1 > QATAR TODAY > DECEMBER 2019
inside this issue December 2019 / Vol. 45
16 QATAR JOINS RACE TO CUT SULPHUR EMISSIONS
With the International Maritime Organisation (IMO) regulations to reduce sulphur emissions from the present 3.5% to 0.5% to come into force from 1 January 2020, Qatar is positioning itself to meet the LNG demand from the global shipping fleet by switching over from traditional fuel to gas-based ones, V L Srinivasan writes.
26 THE WORLD'S FOOTPRINTS
Within 365 days, the world has changed in many unrecognizable ways. As we walk into another chapter, Qatar Today looks back on the world’s footprint of occurrences that has left a significant mark in the year.
43 QATAR’S HOSPITALITY SECTOR POISED TO GROW
When Qatar hosts the FIFA World Cup in 2022, the country’s hospitality sector is expected to grow at a CAGR of 12.1% between 2017 and 2022 to QR5.10 billion ($1.4 billion) as 70% of the hotels are in the four and five-star categories. Travel and tourism investment is expected to be around QR14.5 billion, increasing by 7.8% between 2018 and 2028.
58 THE DISSIPATING PLANET
When one thinks of shooting nature and biodiversity, one of the few names that comes to one’s mind is Fredi Devas, the producer of the first episode of Seven Worlds One Planet in Antarctica, for the BBC Natural History Unit.
1 > QATAR TODAY > DECEMBER 2019
inside this issue December 2019 / Vol. 45
08 AMIR MEETS PRESIDENT OF TURKEY
10 DOHA RANKS 12TH IN THE LIST OF BEST CITIES FOR EXPATS
09 AMIR CHAIRS SUPREME COUNCIL FOR ECONOMIC AFFAIRS AND INVESTMENT
11 PALESTINIANS STAGE “GREAT MARCH OF RETURN”
and regulars 08
NEWS BITES
12
BANK NOTES
15
OIL & GAS REVIEW
19
REAL ESTATE
48 MARKETWATCH
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53
AUTO NEWS
63
DOHA DIARY
Live moments that are truly yours
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from the desk Another year has passed by leaving some sweet memories as well as bitterness to nations around the world and Qatar Today, in its cover story featured many important developments that took place locally, regionally and around the world. For Qatar, the good news is that people can hope an end to the 2017 GCC Conflict with neighbouring countries including Saudi Arabia, Egypt, Bahrain and the UAE.
While Qatar has announced the successful startup of the Egyptian Refining Company (ERC) Refinery project located in Egyptian capital Cairo a few days ago, the other three countries have announcing its teams to participate in the 24th edition of the biennial Arabian Gulf Cup, which commenced in the last week of November. Political analysts these developments as a sign of rapprochement from all sides and though it is not officially announced, Kuwait seems to have played a key role in ending the standoff among the GCC member states. On the domestic front, the government has been taking a series of measures to strengthen the economy further and has unveiled plans to step up LNG production to 126million tons per annum (MTPA) by 2027, an increase of 64% from the current 77 MTPA. This will make Qatar as largest producer of the clean fuel again though it had to give up the position Australia for brief period. Qatar’s concern over climate change reflected in the Amir’s speech at a meeting where he not only called upon all countries states to fulfil their responsibilities and honour their commitments which international agreements have established to this effect but also announced a contribution of QR364 million ($100 million) for the support of small developing island states and the least developed states to deal with the climate change, natural hazards, environmental challenges and to build the capacity to counter their destructive effects. Besides, stories such as an exclusive interview with Doha Bank CEO Dr Seetharaman, how Qatar is positioning itself to supply LNG as fuel to maritime industry as the International Maritime Organisation (IMO) regulations on capping Sulphur content in present fuel used by ships. Qatar Today is also bringing a special report on how the country’s hospitality industry has grown in the recent years and regular reports for its readers. Elsewhere in the region, there has been no end to conflict in Yemen while the much-wanted leader of Islamic State Abu Bakar Al Baghdadi killed himself when he was cornered by the US forces in Syria. The withdrawal of US forces from Syria has created more tension with increased attacks in the areas controlled by Kurds and one hopes peace will return to the Middle East as soon as possible. Are we asking too much? You decide. Happy Reading
Lagoona Mall – Level 1 +974 4443 2757 Mirqab Mall – Level 1 +974 4416 8459 Doha Mall coming soon flikcinemas www.flikcinemas.com
Opening Hours 10 am - 12 am
Tuesday 27th December 1977 was a momentous day. Not only was this my 5th birthday, it was the release date of the long-awaited new sci-fi that had been smashing box office records “over the pond”. Seven long months after the US release, Star Wars was appearing in just two cinemas in London, Leicester Square and the Dominion Theatre in Tottenham. I was one of more than 53,500 customers who watched Star Wars during the first week of release; as a five-year old, this was hugely significant. My grandfather had started his career as a cinema projectionist and had quickly progressed to become the Director of Special Effects at MGM Studios. Recipient of three Academy Awards (Oscars), Tom Howard was an inspiration to me as a child and remains so to this day. Tom Howard, having recently finished work on the acclaimed 2001: A Space Odyssey, was approached by a young George Lucas and asked to lead the Special Visual Effects project on a new science fiction movie. My grandfather was passionate about his work, modest and under-stated, but his family came first. He did not want to move his wife and five children across the pond for five years or more, so he declined George Lucas’ approach. In response, George Lucas established Industrial Light and Magic and the rest, as they say, is history.
