Banking and Finance

Bank Telephone Website Currency and Exchange

Regional Banks Ahlibank 4420 5222 ahlibank.com.qa Commercial Bank of Qatar 4449 0000 cbq.qa Doha Bank 4445 6000 qa.dohabank.com Qatar Development Bank 4430 0000 qdb.qa Qatar National Bank 4440 7777 qnb.com Branches of Foreign Banks Arab Bank Qatar 4438 7777 arabbank.com.qa Bank Saderat Iran 4441 4646 bsi.com.qa BNP Paribas 4453 7115 mea.bnpparibas.com

Alfardan Exchange 4453 7777 alfardanexchange.com.qa Al Jazeera Exchange 4436 3822 aljazeeraexchangeqatar.com Al Mana Exchange 4442 4226 almanaexchange.com Al Sadd Exchange 4432 3334 Al Amir Street

HSBC

4442 4722 hsbc.com.qa Mashreq Bank 4408 3333 mashreqbank.com/qatar Standard Chartered Bank 4465 8555 sc.com/qa United Bank Limited 4444 1314 ubldirect.com Islamic Banks * Dukhan Bank 800 8555 dukhanbank.com # Masraf Al Rayan 4425 3333 alrayan.com Qatar First Bank 4448 3333 qfb.com.qa Qatar International Islamic Bank 4484 0000 qiib.com.qa Qatar Islamic Bank 4402 0888 qib.com.qa Investment Banks QInvest 4405 6666 qinvest.com * Previously Barwa Bank; merged with International Bank of Qatar in April 2019 # Masraf Al Rayan merged with Al Khalij Commercial Bank in November 2021 Arabian Exchange 4443 8300 arabianex.com

Gulf Exchange 4438 3222 gulfexchange.com.qa/en Travelex Qatar 4443 4252 travelex.qa Unimoni Exchange 4436 5252 unimoni.com/qat Western Union Send money online and via the app, or find a branch at westernunion.com/qa/en

The Banking Network

There are hundreds of bank branches and ATMs across the country, with most in Doha but also further afield. They are located in nearly all of the malls, hotels, souqs and petrol stations. Visitors can usually access funds in their home accounts by using their ATM cards here, and some allow the withdrawal of USD and Euro – check with the relevant bank(s) for commission or exchange rate fees. Major credit cards are widely accepted. Exchange houses provide remittance services and foreign exchange and are licensed by Qatar Central Bank. There are no exchange control regulations, but movement of money in and out of local accounts is monitored and a declaration of origin for large cash deposits may be required. The GCCNET system, established by the GCC countries, acts as a single ATM network linking all the GCC point of sale switches – in Qatar this is NAPS (National ATM & POS Switch). Opening hours: Generally Sunday – Thursday 7:30 am – 1 pm, however many banks have extended branch operations. Check the respective bank's website for up to date timings and locations of branches and ATMs. All day/extended hours/weekends: Ahlibank, City Center-Doha: Saturday – Thursday 9 am – 2 pm, Friday 3 pm – 8 pm CBQ, mall branches: Saturday – Thursday 9 am – 2:30 pm/3:30 pm – 9 pm, Friday 3:30 pm – 9 pm Qatar Islamic Bank, Medina Centrale, The Pearl-Qatar: Sunday – Thursday 11 am – 6 pm QNB, City Center-Doha, Lagoona Mall and Doha Festival City: Friday 3:30 pm – 9 pm QNB, City Center-Doha and Lagoona Mall: Saturday 9 am – 2:30 pm/3:30 pm – 9 pm Digital branches/services: Apple Pay: Dukhan Bank, QNB HSBC Msheireb Downtown Digital branch: Sunday – Thursday 9:30am – 5 pm QIB Video Banking: via the QIB mobile app Virtual assistants: Dukhan Bank (Rashid), Qatar Islamic Bank (Zaki)

Currency

The unit of currency is the Qatari Riyal (QAR), divided into 100 Dirhams (Dh), issued by Qatar Central Bank (QCB). It is pegged to the US dollar at a fixed exchange rate of USD1 = QAR3.64. The fifth series of notes were introduced in December 2020. A new QAR200 note joins the QAR1, QAR5, QAR10, QAR50, QAR100 and QAR500 notes. The old notes cease to be legal tender on 31 December 2021, although the public are able to change the old notes at Qatar Central Bank for another 10 years. Banknotes incorporate security threads, as well as special features for recognition by the blind and visually impaired, and the new QAR500 note features a holographic security thread, the first in the Middle East to do so. Coins remain unchanged at Dh5, Dh10, Dh25 and Dh50. Four GCC countries support the creation of a Gulf Monetary Union (GMU) – Qatar, Saudi Arabia, Kuwait and Bahrain; the UAE and Oman have withdrawn entry. The GCC Supreme Council in 2008 approved the Monetary Union Agreement and the Statute of the Monetary Council. The headquarters of the Gulf Monetary Council opened in Riyadh in 2013 with monetary union proposed later in the year. Qatar, Kuwait, Bahrain and Saudi Arabia subsequently agreed to establish a unified central bank with currency pegged to the USD. There has been no further action since 2013.

