mitsubishi Mirage

Mitsubishi Outlander

QAC extends its offer on a range of Mitsubishi vehicles

THE PENINSULA — DOHA

Qatar Automobi les

Company (QAC), the

authorised distributor of

Mitsubishi Motors Corpo-

ration in Qatar, extended

its offer on a range of

Mitsubishi vehic les

including Eclipse Cross,

Outlander and Mirage.

Valid until April 4, the

offer has several benefits

including 1-year free com-

prehensive insurance,

1-year free registration,

3-year warranty or

100,000 km. The vehicles

are available with no down

payment and the option of

in-house financing through

NBK Financial Services

(terms and conditions

apply). The monthly

installment starts from

699 Qatari Riyals, with

special prices for cash

purchase.

The Eclipse Cross’s

beautiful, dynamic form

creates the same sense of

excitement and inspiration

as the diamond ring effect

during a total eclipse.

While stylish like a coupé,

it’s unquestionably a Mit-

subishi Motors SUV. The

dynamic, sculpted form

projects the explosive

power of an athlete from

sporty face to high-tech

rear lamps. All harmonise

in a strong personality that

drives you to explore. The

fresh surprise of the body

persists in the cabin where

engineering passion culmi-

nates in sporty, dynamic

refinement. From dis-

t inct ive hor izonta l

instrument panel to

shining silver trim and

monotone color scheme,

the cockpit welcomes you

to a bold new experience

with Display Audio and

Head Up Display keeping

you stimulated and

informed. The newly

developed 1.5L petrol

turbo engine, it provides a

pleasing response, high

revolutions and strong

acceleration.

Outlander offers plenty

of room for seven pas-

sengers with its standard

third-row seating. You can

also quickly change the

seating configuration to

meet your needs with the

quick-folding 60/40 split

second row and 50/50 split

third row seats. No matter

where your weekends take

you, with optional roof. The

2018 Outlander is

equipped with a 166 horse-

power, 2.4L MIVEC engine

that achieves 30 highway

MPG3, or upgrade to GT for

even more performance

with the powerful 224

horsepower, 3.0L MIVEC

engine.

Mitsubishi MIRAGE is

the family economy car

which secures utmost

peace of mind and cost

effectiveness. Thanks to its

flexibility and minimum fuel

consumption, the Mirage

meets the expectations of

the drivers and passengers

alike. In terms of safety,

Mitsubishi Mirage has

enhanced light body, made

of reinforced steel which

absorbs shocks and

shatters the effect in all

directions.

All the cars are available

now in Mitsubishi Motors

Showroom on Salwa road.

Customers can visit the

showroom at Salwa Road

from Saturday to Thursday

from 8 am to 9 pm and on

Friday from 5 pm to 9 pm,

and Al Khor Showroom

from Saturday to

Wednesday from 8 am to

8 pm, and on Thursday

from 8 am to 3 pm.

Ali Jaber Hamad

Al Marri appointed

board member of GIS

THE PENINSULA — DOHA

Gulf International Services (GIS), one of the largest services groups in Qatar with interests in broad cross-sections of industries, ranging from insurance and re-insurance to onshore and offshore drilling, accommo-dation barges, helicopter transportation and catering s e r v i c e s , y e s t e r d a y announced that Ali Jaber Hamad Al Marri has been appointed as a member of the Board of Directors and will be replacing Abdulla Khalifa Al Rabban, the representative board member of the General Retirement and Social Insurance Authority.

Al Marri, currently holds the position of Director of the Internal Audit Department in the General Retirement and Social Insurance Authority since 2012.

GIS thanked Abdulla Khalifa Al-Rabban, and took the opportunity to wish Al Marri, the best of success in his new position.

Bin Yousef Cargo handles equine logistics for the Longines Global Champions Tour in DohaTHE PENINSULA — DOHA

The world’s finest riders and horses came together to put on an impressive display of grace, skill and endurance for the Longines Global Champions Tour which took place between the March 5 and 7, 2020 at Al Shaqab.

Al Shaqab had recently held CHI Al Shaqab at the same venue. CHI - Concours Hip-pique International is the official title granted by FEI, the highest governing body of equestrian sports in the world. Only five events worldwide showcase this accolade, and Chi Al Shaqab is its only bearer in the Middle East and Asia; thus placing Qatar on the world’s equestrian map.