Star Wars – Original Poster (1977)
Across the globe, Star Wars means so many different things to so many different people. While in the GCC, with our shorter history of cinema exhibition, Star Wars: The Rise of Skywalker will be an exciting, action-packed, sciencefiction movie; to me personally it is a culmination of forty-two years of cinematic history tinged with fond memories of my illustrious grandfather. I am extremely proud to be able to present Star Wars: The Rise of Skywalker at our Flik Cinemas in Mirqab and Lagoona Malls, from the 19th December 2019. John Howard-General Manager-Flik Cinemas & Entertainment W.L.L. John Howard – has worked in the cinema industry for two-decades. Originally from the UK, he learnt his trade with Vue International, towards the end of the 35mm era. In his time, John has managed some of the highest grossing cinemas in the world including in Leicester Square, London; the same location where the original Star Wars was first screened in the UK, back in 1977. John joined Flik Cinemas & Entertainment W.L.L. towards the end of 2018.
1977 – Audience queues to watch Star Wars 7 > QATAR TODAY > DECEMBER 2019
Newsbites > Amir
“BY VIRTUE OF GOD’S SUPPORT, CREDIT FOR OUR SUCCESS IN CONTAINING MOST OF ITS NEGATIVE IMPACTS IS ATTRIBUTABLE TO MAINTAINING OUR CALM AND DECISIVE APPROACH IN HANDLING THIS CRISIS, REVEALING ALL ITS RELATED FACTS TO THE WHOLE WORLD, WHILE ADHERING TO THE INDEPENDENCE OF OUR POLITICAL DECISION VIS-A-VIS ATTEMPTS TO IMPOSE TUTELAGE ON US, AS WELL AS STRENGTHENING OUR BILATERAL RELATIONS WITH FRIENDLY AND ALLIED COUNTRIES.” HH SHEIKH TAMIM BIN HAMAD AL THANI
The Amir State of Qatar
AMIR MEETS
PRESIDENT OF
TURKEY
H 8 > QATAR TODAY > DECEMBER 2019
is Highness the Amir Sheikh Tamim bin Hamad Al Thani met His Excellency President of the Republic of Turkey Recep Tayyip Erdogan and discussed bilateral relations as well as ways of enhancing strategic cooperation between the two countries in various fields. During the meeting, they also exchanged views on all
regional and international developments of common concern. In honour of President Erdogan and his accompanying delegation at the Amiri Diwan, the Amir hosted a luncheon. The banquet was attended by a number of ministers, HE Speaker of the Shura Council, and members of the Council.
HH THE AMIR AND RWANDAN PRESIDENT ATTEND A SIGNING OF THREE AGREEMENTS
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is Highness the Amir Sheikh Tamim bin Hamad Al Thani and His Excellency President of the Republic of Rwanda Paul Kagame attended the signing of three agreements between the governments of the two countries, on the sidelines of Sheikh Tamim Bin Hamad Al Thani International Anti-Corruption
Excellence Award ceremony held at Kigali Convention Centre. The signing includes an acquisition agreement of 60% of Bugesera Airport shares, a shareholders’ agreement and a guarantee agreement between Qatar Airways and the Rwandan air transport company.
AMIR MEETS WITH NORWEGIAN CROWN PRINCE
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he Amir, HH Sheikh Tamim bin Hamad Al Thani, met with the Crown Prince of Norway, Haakon Magnus, and his accompanying delegation at the Amiri Diwan on the occasion of their visit to the country to participate in the golden jubilee celebration of Qatar Fertiliser Company (QAFCO) and the 50th anniversary of its cooperation with the Norwegian company Yara International ASA. The two leaders discussed a number of issues of mutual interest and reviewed their countries' bilateral cooperation and ways of enhancing it.
AMIR CHAIRS SUPREME COUNCIL FOR ECONOMIC AFFAIRS AND INVESTMENT
T
he Amir, HH Sheikh Tamim bin Hamad Al Thani, Chairman of the Supreme Council for Economic Affairs and Investment, chaired the Council’s fourth meeting of 2019 at the Amiri Diwan. The Deputy Amir, HH Sheikh Abdullah bin Hamad Al Thani, attended the meeting along with the Prime Minister and Interior Minister, HE Sheikh Abdullah bin Nasser bin Khalifa Al Thani, and Their Excellencies the members of the Council. The Council reviewed the latest developments in energy affairs, and reviewed the strategic planning, future development and organisational structure of the Investment Promotion Agency and its main initiatives to attract investors. The Council also reviewed the measures taken
QATAR TO POST SURPLUS BUDGET
Q
atar will post a budget surplus this year after a deficit a year ago, the Amir HH Sheikh Tamim bin Hamad Al Thani said. The Amir delivered a speech at the 48th ordinary session of the Shura Council where he reviewed the local and foreign policies, spoke about the achievements of Qatar and its future projects, in addition to its positions on main issues and challenges facing the region. Qatar had previously forecast
to develop the business environment in Qatar in terms of accelerating the provision of electricity and the issuance of building permits for projects, as well as facilitating the procedures of registration of ownership and proposing laws and legislation supporting the development of the business environment. The Council also reviewed the strategy of manufacturing industries in Qatar, the most important manufacturing sectors for attracting investors, the priority sectors and future growth sectors. The strategy of manufacturing industries aims to increase the number of new factories, especially those related to small and medium enterprises, and increase employment and private sector participation in Qatar National Vision 2030 plans and programmes.