The Banking Sector

Overseen by Qatar Central Bank (QCB), the sector comprises a number of regional, foreign and Islamic banks. State-owned Qatar Development Bank provides financing to SMEs, while QInvest focuses on investment banking, asset management and investing its own capital. Barwa Bank and International Bank of Qatar (IBQ) signed a final agreement in August 2018 to merge the two banks, the first in Qatar's banking history, to create a Sharia-compliant financial institution with more than USD22 bn in assets. The legal merger was completed in April 2019, trading as Barwa Bank, with IBQ products converted to Sharia-compliant equivalents. Barwa changed its name to Dukhan Bank in October 2020. June 2020 saw negotiations open for another merger, between Masraf Al Rayan and Al Khalij Commercial Bank (al khaliji). Masraf Al Rayan was previously involved as a third bank in the merger between Barwa Bank and IBQ. Masraf Al Rayan and al khaliji entered into a merger agreement in January 2021, formally completed in November 2021. al khaliji's business has now been absorbed into Masraf Al Rayan's. The latter will be the remaining legal entity operating in accordance with Islamic Sharia principles, and is now one of the largest Sharia-compliant banks in Qatar and the region, with over QAR182 bn in total assets. The Cabinet approved a draft resolution in December 2021, allowing a non-Qatari investor to own up to 100% of the capital in four banks: Commercial Bank of Qatar, Masraf Al Rayan, Qatar Islamic Bank, and Qatar National Bank. A new loan-to-deposit requirement of 100% came into effect in 2018. The adoption of International Financial Reporting Standard (IFRS) 9 by QCB has strengthened the provision coverage at Qatar’s commercial banks – under the IFRS standard, banks and financial entities have to set aside a certain proportion of profit against losses for unseen reasons. QCB set up the Supreme Emergency Committee in 2018 to monitor the day-to-day activities of financial institutions in the country, addressing emergency matters and easing the flow of work. Both the Institute of International Finance and the Economist Intelligence Unit have noted that Qatar's banking system 'remains resilient' during the COVID-19 pandemic. The ability to fully service its debt obligations is good, thanks to ample foreign reserves and the assets of sovereign wealth fund Qatar Investment Authority (QIA).

Qatar Central Bank

Under Law No 13 of 2012 Qatar Central Bank and the Regulation of Financial Services, QCB is deemed an autonomous corporate body, with a capital of QAR50 bn and under the direct control of The Amir. It is headed by a governor appointed by The Amir, and primary goals include financial stability, supporting developmental activities and strengthening the national economy. The law is not just for banks, but includes insurance companies, exchange houses, Qatar Exchange and QFC-registered entities. In November, Amiri Decision No 65 of 2021 appointed HE Sheikh Bandar bin Mohammed bin Saoud Al Thani as Governor of QCB.

Under Law No 13 of 2012, the Financial Stability and Risk Monitoring Committee shall study existing and future risks related to all banking, financial, insurance and stock market activities. The panel works closely with the Ministry of Finance to frame general policies. The law provides strict penalties for anyone accepting deposits from the public without a valid licence from the banking regulator – violators can face a jail term of up to five years and/or a fine of up to QAR5 mn. For those refusing to accept the legal tender of Qatar, there is a jail term of three years and/or a fine of up to QAR5 mn. Issuing forged currency means 10 years in jail and/or a fine of QAR10 mn. Manipulating accounts incurs a prison term of up to three years and/or a fine of up to QAR200,000. Regulations in 2013 curbed investment options for local banks. Equities and bonds can account for up to 25% of a bank’s capital and reserves; debt issued by the government and national banks are exempt. There is also a limit on the amount placed with individual companies and unlisted securities: a maximum of 5% of capital and reserves for foreign investments and 10% domestically. Total foreign equities is capped at 15%. The Qatar Renminbi Centre opened in 2015 and is the first in the region to offer Renminbi (RMB) clearing and settlement, increasing financial connectivity between China, Southwest Asia and the MENA region. The centre provides access to China’s onshore RMB and foreign exchange markets to local financial institutions – Chinese companies have become active partners in Qatar, and the RMB centre will facilitate trade via their agreement with QCB. qatarrmbcentre.com Law No 20 of 2019 on combating money laundering and terrorism financing was issued in September 2019, replacing Law No 4 of 2010, with implementing regulations following in December. The law is in accordance with the latest standards adopted by major international organisations including Financial Action Task Force, highlighting Qatar's regional role in setting standards in its legal and regulatory framework for combating money laundering and terrorism financing. Fintech regulations Noting the increasing growth and popularity of fintech, QCB has established the Fintech Regulatory Sandbox and launched Qatar FinTech Hub (QFTH) as a means of boosting financial innovation, one of the objectives of its strategic plan (see below). The regulatory sandbox, co-founded by Qatar Development Bank, invites entities to safely live-trial their services in the digital payment services space. fintech.qa The Second Strategic Plan for Financial Sector Regulation 2017–2022 QCB, the QFC Regulatory Authority (QFCRA) and the Qatar Financial Markets Authority (QFMA) jointly launched in December 2017 the Second Strategic Plan 2017–2022 for the future of financial sector regulation in Qatar, an extension of the First Strategic Plan 2013–2016. The new plan comprises five main goals: • Enhancing financial sector regulation and promoting regulatory cooperation. • Developing financial markets and fostering financial innovation. • Maintaining integrity of and confidence in the financial system. • Promoting financial inclusion and financial literacy. • Developing human capital. The plan aims to create a regulatory framework allowing growth, is 'inclusive and sustainable', promotes innovation and fintech, and successfully tackles cyber-security threats. qcb.gov.qa