Bin Yousef Cargo, with its dedicated equine department, had been awarded the contract for handling equine logistics for both Chi Al Shaqab and the Longines Global Champions Tour, managing the import and re-export of over 150 horses for these events.

Director of Cargo Operations at Bin Yousef Cargo, Jiju Haneef

said, “Modern fleets of freighters with controlled temperature zones, comfortable and spacious horse stalls and experienced groomers accompanying these horses motivate horse owners around the world, to send their champions to Qatar.

The state-of-the-art, on-ground live animal facilities such as air-conditioned holding stalls, a paddock as well as on-site veterinary personnel in Qatar, assures the care, comfort, safety and reliability required for the smooth and stress-free transportation of each equine guest we handle”.

Celebrating its 35th year of operation, Bin Yousef Cargo is one of the leading logistics pro-viders in the region, offering air and sea freight forwarding, along with customs clearance, as well as warehousing and dis-tribution services, while deliv-ering timely operational support. Besides these events, Bin Yousef Cargo has also pro-vided logistics services for sporting events such as the World Cycling Championships in Doha and ATP Qatar Exxon-Mobil Open.

Workers guiding a horse to the Longines Arena at Al Shaqab ahead of the competition.

Ryanair cuts more Italy flights amid virus fears

AFP — DUBLIN

Ryanair announced yesterday another big cut in the number of flights to and from northern Italy in response to the Italian government’s lockdown of the coronavirus hit region.

The budget airline also said it was drastically reducing its domestic flights within Italy “with immediate effect” because of the wors-ening health situation there.

03TUESDAY 10 MARCH 2020 BUSINESS

Europe needs a call to arms to defend the already-weakened economy. I want a strong, massive, coordinated response. We should work on a stimulus plan with fiscal and budgetary measures, and tax cuts, so that when the epidemic crisis is over we can relaunch the economic machine.

EI stw

France urges ‘massive’ economic stimulus plan for EuropeREUTERS — PARIS

Europe needs to come up with a “massive” economic stimulus plan to cope with the impact of the coronavirus outbreak, France’s finance minister said yesterday, adding that he would propose measures to eurozone counterparts at a meeting next week.

The appeal by Bruno Le Maire for coordinated action to support the economy echoed a call from Italy, which has been hit harder by the virus than anywhere else in Europe.

“Europe must prove its political effectiveness. I expect a strong, massive and coordi-nated response from Europe to avoid the risk of an eco-nomic crisis after the epi-demic,” Le Maire told France Inter radio.

He said eurozone finance ministers could not afford to waste their time at a meeting next Monday complaining about tough times and had to decide on a stimulus plan.

“I will propose a series of fiscal and budgetary measures that will constitute a coordi-nated and massive stimulus plan that will allow us to relaunch the economic machinery,” Le Maire said.

France had 1,126 confirmed coronavirus cases and 19 deaths as of Sunday evening and the outbreak is having a growing impact on the euro zone’s second-biggest economy.

With public events being cancelled and tourism numbers collapsing, Le Maire said the outbreak could cut French eco-nomic growth to below 1 percent in 2020 from a pre-vious estimate of 1.3 percent.

Earlier yesterday, the French central bank estimated the economy would barely grow in the first quarter from the previous three months and warned of a potentially severe slowdown due to the corona-virus outbreak.

In its monthly business climate survey, the Bank of France cut its first-quarter growth forecast to just 0.1 percent, from 0.3 percent previously.

Nearly 20 percent of the 8,500 executives polled by the central bank between the end of February and the start of March said they expected the coronavirus outbreak to impact their business, with the number as high as 40 percent in the clothing industry and as low as 15 percent in construction.

Oil demand set for first contraction since 2009 due to coronavirus: IEAREUTERS — LONDON

Global oil demand is set to contract in 2020 for the first time in more than a decade as global economic activity stalls due to the coronavirus, the International Energy Agency said yesterday.

The downward revision came as oil prices dropped as much as third in their biggest one-day fall since the 1991 Gulf War after Saudi Arabia launched a bid for market share following the collapse of an output pact with Russia.

The energy watchdog said it expected oil demand to be 99.9 million barrels per day (bpd) in 2020, lowering its annual forecast by almost 1 million bpd and signalling a contraction of 90,000 bpd, the first time demand will have fallen since 2009.

The Paris-based IEA said in its medium-term outlook report that in an extreme scenario where governments fail to contain the spread of the coro-navirus, which has affected over 100,000 people, consumption could drop by up to 730,000 bpd.