a 4.3 billion riyal ($1.18 billion) budget surplus in 2019. The Father Amir, HH Sheikh Hamad bin Khalifa Al Thani, attended the ceremony. HH Personal Representative of HH the Amir Sheikh Jassim bin Hamad Al Thani, HH Sheikh Abdullah bin Khalifa Al Thani, HH Sheikh Mohammed bin Khalifa Al Thani and HE Sheikh Jassim bin Khalifa Al Thani were among those present. The inauguration was also attended by the Prime Minister and Minister of Interior HE Sheikh Abdullah bin Nasser bin Khalifa Al Thani and a number of Their Excellencies Sheikhs, ministers and heads of the diplomatic missions accredited to the State and the State’s dignitaries. 9 > QATAR TODAY > DECEMBER 2019
Newsbites > Local DOHA RANKS 12TH IN THE LIST OF BEST CITIES FOR EXPATS
A
ccording to the Expat City Ranking 2019 by InterNations, Doha takes the top spot among the cities in the GCC States, ranking 12th out of 82 cities, while Kuwait City is ranked last both within the region and worldwide. Abu Dhabi ranked 15th, Manama 21st, Muscat 28th, and Dubai 34th. Except for Kuwait City, the cities are among the top 25 worldwide for getting settled in terms of safety and affordability of housing. The ranking is derived from the results of the
annual Expat Insider survey by InterNations which sought out more than 200,000 respondents. Qatar’s capital has moved rapidly up the ranks, performing best in terms of finance and housing (10th), getting settled (22nd), and urban work life (25th). For the latter, it it moved up 31 places, with 70% of expats in Doha now satisfied with their job in general, which is both above the global average in 2019 (64%) and the share for Doha in 2018 (59%).
AMIRI GUARD COMPLETES FIRST PART OF TRAINING
T
he Amiri Guard School has celebrated the conclusion of the first part of the training season for 2019-20. The event, held at the “Hosniya” camp, under the patronage and in the presence of the Commander of the Amiri Guard Major General Hazza bin Khalil Al Shahwani, saw the graduation of candidates of several basic and advanced courses. The closing ceremony was attended by the Deputy Commander of the Amiri Guard, the Inspector General, the Assistant Commander of the Amiri Guard, a number of officers of departments and groups, officers of the armed forces and Internal
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atar Charity (QC) has launched the 2019-2020 winter campaign from Syrian and Palestinian refugee camps in Jordan. The campaign aims to provide thousands of vulnerable people with food, shelter and heating to help them survive
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Security Force “Lekhwiya”. The trainees presented a number of field activities reflecting the competence and combat readiness of the Amiri guards. The activities included methods of self-defence through the application of a variety of combat movements, in addition to jumping over the firewall with skill and ingenuity. The activities also included realistic scenarios for intrusions in the counterterrorism cycle through tactical descent from
the top of buildings, a helicopter airdrop, in addition to a demonstration of shooting skills - hitting fixed and moving targets accurately, among others. The event concluded with the Commander of the Amiri Guard honouring the graduates.
QC LAUNCHES “GIVE WARMTH” CAMPAIGN IN JORDAN the harsh winter months.
social activists and social media influencers
The campaign, under the slogan “Give Warmth”, was launched in the presence of Qatar’s ambassador to Jordan HE Sheikh Saud bin Nasser Al Thani. A delegation from QC,
reached Jordan to launch the campaign and distribute the first batch of winter assistance to Syrian and Palestinian refugees living in camps and low-income Jordanian families.
Newsbites > Region “IT IS NEITHER ACCEPTABLE NOR TOLERABLE FOR THE DISPUTE BETWEEN OUR BROTHERS IN THE COUNTRIES OF THE GULF COOPERATION COUNCIL TO CONTINUE. THE ROW HAS WEAKENED OUR CAPABILITIES AND THREATENED OUR ACHIEVEMENTS.” SHEIKH SABAH AL AHMAD AL SABAH Emir State of Kuwait
KUWAIT’S MINISTER TO BE NEW GCC SECRETARY GENERAL
K
uwait’s Finance Minister Nayef Al Hajraf has resigned and has been nominated to be the next Secretary General of the Gulf Cooperation Council (GCC). Oman was supposed to hold the position but Muscat reportedly turned down the offer. The choice of Al Hajraf was reportedly secured by Kuwait after it obtained the approval of the other member states. According to a report, Al Hajraf resigned as Kuwait’s Minister of Finance, a position he has held since December 2017, to pave the way for his official appointment. He will succeed Abdul Lateef Al Zayani, from Bahrain, who is the current Secretary General of the Gulf alliance that comprises Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates.
PALESTINIANS STAGE “GREAT MARCH OF RETURN”
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undreds of Palestinians across the Gaza Strip flocked to the security fence on November 8 to participate in weekly anti-occupation protests known as the Great March of Return.
Protesters from across the Gaza Strip headed to the eastern areas of the coastal enclave carrying Palestinian flags high. The Higher National Commission of the Great March of Return and Breaking of the Siege of Gaza, formed by Palestinian factions, named this Friday’s rallies “We are persistent.” Almost 270 protesters have been martyred — and thousands more wounded — by Israeli forces at the security fence areas with Gaza since the rallies began in March 2018. Demonstrators demand an end to Israel’s 12-year-old blockade of the Gaza Strip, which has shattered the coastal enclave’s economy, deprived its two million inhabitants of free movement in and out of Gaza, and blocked supplies of many basic amenities.
QATAR SENDS HUMANITARIAN AID TO SOMALIA
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nder the directives of the Amir, HH Sheikh Tamim bin Hamad Al Thani, Qatar has sent the second consignment of humanitarian aid through Qatar Fund for Development for victims of the flood disaster in Somalia. A military plane belonging to the Emiri Air Force, loaded with 44 tons of various aid including medicines, blankets, mosquito nets, cooking utensils, gloves, water filters, and iron and plastic jerry cans, landed at Aden Adde International Airport in Mogadishu in the first week of November. The aid was accompanied by a delegation from Qatar Fund for Development and a search and rescue team (Lekhwiya). The delegation was welcomed by a number of Somali government officials and representatives of the international community including the Qatari Ambassador to Somalia, HE Mr Hassan bin Hamza Hashim and other dignitaries were present. 11 > QATAR TODAY > DECEMBER 2019
business > Bank Notes
WITH ALMOST 50 YEARS OF SHOWCASING EXPERTISE IN CONNECTING COMPANIES AND GOVERNMENTS WITH FINANCIAL INSTITUTIONS, EUROMONEY CONFERENCES, IS THE WORLD’S LEADING ORGANISER OF EVENTS FOR CAPITAL MARKETS AND INVESTMENT PROFESSIONALS. SINCE THE 1970S, THE EVENTS OF EUROMONEY CONFERENCES HAVE AIMED TO IDENTIFY AND EXPLAIN THE LATEST GLOBAL TRENDS IN FINANCIAL MARKETS WHILE MAINTAINING THE ROLE AS IMPARTIAL FORUMS ON THE EXCHANGE OF IDEAS.
