Doha: The total assets of commercial banks operating in Qatar increased by 6.4 percent to QR2 trillion in July 2024 the official data by Qatar Central Bank (QCB) has revealed.

Qatar Central Bank posted on its X platform the key banking sector indicators recorded growth in July this year compared to last year. The key highlights from July 2024 Monthly Monetary Bulletin showed that the total assets of commercial banks witnessed year-on-year expansion by 6.4 percent to reach QR2 trillion.

The total domestic deposits also witnessed a jump by 11.4 percent on yearly basis to reach QR833.1bn in July this year. While the domestic credit in July 2024 soared 7.3 percent year-on-year to QR1.3 trillion.

QCB post further stated that the total broad money supply (M2) increased by 6.4 percent to reach QR727.4bn in July 2024 on year-on-year basis.

Qatar’s banks have withstood recent global and regional uncertainties, leaving them in a strong position for further growth. The sector’s banks stand to benefit from the Third National Development Strategy for 2024-30 which prioritises financial services for the country’s development and economic diversification.

The sector is also embracing digitalisation, the adoption of financial technology, and a host of new banking methods and services.

The financial services sector is one of the major contributors to Qatar’s economy, ranked second after the hydro-carbon industry. This reflects the prominence of the sector in shaping Qatar’s economy as one of the world’s most stable, resilient, and competitive economies.

With the continuous economic growth, the demand for financial service grows accordingly, supporting the country’s position as a financial hub in the region.

Home to a world-class climate for business and investment, Qatar offers government-backed incentives, including but not restricted to, zero tax on personal income, tax holidays, and Foreign Direct Investment capital incentives.

Qatar’s banking sector is set for expansion and set to attract more investors. Investment in fintech has positioned the country to be a leader in both the conventional and Islamic segments. This has been supported by an established and innovative start-up ecosystem, which benefits from an active network of accelerators, incubators, VC funds and angel investors; as well as a regulatory framework tailored to the specific needs of the tech community.

Last year, QCB unveiled the Qatar FinTech Strategy 2023, which is in line with the Qatar National Vision 2030 goal of promoting diversification and innovation in the financial sector.

The QCB’s financial technology vision is based on developing, diversifying and increasing the competitiveness of Qatar’s financial technology and services sector through pioneering infrastructure and providing solutions that positively impact the customer experience.