The virus has led to a sharp drop in industrial activity par-ticularly in China and other Asian economies, as well as Italy, one of the worst affected places outside China. The virus has led to a slowdown in demand for ground and air transport.

IEA Executive Director Fatih Birol (pictured) urged producers

to “behave responsibly” in the face of the coronavirus crisis, after a deal on output restraint between Opec, Russia and other producers collapsed last week, sending oil prices plunging.

“At such a time of uncer-tainty and potential vulnerability to the world economy... playing Russian roulette with the oil markets may well have grave consequences,” Birol told reporters.

Saudi Arabia, Opec’s biggest producer, signalled it would pump more, sending oil prices down to levels that will place a strain its budget and those of other oil producers, and put a severe squeeze on producers of more costly US shale oil.

Birol said the low oil prices could put many major crude producing nations such as Iraq, Angola and Nigeria under “huge” financial strain and fuel social pressures.

The IEA said that, following a shock to demand in 2020, oil consumption was likely to bounce back strongly and rise by 2.1 million bpd in 2021.

After that, it said growth was set to decelerate and rise by only 800,000 bpd by 2025 due to slower growth in demand for transport fuels as governments implement policies to improve car engine efficiency and push to cut greenhouse gas emissions.

“The coronavirus crisis is adding to uncertainties the global oil industry faces as it contemplates new investments and business strategies,” Birol said. While oil demand is set to gyrate sharply, the IEA kept its forecast for global oil supplies largely unchanged, with pro-duction capacity set to grow by 5.9 million bpd by 2025, mar-ginally outpacing demand.

Production growth is set to come mostly from expansion in the US shale output, as well as from rising output in Brazil, Guyana and Canada, the IEA said.

Bruno Le Maire, French Finance Minister

The appeal by Bruno Le Maire for coordinated action to support the economy echoed a call from Italy, which has been hit harder by the virus than anywhere else in Europe.

The downward revision came as oil prices dropped as much as third in their biggest one-day fall since the 1991 Gulf War after Saudi Arabia launched a bid for market share following the collapse of an output pact with Russia.

Amal Ameen first ever Lexus Brand Ambassador in QatarTHE PENINSULA — DOHA

Lexus AAB has officially announced Amal Ameen, a noted fashion icon and designer, as the first ever Lexus Brand Ambassador in Qatar. This was announced during ‘The Luxury Network International Award Ceremony’ held recently.

Amal Ameen graduated in 2004 from the Virginia Commonwealth Uni-versity, school of arts in Qatar; and holds a bachelor of fine arts and interior design. Also, she has an advanced cer-tificate in Arts, Communication, Eti-quette and Protocol.

Wisely utilising her educational background, her passion to design and luxury led her to open the luxurious La Boutique Blanche in 2015 a unique multi brand store under one roof. In 2017 La Boutique Blanche was awarded as Best Luxury Boutique in Qatar by Grazia Style awards.

Driven by her success in the world of fashion Amal opened Amici Di Moda her latest fashion concept located in Al Hazm, the most luxurious mall ever built. Amici Di Moda gathered 2 pres-tigious awards, in 2018 as the Best Luxury Boutique by the Luxury Network International Awards and the Best Inde-pendent Boutique from Grazia awards 2019.

Amal started her journey with Lexus Qatar as a key participant in several lifestyle events and ladies track day. Amal was interviewed by Grazia in Leading Ladies with Lexus focusing on Women Empowerment.

In the event of nominating Amal as Lexus Brand Ambassador, Firas Mufti AAB Senior Marketing Manager, said: “We are very excited this year to col-laborate with Amal Ameen as our first ever Lexus Brand Ambassador. As a rec-ognised fashion icon, Amal will play a key role in endorsing the brand through

joint lifestyle and fashion events.” The Lexus Brand Ambassador

program is to associate Lexus with a high profile respectable public figure

such as Amal and to raise public awareness about Lexus Lineup and its state of the art features, benefits and technology.

Amal Ameen (right) with other officials at Lexus AAB’s ‘The Luxury Network International Award Ceremony’, recently.

Gulf stocks plunge deeper as oil prices plummet on Opec+ deal collapseREUTERS / THE PENINSULA

Gulf stock markets dived yesterday, extending their losses from the previous session amid falling oil prices after the Opec+ deal collapse.