THE EUROMONEY QATAR CONFERENCE
2019
A
t the conference, the Governor of the Central Bank of Qatar, His Excellency Sheikh Abdulla bin Saoud Al Thani, responded to questions about the country’s economy as well as its banking and finance sector. Qatar’s GDP took a dive in Q2 2019. Why was this? What are the implications for the full year number? Qatar’s GDP growth contracted in Q2 2019 due to a combination of global and domestic factors. Despite a production cut by the OPEC plus group, the global economic slowdown continued to weigh on energy prices and imports of many advanced and emerging market economies. In terms of domestic factors, the expected ongoing cyclical downturn in the construction sector contributed negatively to nonhydrocarbon sector growth. However,
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the economic prospects look positive and growth is expected to recover significantly in the second half of 2019. While many high frequency indicators such as the industrial production index (IPI), particularly manufacturing, PMI and others have shown a marked improvement in recent months, hydrocarbon production is also slated to increase around the end of 2019 from new projects coming on line. As per the latest IMF - WEO report, Qatar’s GDP is expected to grow by 2.0% in 2019.
If 2019’s GDP performance is strained in Qatar, does that mean that 2020 will be better or worse than expected? The economic outlook for 2020 remains positive as a number of policy measures undertaken in recent years are expected to boost overall economic growth and business sentiments. Favourable macroeconomic fundamentals and financial stability will also provide a growth-enabling macroeconomic environment. The external account surplus
and fiscal buffer provide the necessary macroeconomic strength in Qatar. In fact, as per the latest IMF - WEO report, Qatar’s GDP growth is projected to improve to 2.8% in 2020, which would be one of the fastest in the GCC region. Furthermore, the economic growth is expected to be broad-based, driven by recovery in both the hydrocarbon and non-hydrocarbon sectors. The hydrocarbon sector is likely to grow in tandem with the planned expansion of energy production in the next few years, which itself would have a catalytic impact on the non-hydrocarbon sector. At the same time, a number of policy measures undertaken to help economic diversification will boost economic growth in the non-hydrocarbon sector. These policy measures include: • Steps undertaken to promote wholesale trade, small and medium-size enterprises and agriculture and allied activities. • The new foreign direct investment (FDI) law allows 100% FDI in almost every sector, which will help to develop the private sector in Qatar. • The Investment Promotion Agency has been set up to attract foreign investment in Qatar. The entity will pursue targeted, sector-specific investment promotion agendas and co-ordinate investment promotion and marketing activities with key stakeholders, as well as develop advisory. • Major infrastructure developments such as the SEZs and Hamad Port to provide further momentum to international trade and investment. The network of express highways and logistics centres that are located strategically in various locations of the country will help in the economic diversification process. The IMF thinks the world will avoid a recession in 2020, do you agree? According to the IMF's latest WEO report, the world economy is expected to grow by 3.4% in 2020, marginally higher than 2019. While this forecast would clearly indicate that a recession will likely be avoided, the IMF is also cautious. It has noted that with the synchronized slowdown and uncertain recovery, there is no room for policy mistakes at this moment. Moreover, there is a need for coordinated policy actions to deal with slower growth, including improvement in the macroeconomic environment by defusing trade tensions. In this regard,
recently there have been a few positive developments such as trade talks between the US and China and an accommodative monetary policy stance by the US Fed and some of the major economies, which significantly reduce the chances of recession in 2020. Will there be more bank consolidation in Qatar – or is that now done? Consolidation of banks occurs either as a directive from the authorities (Central Bank, Government, etc.,) to maintain financial stability or as a business strategy of the participating banks to reap the benefits of improved efficiency through diversification of the balance sheet. The merger of two bank in Qatar was of the second type, where the banks proposed consolidation and Qatar Central Bank provided the necessary approval after conducting legal and financial due diligence. As a regulator of the banking sector, QCB is focused on the viability of the proposal as well as its impact on the overall stability of the banking sector. Thus, the possibility of further consolidation of banks depends solely on the individual banks' business strategy and for the QCB it is not desirable to stifle the banking sector's creativity and drive for efficiency. How important is fintech to the future of Qatari banking and finance? Historically, the financial services industry was an early adopter of new technology innovations in order to better serve customers. But all of this changed during the last decade. The arrival of technologically innovative smartphones and linked applications transformed the way we live and became part of our daily lives. This created a large gap in what banks and financial institutions were able to offer vis-à-vis the customer’s expectations, in particular when it came to convenience and user experience. The fintech revolution is poised to fill this gap. The Qatar banking sector is fast evolving in this area to customers with a better experience, and seamless operations, thereby strengthening the economy. Along with the financial sector, the entire supporting infrastructure will need to be ready to accompany such changes. The banking sector will surely benefit from this transformation by being able to create better, faster and cheaper services. Fintech will bring a lot of value in creating new jobs, skills and capabilities at a time when Qatar is aiming to become a knowledge-based