Qatar Credit Bureau

Bad loans have been reduced since the Bureau started operations in 2011. The centre cannot grant credit facilities to individuals nor impose restrictions on banks. Qatar Credit Bureau provides analytical data and supports banks’ use of advanced techniques in risk management, as well as support sustainable growth of credit in Qatar. It provides banks with information on customers' total exposure in the market and the loans they hold, enabling banks to choose prospective customers. cb.gov.qa

Loans, Bank Charges and Interest Rates

Loans: Under QCB rules, the default period for a substandard loan is three months or more, for a doubtful loan six months, and a bad loan nine months. Banks have to closely monitor loan disbursement and forward reports on customer creditworthiness to QCB. There is also a duty to track and follow defaulting customers and seek resolution – if this fails, they will take legal action. Non-payment of loans could lead to a travel ban for Qatar and possibly the GCC. QCB has imposed ceilings on the amounts a bank can lend as a personal loan to citizens and expatriates. Banks cannot lend more than QAR400,000 to an expatriate, over a maximum repayment period of 48 months, against a maximum 50% of total monthly salary, and at a maximum 6.5% interest rate. For Qatari citizens there is a maximum loan of QAR2 mn over a maximum 72 months. Banks cannot use post-dated cheques for the loan value.

Mortgages: Check with each bank first. Documents usually required: Valuation Report from an approved real estate agent; salary assignment letter if the home loan is the first facility with the bank; ID for Qataris or passport and valid residence card for expatriates; copy of the Title Deed and map; and building insurance cover. Discuss provision for life assurance against any loan amount taken and consider updating your will. Bank charges: Banks must prominently display all interest rates on personal loans and credit cards, as well as publish them in local newspapers. Credit cards: A maximum 12% annual interest rate and usually only issued when customers transfer their salary or have an adequate deposit at the bank. Interest rates: Announced by QCB on overnight deposit and loan transactions between QCB and local banks via the Qatar Money Market Rate Standing Facility, a monetary instrument through which local banks can request access to loan and deposit facilities with QCB at daily interest rates. QCB and Bloomberg jointly launched the first Qatar interbank offer rate (QIBOR) fixing in 2012. This is the interest rate charged by banks in Qatar for interbank transactions. As there is fixed parity between the Qatari riyal and the US dollar, QCB short term interest rates policies are subordinated to the fixed exchange rate policy, making QCB overnight interest rates closely related to its USD counterpart, the Fed Funds Rate. In March 2020 the overnight lending rate was decreased to 2.5%, and the deposit rate and the repo rate to 1%.

Accounts

Standard bank facilities: Debit/credit cards, standing orders, money transfers, personal loans, vehicle loans, and mortgages on current and savings accounts (including joint accounts). Some accounts offer longer terms, higher interest and the option to save in USD, GBP and Euros. 24/7 telephone and internet banking services and apps offer additional options, while some services such as ordering a cheque book can be accessed via the bank's ATM network. With mobile banking a customer relations officer can visit you at home or work to assist with banking requirements. Most banks offer premium banking services. International bank account number (IBAN): Adopted in January 2014 as a standard for identifying and numbering all bank accounts in Qatar, and effective from May 2014. The system applies to all accounts in banks operating in the country, found on bank statements or online in account details. The existing account number is not replaced; additional characters appear in front of the account number to form a 29‑character IBAN. All incoming and outgoing transfers to and from banks and financial institutions must use IBAN. Opening an Account: Documents usually required: • A valid residence card or work visa. A worker’s dependants (eg spouse and family) can open an account but may require his permission as he is their sponsor (check with the individual bank). • Valid passport. • For current accounts, a letter from the employer/ sponsor confirming the monthly salary in Qatari

Riyals, with the company’s official stamp. You may have to transfer your salary to the new account but check with the individual bank. • Some banks may ask to see your tenancy agreement to establish your residential address. • Take copies of these documents, along with identity photographs. Ask for photocopies of any documents signed.