QSE’s benchmark index plunged 9.70 percent, the biggest single day loss in more than 11 years. Lending major QNB, Doha Bank, logistics company GWC, all shed the permis-sible maximum of 10 percent.

Saudi Arabia’s benchmark index was down 9.1 percent at 6,220 points, its lowest in around four years, before closing the market at 6 per cent loss.

The Dubai index declined 8.3 percent, its sharpest daily fall since March 2006. Kuwait’s premier index dived 10 percent triggering trading suspension for the rest of the session.

With oil erasing over a third of its value overnight after a messy breakup of the Opec+ alliance, Opec members are bleeding over half a

billion dollars a day in lost revenue, according to Reuters calculations.

For the most part, oil is a top income source for members of the Organization of the Petroleum Exporting Countries and such a dra-matic fall in prices will put strain on their economies, some of which such as Iran and Venezuela, are already on the brink.

Brent crude futures were down by as much as 31 percent to $31.02 yesterday, their lowest since mid-February 2016. At that low, prices were down nearly $20 a barrel from a high before the meeting of Opec and its allies on March 6.

This means that in total, and based on their average February production, Opec members lost more than $500m in revenue, according to Reuters calculations.

The losses are a lot more pro-nounced when compared with the high of $71.75 a barrel that Brent hit in January.

Opec had been pushing for expanding the existing cuts with its allies, known as Opec+, by an addi-tional 1.5 million barrels per day to over 3 million bpd until the end of the year. Russia turned the proposal down, causing the collapse of the alliance and the start of a price war over market share.

For some nations, including one

the group’s richest members, fiscal budget break-even oil prices were already much higher than the oil price before the most recent collapse.

“A $10 a barrel decline in oil prices lowers fiscal revenues by 2-4 percent of GDP, depending on the country, and fiscal break-even prices are well above current levels for all Gulf Cooperation Council sov-ereigns,” Jan Friedrich (pictured), Head of Middle East and Africa Sov-ereign Ratings here at Fitch Ratings said.

“However, at least the higher-rated sovereigns, particularly Qatar, Kuwait and Abu Dhabi, have ample buffers, mainly in the form of sov-ereign wealth funds,” he added.

QIIB’s strategic

risk management

helped maintain

stable growth in

2019: Sheikh

Dr. Khalid

FROM BUSINESS PAGE 1

“At QIIB, we are proud of the growth we achieved as it reflects our involvement in the Qatari economy, which has been built on strength and rigidity. (In 2019) QIIB con-tinued to focus on the local market given the signif-icant opportunities that contribute to the country’s d e v e l o p m e n t a n d achievement of the goals set in Qatar National Vision 2030, some of which have already been achieved, while others are being achieved. We are honoured to take part and actively contribute to achieving some of these goals”, Sheikh Dr Khalid said.

Addressing the meeting, QIIB CEO Dr Abdulbasit Ahmed Al Shaibei, said the bank strived during the past year to implement the interim and strategic plans laid down by the Board of Directors. ''We worked hard to achieve better results. The outcomes were satis-factory, as most of the bank’s financial indicators improved, the bank’s estab-lished position kept its strength while the bank’s confidence index rose.

Credit rating com-panies affirmed QIIB high ratings with a stable outlook based on a number of factors, namely the strength of the bank’s position among Islamic banks, the quality of its assets, strong profitability, quality of financing port-folio, growth in operational r e v e n u e s a n d improvement in opera-tional efficiency.

Great efforts were made during 2019 to improve the bank’s response to the customers’ requirements and upgrade its services and products in line with the best global standards.

The general assembly meeting approved all the items on the agenda, including the Board of Directors’ recommen-dation to distribute 42.5 percent of the bank capital as cash dividends .

FROM BUSINESS PAGE 1

This can help build up Qatar’s SME and bank lending ecosystem, and make the country an even more business-friendly environment,” said Patel.

Speaking about the growing trade relations between Qatar and the UK, he added: “What’s interesting for us is, Brexit for us has had no negative impact in these technology companies going global. Equally, the blockade of Qatar has had no negative impact at all for these companies coming over here. So in some sense, both our coun-tries have got similarities of what’s going on. The bilateral relationship is so strong. That resulted in trade and investments still continuing in the same level of strength and energy. Actually more so, because Qatar is more in the news because of the World Cup, the free zones, and the technology base that it’s creating. And so we want more British companies to also help build up that technology base and mentor companies and lift them up as well locally”.