economy as part of its National Vision 2030 goals. Due to Qatar being such a small country, isn't fintech here more about implementation than innovation? Fintech in Qatar is about both implementation and innovation. For years Qatar has been relying on various technologies at multiple levels. Therefore it is quite natural that the industry here grows out of existing solid technological solutions. There are numerous challenges in the financial sector that may create opportunities for such innovation to take place. These challenges can be solved via internal innovation processes, open innovation models (acquiring innovative start-ups, for example) or with the involvement of the academic/research institutions. With a strong emphasis
“THE POSSIBILITY OF FURTHER CONSOLIDATION OF BANKS DEPENDS SOLELY ON THE INDIVIDUAL BANKS' BUSINESS STRATEGY AND FOR THE CENTRAL BANK IT IS NOT DESIRABLE TO STIFLE THE BANKING SECTOR'S CREATIVITY AND DRIVE FOR EFFICIENCY.” HIS EXCELLENCY SHEIKH ABDULLA BIN SAOUD AL THANI Governor Central Bank of Qatar
on the research agenda, Qatar has been pushing towards homegrown research and development, which could eventually benefit the financial sector too. In order for the banking sector to play a role in the innovation landscape, it will need to focus on more open collaboration and to invest in ideas and projects. Some of these will need to go a step further in the future, to build ties with those in different industries and with different outlooks, and to identify new ways to generate value. 13 > QATAR TODAY > DECEMBER 2019
business > Bank Notes
PERFORMANCE OF QATARI BANKS DURING FIRST NINE MONTHS OF 2019 NAME OF THE BANK
NET PROFIT
TOTAL ASSETS
LOANS & ADVANCES
Commercial Bank of Qatar
QR1.50 billion QR145.7 billion QR89.1 billion
Qatar Islamic Bank
QR2.21 billion QR154.9 billion
QR107 billion
Qatar National Bank
QR11.2 billion
QR653 billion
Doha Bank
QR819 million QR106.7 billion
Qatar Intl Islamic Bank
QR777 million
Masraf Al Rayan
QR1.65 billion QR105.05 billion QR75.56 billion
QR912 billion
QR53 billion
QR65 billion QR31.9 billion
BANK DEPOSITS REACH QR831 BILLION
MASRAF AL RAYAN ISSUES $500 MILLION SUKUK
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asraf Al Rayan has announced the successful issuance of a $500 million sukuk with a term of five years under the Bank’s existing $2 billion sukuk programme.
Masraf Al Rayan’s debut issuance was three times oversubscribed as a result of strong investor demand. The issuance was priced at a spread of 140 basis points over the 5-year mid-swaps carrying a fixed profit rate of 3.025 per annum. The participation included investors from around the world with 44% from Asia, 44% from MENA and 12% from Europe. By type, 47% were fund managers, 38% were banks and private banks, and 15% were insurance and agencies.
QCB ISSUES TREASURY BILLS FOR QR600 MILLION
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he total bank deposits in September 2019 increased by about QR20.6 billion from August to reach QR831.8 billion and distributed between private sector, public sector and non-resident deposits.
While private sector deposits rose to QR368.7 billion from QR362.1 billion in August, public sector deposits rose by QR13.5 billion to QR265.8 billion and non-resident deposits by half a billion to QR197.2 billion. The total credit facilities granted in September 2019 reached QR995.8 billion from QR948.2 billion a year ago. While credit granted to the public sector fell in the month to QR284.5 billion from QR339.7 billion a year ago due to government repayment of part of its debt to banks, credit granted to the private sector grew to QR 634.6 billion in September compared with QR525.8 billion the previous year. Credit granted abroad fell to only QR76.7 billion from QR82.7 billion a year earlier.
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atar Central Bank (QCB) on 5 November 2019 issued treasury bills for three, six and nine months, with a value of QR 600 million. They included QR300 million for three months at an interest rate of 1.73%, QR200 million for six months at an interest rate of 1.76%, and QR100 million for nine months at an interest rate of 1.81%.
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atar Central Bank Governor HE Sheikh Abdullah bin Saoud Al Thani received the “Freedom of the City of London” Award in recognition of the large contribution and investment of Qatar Central Bank into the city. The prestigious award was conferred upon him by the Lord Mayor of the City of London Peter Estlin at a ceremony in London on November 5.
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business > Oil&Gas “OUR GOAL IS TO BUILD BRIDGES BETWEEN THE OIL INDUSTRY AND ACADEMIC CIRCLES BY DELEGATING PROFESSORS AND EXPERTS WHO DELIVER TECHNICAL OR BUSINESS-RELATED CONTENT. THIS COMES AS A PART OF OUR CONTRIBUTION TO THE HUMAN DEVELOPMENT PILLAR OF QATAR NATIONAL VISION 2030.” LAURENT WOLFFSHEIM Managing Director Total E&P Golfe and Group Representative
QATAR TO STEP UP LNG PRODUCTION
EGYPTIAN REFINING COMPANY BEGINS OPERATIONS
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espite media reports that Australia would overtake Qatar as the largest LNG exporter by end of the year, Qatar retained its position as number one exporter of the clean fuel in 2019. In its October 2019 LNG export released recently, the Australia-based EnergyQuest, an energy advisory firm, said that Australian LNG shipments have not been affected yet by the surplus of LNG globally.
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atar Petroleum (QP) has announced the successful start-up of the Egyptian Refining Company (ERC) Refinery project located in Mostorod, north of the Egyptian capital Cairo. QP owns 38.1% in the Arabian Refinery Company, which in turn owns 66.6% in ERC. QP said that all of the ERC Refinery units are now successfully operating, and are expected to ramp up to full production before the end of the first quarter of 2020, which will reduce Egypt’s dependence on imported petroleum products. The project will also create job opportunities for the local workforce and will provide a boost to the support services sector in this important region of Egypt. The start-up of the ERC refinery will further strengthen its international downstream footprint through this vital project, which is its largest investment in an Arab country as well as in Africa. QP has participated in this QR16.01 billion ($4.4 billion) project since 2012 with the aim of processing around 4.7 million tons per annum of mainly atmospheric residue feed from the adjacent Cairo Oil Refinery Company. The refinery will mainly produce Euro V refined products, such as diesel and jet fuel, which are intended for consumption primarily in Cairo and surrounding areas.