The Wage Protection Scheme (WPS) is an electronic salary transfer system that ensures workers are paid as per their employment agreement, initiated by the

Ministry of Labor and QCB. Employees therefore need a local bank account in order to receive their wages from the employer.

Cheques: A chequebook can be issued with a current account. They are not widely accepted for instant payment; post‑dated cheques are commonly used for house rental payments. The onus of responsibility is on the banks not to encash cheques before the designated date. Issuing a cheque without the necessary funds in your account is a serious criminal offence and the bank or creditor may notify the police, leading to possible prosecution. Punishment for causing a cheque to bounce due to insufficient funds can be severe: jail terms of between three months and three years, and/ or fines of between QAR3,000 and QAR10,000. Cases being filed are on the rise in the country, mostly for cheques for large amounts, and the Capital Security Department records all cases electronically to speed up the process. Under new QCB instructions, the Qatar Credit Bureau lists individuals and companies who have issued at least one bounced cheque. Banks are not obligated to issue new cheque books to these customers unless the amount has been settled and their name removed. Banks must also report any customer who has issued a bounced cheque.

Credit cards: Widely available with all the usual privileges, with the credit limit determined by the cardholder's salary or savings balance. Family members may also be eligible for a card. Check at the time of applying for issuance and renewal fees, conversion charges, and payment options. Customers should notifiy their bank when travelling overseas and wishing to use their credit/debit cards. Since 2014 all card transactions made using the magnetic stripe inside and outside of Qatar will be declined. However, as certain countries (eg the US, India and the Philippines) still use the magstripe for transactions, customers should activate their card before travelling. Complaints: Unresolved consumer complaints can be made online to QCB's Consumer Protection Department. qcb.gov.qa

Offshore Banking

Offshore banking can be a secure anchor for an expat's finances while out of their home country. Check with local banks for availability of international bank accounts in USD, GBP, or Euros.

Financial Services and Insurance

Financial services are provided by entities registered with the Qatar Financial Centre (QFC). Insurance products are widely available from local and international companies (see Living in Qatar). Under Law No 13 of 2012 QCB and the Regulation of Financial Services, only local insurance providers are permitted to underwrite any kind of risk against properties in Qatar. Decision No 1 of 2016 issued by the Governor of QCB provides instructions related to licencing, regulation and controls, risk management, accounting, and other requirements. Listed companies must have capital in excess of QAR100 mn or a risk-based capital, while unlisted companies must have capital higher than that set by QCB or their risk-based capital. QCB continues to regulate and develop the insurance market as per international standards, in line with the Second Strategic Plan for Financial Sector Regulation 2017–2022. Decision No 7 of 2019 sets out further instructions for licensing, organising and supervising the services of supporting insurance providers. It sets out the competencies and expertise for each supporting insurance provider, the nature of the work, areas of responsibility and functions, and the establishment of professional and ethical codes of conduct.

Islamic Finance

Current Islamic institutions include Dukhan Bank, International Islamic, Masraf Al Rayan and Qatar Islamic Bank. Qatar First Bank – regulated by the QFC Regulatory Authority – is the first independent, Sharia compliant investment bank. Banks were required by QCB to separate their Islamic and conventional lending operations by 31 December 2011. Islamic banking by other conventional banks is now barred from Qatar's market. QCB took this action due to certain supervisory and monetary issues, namely that holding both Islamic and non-Islamic deposits incurs different risks and reporting methods. Law No 13 of 2012 requires that Islamic banks must have a Sharia board with at least three qualified members approved by the shareholders. Neither they nor members of their family may be employed or hold shares in the entity. Institutions and services must abide by regulations set out in the Holy Quran and Sharia (Islamic Law). Charging riba (interest) is haram (forbidden). Islamic banks charge fees for services and engage in profit sharing, enabling them to offer comparable facilities to those of conventional banks. Under a mudharabah (profit sharing) contract, the rabbul maal (owner of the money) authorises the bank to invest funds as per Sharia to make justifiable returns. Other concepts of Islamic banking include wadiah (safekeeping), musharakah (joint venture), and ijarah (leasing). Bai (saving) is halal (allowed). m

Technology advancements in the banking system in Qatar are on the rise! Two new virtual assistants can help with your banking needs: Rashid at Dukhan Bank, and Zaki at Qatar Islamic Bank.