“A $10 a barrel decline in oil prices lowers fiscal revenues by 2-4 percent of GDP, depending on the country, and fiscal break-even prices are well above current levels for all Gulf Cooperation Council sovereigns.”

UK companies look for new businesses in Qatar

04 TUESDAY 10 MARCH 2020BUSINESS

Tesco sells Asia units for$10bn to Thai billionaireBLOOMBERG — GENEVA/ HONG KONG

Tesco Plc agreed to sell its Asian businesses to Thai billionaire Dhanin Chearavanont for more than $10bn, clinching a record deal in Thailand even as the coronavirus outbreak damps enthusiasm for mergers and acquisitions worldwide.

Britain’s largest supermarket chain said it plans a 5 billion-pound ($6.6bn) special dividend after the sale of the assets to Chearavanont’s Charoen Pok-phand Group. The UK grocer is gaining a cash infusion as it focuses on its home market, where it’s cutting thousands of jobs.

The company joins Car-refour SA of France and Metro AG of Germany in divesting Asian operations as the European retailers focus on their domestic markets. Metro agreed to sell its Chinese business for about €1.9bn last year, while Carrefour also inked a deal to dispose its operations in China.

The sale marks the end of Tesco’s 22-year-presence in Thailand, where it runs more than 2,000 hypermarkets and convenience stores under the Tesco Lotus brand.

Earlier Deal Dhanin is

buying back a chain that CP Group founded in 1994 and sold to Tesco during the Asian financial crisis four years later. In 2013, the investor reclaimed his control of another retail business, Siam Makro Pcl, the Bangkok-based operator of cash-and-carry shops, by paying $6.6bn to buy out a stake from SHV Holdings.

“This acquisition will put CP Group at the top of the Thai retailing food chain,” said Maria Lapiz, an analyst at Maybank Kim Eng Securities (Thailand) Pcl in Bangkok. It’s the biggest M&A deal ever in Thailand, and the largest in Asia this year, according to data compiled by Bloomberg.

Central Group, controlled by the Chirathivat family, was also interested in the purchase, Bloomberg has reported. Its

approach triggered the sale process, according to a person familiar with the situation.

The deal was codenamed Aviary, with some exotic birds representing the main seller and its units: “Tawny” for Tesco, “Toucan” for Tesco Thailand and “Macaw” for Tesco Malaysia, according to people familiar with the matter, who asked not to be identified because the talks were private.

For Tesco, the sale and payout to shareholders is a “good deal to our minds,” said Clive Black (pictured), an analyst at Shore Capital. The price is at the upper end of expectations though the company is losing exposure to a growth market, he said. The UK grocer also said the deal will eliminate its pension deficit.

Tesco shares fell 0.6 percent yesterday in London even as the FTSE 100 Index slumped 6.3 percent amid a global stock selloff. Over the past 12 months Tesco has risen about 5 percent.

Tesco announced a stra-tegic review of the unit in December. People familiar with the situation had said the businesses could fetch more than $7 billion. In Malaysia, Tesco has more than 70 shops, according to its annual report.

Dhanin has been acquiring companies at home and abroad to expand as growth in Southeast Asia’s second-biggest economy has slowed. The investor has a net worth of $5.2bn, making him the nation’s second-richest person, according to the Bloomberg Billionaires Index. Many of his assets are owned through closely-held holding com-panies that he shares with his brothers.

The sale comes as Tesco Chief Executive Officer Dave Lewis prepares to hand over to former Walgreens Boots Alliance Inc. executive Ken Murphy. It continues the UK grocer’s retrenchment from international markets, after disposals in the US, South Korea and China.

Tesco has also been weighing options for its Polish business and “we would not be surprised to see a process around a sale,” Shore Capital’s Black said. Greenhill & Co., Goldman Sachs Group Inc. and Barclays Plc advised Tesco.

The company joins Carrefour SA of France and Metro AG of Germany in divesting Asian operations as the European retailers focus on their domestic markets.

FX volatility surges as yen gains 3%; commodity currencies slumpREUTERS — LONDON

The dollar fell 3 percent against the Japanese yen and commodity-linked currencies tanked yesterday, as a 30 percent crash in oil prices and tumbling stock markets panicked investors and sent currency prices swinging wildly.

A gauge of volatility in the euro/dollar market - the world’s most-traded currency pair - shot to its highest since April 2017 as the euro surged more than 1 percent to its strongest since January 2019.