Total Australian LNG shipments in October were 6.6 million tonnes (Mt) (97 cargoes), higher than 6.2 Mt (91 cargoes) in September. “Australia’s October shipments were 77.8 Million Tons Per Annum (MTPA) on an annualised basis, above Qatar’s nameplate capacity of 77 MTPA. However, in the 10 months to the end of October, Australian projects shipped 63.4 MTPA. We expect that total Australian shipments for 2019 will be around 75 MTPA, just behind Qatar on an annual basis,” the report said. Furthermore, Qatar has also unveiled plans to lift production of liquefied natural gas (LNG) by 64% to 126 million tonnes per year (MTPA) by 2027. The estimated increase in Qatar’s LNG production comes after new drilling and appraisal work in the expanded North Field mega project showed that confirmed gas reserves of the field exceeded 1,760 trillion cubic feet, the Minister for Energy Affairs and Qatar Petroleum’s President and CEO, HE Saad Sherida Al Kaabi said. “I am pleased to announce that our appraisal efforts have borne fruit, and that we have confirmation that the productive layers of the North Field extend well into Qatari land in Ras Laffan,” the Minister told reporters on November 25.
IRAN DISCOVERS NEW OIL FIELD
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ran has discovered a new oil field in the country’s south with over 50 billion barrels of crude and this is expected to boost the country’s proven reserves by a third as it struggles to sell energy abroad over US sanctions. Some 53 billion barrels would be added to Iran’s proven reserves of roughly 150 billion.
Iran currently has the world’s fourth-largest proven deposits of crude oil and the world’s second-largest deposits of natural gas. It shares a massive offshore field in the Persian Gulf with Qatar. The new oil field could become Iran’s second-largest field after one containing 65 billion barrels in Ahvaz. The field is 2,400 square kilometres (925 square miles), with the deposit some 80 metres (260 feet) deep.
15 > QATAR TODAY > DECEMBER 2019
business > Oil&Gas
QATAR JOINS RACE TO CUT SULPHUR EMISSIONS
WITH THE INTERNATIONAL MARITIME ORGANISATION (IMO) REGULATIONS TO REDUCE SULPHUR EMISSIONS FROM THE PRESENT 3.5% TO 0.5% TO COME INTO FORCE FROM 1 JANUARY 2020, QATAR IS POSITIONING ITSELF TO MEET THE LNG DEMAND FROM THE GLOBAL SHIPPING FLEET BY SWITCHING OVER FROM TRADITIONAL FUEL TO GAS-BASED ONES, V L SRINIVASAN WRITES.
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round 80,000 ships worldwide are using heavy fuel oil or the lighter marine gasoil for their operations but their shift to replace this fuel with LNG is imminent in the next few years. As of now, some 170 LNG-fueled vessels operate mainly in Europe, with 184 ships on order globally, according to the Society for Gas as a Marine Fuel. Some 10 vessels are supplying LNG as fuel worldwide, with 19 more on order. The IMO regulations will help in reducing polluting emissions of nitrogen oxides and sulphur oxides by 90% to 95%, according to industry estimates and it is estimated that the green shipping market could be worth at least $250 billion by 2025. Further, the IMO, which is the United Nations agency tasked with setting global standards for safety, security and environmental performance in global shipping, has plans to reduce carbon dioxide
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emissions by 40% by 2030 and 50% by 2050 and this requires a shift to LNG-operated vessels, which can curb greenhouse gas emissions by 25% compared with oil-fueled alternatives. According to a report, the Norway-based classification society DNV GL estimates that 6-11% of the global shipping fleet is set to shift to LNG by 2025, while the Boston Consulting Group put the projection for 2025 at a range of 5-27%. The shift could have major repercussions on the global LNG market as about 300 million tons of fuel oil are consumed annually by vessels as of now. If 10% of that became LNG, it would create new LNG demand of 30 million tons annually, equal to the nearly 10% of 2018 global demand of 319 million tons, according to Shell LNG Outlook 2019, the report added. Countries such as Japan, Gibraltar, Malaysia, Spain and Jamaica have started preparations for effective implementation
“WE SEE LNG BUNKERING AS A PROMISING SOLUTION FOR THE SHIPPING INDUSTRY IN LIGHT OF A CONTINUOUSLY EVOLVING REGULATORY ENVIRONMENT, AND AS AN IMPORTANT OPPORTUNITY TO ENHANCE LNG’S POSITION AS A CLEAN ENERGY SOURCE, PARTICULARLY IN MARITIME TRANSPORTATION.” HE ENG SAAD SHERIDA AL KAABI
Minister of State for Energy Affairs State of Qatar
of the IMO rules. While Japan has announced concessions to subsidise projects which build vessels that make ship-to-ship LNG supply possible and launch the nation’s first LNG bunkering ships by the end of 2020, Gibraltar, which is part of British territory, is setting up an LNG-fuelled power station. Malaysia’s Petronas is also all set to launch LNG bunkering services from 1 January 2020 as part of its efforts to support the government’s plans to develop the country as a bunkering hub. The company is anticipating the LNG share of the global bunker market to increase by up to 7% by 2030 from less than 3% at present and has embarked on an initiative to propel Malaysia as an LNG bunkering hub focusing on, among others, setting up the necessary infrastructure. Though low-sulphur fuel oil is considered as an alternative to high-sulphur fuel oil, it is 40% more expensive than the latter and the latest data shows that it is being traded at around $368 per metric ton, based on the average price at 20 global ports. Alternative fuels with less sulphur content, including low-sulphur fuel oil and marine gas oil, similar to diesel fuel, cost between $550 and $650 per metric ton. Ships using high-sulphur fuel oil will be allowed from the beginning of the next year only if they install scrubbers, which are costlier exhaust-cleaning devices. Scrubberequipped ships will be able to continue using cheap high-sulphur fuel oil. Since scrubbers need large space to function, this is not an option available to smaller vessels can think of. LNG VIABLE ALTERNATIVE SEA\LNG, a multi-sector industry coalition created to accelerate the widespread adoption of LNG as a marine fuel, conducted a study and found that LNG is the most mature scalable and commercially viable alternative fuel currently available in the maritime industry. The study was conducted by Norway-based alternative fuel experts from DNV GL. The study concluded that while there were a variety of lower or zero carbon alternative fuels that could help to meet the goals of the IMO 2030 and 2050 greenhouse gas GHG) reduction targets, most of them require significant development to meet the industry’s needs.
The study also noted that, these alternative fuels currently lacked the regulatory framework, production capability and bunkering infrastructure for widespread adoption, and additionally were more expensive than traditional bunkers or LNG. “As such, in a period where the industry is under pressure to take steps to reduce GHG and other emissions to air, LNG is a solution that could help to move the industry forward, while laying the groundwork for lower or carbon neutral fuels produced from renewable or zero carbon energy,” the study added. SEA\LNG Chairman Peter Keller said: “Modern ships have a life expectancy of around a quarter of a century. Investors need to know how the capital expenditures for installed engines and their operational costs, including choice of fuel, will be impacted by current and future environmental legislation.” He also said that the study provided further backing for their belief that, in order to achieve GHG reductions and improve air quality, ship owners and managers needed to act decisively and invest in LNG-capable vessels. “Doing so will improve the long-term sustainability for the shipping industry, while safeguarding a competitive advantage for the ship owners and operators who facilitate global trade,” Keller added. In his comments, President of DNV GL Maritime Torsten Schramm said: “The shipping industry is under increasing pressure from the market, the public and from regulators to reduce its emissions to air, both in terms of local and GHG emissions.” He further said: “This means that alternative fuels and propulsion technologies should be on the radar of every shipowner, especially those in the market for a newbuilding in the near future.” “The study should help to provide a clearer picture of the different fuels and their surrounding infrastructure, and includes an assessment of their capital and operating costs, local and GHG emissions, applicability to vessel type and route, availability, and technical maturity,” he added. According to the SEA\LNG report, 2018 saw a sea change in actions towards LNG as a marine fuel. It observed that by March last year, of the 94 cruise ships on the global order book, 18 under construction were
“MODERN SHIPS HAVE A LIFE EXPECTANCY OF AROUND A QUARTER OF A CENTURY. INVESTORS NEED TO KNOW HOW THE CAPITAL EXPENDITURES FOR INSTALLED ENGINES AND THEIR OPERATIONAL COSTS, INCLUDING CHOICE OF FUEL, WILL BE IMPACTED BY CURRENT AND FUTURE ENVIRONMENTAL LEGISLATION.” PETER KELLER Chairman SEA\LNG
17 > QATAR TODAY > DECEMBER 2019
business > Oil&Gas LNG-powered. This represented 20% of all newbuilds for the cruise industry but 25% of newbuilding capacity due to the size of the vessels ordered. DNV GL’s Alternative Fuels Insight (AFI) platform reported that LNG-fuelled vessels in operation and under order had reached 261 by August 2018. By December last year, that total had risen to 282. Awaiting the increased availability of LNG bunkering infrastructure are another 139 vessels built with capacity to accommodate LNG fuel systems, the so-called “LNG ready” ships.
“THE SHIPPING INDUSTRY IS UNDER INCREASING PRESSURE FROM THE MARKET, THE PUBLIC AND FROM REGULATORS TO REDUCE ITS EMISSIONS TO AIR, BOTH IN TERMS OF LOCAL AND GHG EMISSIONS.” TORSTEN SCHRAMM President DNV GL – Maritime
QP’S LNG BUNKERS In tune with the changing times, the state-owned Qatar Petroleum and the Netherlands-based oil and gas company Shell have announced the formation of a joint venture for global LNG bunkering services. The new company will focus on the procurement of LNG, setting up LNG bunkering infrastructure (storage and bunker vessels) at various strategic locations around the world, and facilitating the sale of LNG as marine fuel to end customers around the world. “We see LNG bunkering as a solution for the shipping industry in light of a continuously evolving regulatory environment, and as an important opportunity to enhance LNG’s position as a clean energy source, particularly in maritime transportation,” HE Saad Sherida Al Kaabi, the Minister of State for Energy Affairs and the President & CEO of Qatar Petroleum, said. The LNG demand for bunkering is expected to grow significantly over the coming years, with a potential for such demand to reach 35 million tons per annum by 2035, he remarked. VLSFO SUPPLY BEGINS Qatar Petroleum has also commenced the supply of Very Low Sulphur Fuel Oil (VLSFO) at Ras Laffan Industrial City (RLIC) Port to enable all vessel owners and operators seeking IMO 2020-compliant VLSFO to avail the services available at RLIC Port and other ports whenever their vessels are calling at or passing by any of Qatar’s ports. In fact, Qatar Petroleum, in conjunction with Qatar Fuel (WOQOD), initiated bunkering services in Qatar in June 2017 with the importation of its maiden HFO
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cargo (RMG 380 CST 3.5% Sulphur) in order to cater for the bunkering needs of both Qatargas’ LNG fleet and other vessels calling at Ras Laffan and the region. From June 2017 through August 2019, Qatar Petroleum has supplied over 1.5 million tons of marine fuel to RLIC Port, which allows the further servicing for marine fuel at both RLIC Port and other ports in Qatar. The Minister said that Qatar was proud to be one of the first countries to limit the availability of marine fuels to only grades that are compliant with the IMO 2020 regulations. “We hope this constitutes a major step towards protecting the regional and global environment in line with the environmental objectives of Qatar National Vision 2030,” he added. LNG CONSUMPTION TO GROW In its Annual Energy Outlook (AEO) 2019, the US Energy Information Administration (EIA) has conservatively estimated domestic consumption of LNG as a marine fuel will grow to 10% by 2050. The operating life of vessels is long, typically 25 to 30 years, but the upswell of natural gas-powered newbuilds means the fuel market is going to change significantly. These changes will have wide-scale repercussions for the shipping industry and refineries in the US and worldwide. Globally, marine vessels account for a critical part of the global economy, moving more than 80% of global trade by volume and more than 70% by value. Marine vessels also consume about 4 million barrels per day of petroleum, 4% of total global oil consumption, the EIA report said. Although there are now more than 70 locations worldwide that have facilities to bunker LNG, the US has so far been slow to recognise the advantages of natural gas as a marine fuel and to take advantage of the synergies that are possible between port and land-based operations, the EIA report said. “Europe will soon have more than 130 LNG bunkering ports while the US currently has one in operation and four more are likely to come up.” As infrastructure adapts, the LNG’s share of US bunkering is predicted to grow to 7% in 2030 and to 10% in 2050. A global overview suggests these projections may be challenged in the not-to-distant future particularly given that the US is transitioning to a gas-rich economy, the report added.