Dollar-yen one-month implied volatility surged to an 11-year high at more than 18 percent as the dollar slid to its weakest since 2016.

Investors are dumping dollars because of the collapse in US Treasury yields. The benchmark yield is at 0.45 percent, after trading above 1 percent last week, as traders shed risky assets and head for the safety of government bond markets.

Oil prices fell 30 percent after Saudi Arabia pledged to slash prices and boost pro-duction following the collapse of an Opec supply agreement.

That unnerved investors already rattled by more than a weak of wild moves in markets, as they struggled to assess the economic damage caused by the coronavirus.

“Financial markets have suffered a rude awakening to notions that volatility was a thing of the past. We’re now seeing the kind of market dis-location not witnessed since the 2008-09 global financial crisis,” ING analysts said, describing the set-up as a “perfect storm” for currency markets.

“This all conspires to deliver an extreme flight to safety, into the likes of the JPY and the CHF,” they wrote.

In hectic trade, the dollar fell as low as 101.55, its lowest in more than three years. It was last down 3 percent at 102.28 yen. The euro rallied 1.2 percent to $1.1419 after earlier touching $1.1495.

The dollar index dropped to its weakest since September 2018 before recovering somewhat to trade at 95.132, down 0.3 percent.

The Swiss franc added more than 1 percent against the dollar but was flat versus the euro.

QATAR STOCK EXCHANGE

QE Index 8,160.23 -9.70 %

QE Total Return Index 15,303.81 -9.69 %

QE Al Rayan Islamic Index - Price 1,741.30 -9.17 %

QE Al Rayan Islamic Index 3,020.90 -9.13 %

QE All Share Index 2,488.29 -9.51 %

QE All Share Banks &

Financial Services 3,609.49 -9.62 %

QE All Share Industrials 2,074.58 -9.48 %

QE All Share Transportation 2,087.70 -9.77 %

QE All Share Real Estate 1,134.37 -9.78 %

QE All Share Insurance 2,073.37 -8.80 %

QE All Share Telecoms 713.56 -9.99 %

QE All Share Consumer

Goods & Services 6,276.79 -8.59 %

QE INDICES SUMMARY QE MARKET SUMMARY COMPARISON WORLD STOCK INDICES

GOLD AND SILVER

09-03-2020Index 8,160.23

Change -876.97

% -9.70

YTD% -21.73

Volume 206,763,280

Value (QAR) 752,978,193.49

Trades 9,523

Up 03 | Down 45 | Unchanged 01

08-03-2020Index 9,037.20

Change -272.19

% -2.92%

YTD% -13.32

Volume 86,939,240

Value (QAR) 123,781,628

Trades 6,866

EXCHANGE RATE

GOLD QR196.8448 grammeSILVER QR1.9951 per gramme

Index Day’s Close Pt Chg % Chg Year High Year Low All Ordinaries 4207.354 110.624 2.7 5069.5 3829.4

CAC 40 Index/D 3176.13 -0.06 0 4169.87 2979.87

DAX - Composit/D 531.14 8.71 1.67 667.98 485.74

DJ Indu Average 0 0 0 12876 9936.39

Egypt Cma Gn Idx 675.91 13.3 0.95 1567.23 143.08

Hang Seng Inde/D 19783.67 452.97 2.34 24468.64 18868.11

ISEG Overall/D 2510.71 44.36 1.8 3037.89 2333.35

Karachi 100 In/D 11311.29 276.37 2.5 12768.4 11032.2

Nikkei 225 Index 9038.74 94.26 1.05 10891.6 8227.63

S&P 500 Index/D 0 0 0 1370.58 1039.7

Straits Times/D 2821.09 -62.91 -2.18 3280.77 2847

Currency Buying (QAR) Selling (QAR)

US$ 3.6305 3.6500

Pound Sterlig 4.7324 4.7989

Swiss Frnac 3.9063 3.962

Japanese yen 0.0353 0.03598

Australian Dollar 2.3786 2.4251

Canadian Dollar 2.6375 2.6889

Indian Rupee 0.0487 0.0497

Pakistan Rupee 0.0229 0.0233

Philipine Peso 0.0713 0.0727

Bangala Takka 0.0425 0.0433

Sri lanka Rupee 0.0198 0.0202

Nepalese Rupee 0.0305 0.031

South African Rand 0.2256 0.2303

Euro 4.134 4.1926