business > Real Estate “REAL ESTATE BROKERAGE COMPANIES HAVE BEEN CLASSIFIED IN ORDER TO BUILD TRUST BETWEEN THEM AND INVESTORS, AND CONTINUOUS INVESTOR EDUCATION ON THEIR RIGHTS AND RESPONSIBILITIES HAS BEEN SECURED.” HE ALI BIN AHMED AL KUWARI
Minister of Commerce and Industry State of Qatar
LUSAIL MARINA DISTRICT TO SUPERSEDE WEST BAY
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usail’s Marina District is to supersede West Bay over time as Doha’s Central Business District (CBD) due to the superior transport infrastructure, better parking provisions and more modern buildings, according to Cushman & Wakefield’s Q3 Real Estate Market Review report. The report said interest in Msheireb Downtown Doha’s office buildings has been mostly from government-linked tenants due to buildings only being available on a pre-let basis to date. That is likely to change as buildings complete over the next year and the district benefits from its designation as a Free Zone. Rental reductions have resulted in prime residential locations such as The Pearl-Qatar becoming more affordable. This has resulted in an increase in leasing activity in recent months. Tenants in Qatar’s retail malls are now increasingly able to negotiate attractive lease terms with the landlords as the increase in supply has seen vacancy rates increase, the report said.
QIA ACQUIRES ST REGIS NEW YORK HOTEL
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arriott International has sold the St. Regis New York Hotel to Qatar Investment Authority (QIA) for QR1.128 billion ($310 million). In an SEC filing, Marriott said it will continue to operate the hotel under a long-term management agreement with QIA.
Located on Fifth Avenue, the property is comprised of 229 guest rooms and seven residential suite units that account for nine additional rooms. The sale is part of Marriot’s “asset-light” operational model that has seen the chain divest hard assets in favour of licensing and management fees. Qatar’s sovereign wealth fund has reportedly been eyeing the hotel since Marriot bought it as part of its QR49.50 billion ($13.6 billion) purchase of Starwood Hotels & Resorts Worldwide in 2016. It already scooped up the St. Regis San Francisco as part of its own QR127.4 billion ($35 billion) push into the United States which has seen it grow to become one of New York City’s biggest commercial real estate owners.
MORE RESIDENTIAL UNITS ADDED IN Q3 2019
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s many as 1,250 residential units (apartments and villas) were added this quarter in Qatar bringing total supply to 295,950 units, according to ValuStrat’s Q3 review report. The report said 1,000 apartments were added to stock from recently delivered
projects in The Pearl (Viva Bahriya), Lusail (Fox Hills & Waterfront district) and Musheireb. Completion of villas and compounds in Al Khor, Abu Hamour, New Salata and Muraikh added 250 new properties to existing supply. The United Development Company
(UDC) launched Floresta Gardens in The Pearl. Once completed by the end of 2022, the development will comprise 10 midrise residential towers and 114 villas. An estimated 13,500 units are projected to be completed by the end of 2020, 65% of which are expected to be in The Pearl and Lusail, the report added. 19 > QATAR TODAY > DECEMBER 2019
business > Real Estate
COULD FLEXIBLE WORKSPACES BE THE ANSWER TO RISING OFFICE COSTS?
DOHA IS A BOOMING CITY WITH A FAST-GROWING ECONOMY, AND THERE WILL BE MANY NEW DEVELOPMENTS FROM NOW UNTIL THE 2022 FIFA WORLD CUP. THE SERVICED OFFICE MARKET IN DOHA IS GROWING. BY ALINA GOMOTIRCEANU According to a report, the cost of renting an office is between QR 6,500 and QR 8,255 per month. Prices for serviced office spaces start at around QR 1,000 per person. The prices vary according to location and requirements while costs are inclusive of amenities, which can cover Internet, meeting rooms, IT and administrative support, lounges and kitchens, car parking, videoconferencing and AV equipment, among others. The range of potential costs is also quite extensive. In addition to the initial outlay for items such as computing equipment, broadband infrastructure, printers, and maybe even servers, desks and business stationery, there are also ongoing expenses such as insurance, heating and electricity, as well as maintenance. When selecting a new office, another key consideration is location, and this is decided by how close the business needs to be geographically to its suppliers and prospective clients. It is important for companies to be able to access workspace and meeting facilities that are convenient and lend themselves to strong business relations. Unfortunately, the best facilities may not always be for rent or sale when the company needs them. So, finding the right office space when you need it may not always be easy and location also plays a key role for employees. According to a report by Deloitte, millennials want a better work-life balance which can be achieved by locating the office where there are great facilities and a buzzing atmosphere with restaurants and leisure spaces, or where their commute is more practical and affordable. One of the alternatives for businesses that look to minimise these start-up costs and provide a better work-life balance could be flexible workspaces. 20 > QATAR TODAY > DECEMBER 2019
VIBRANT ECO-SYSTEM FOR START-UPS Qatar has a vibrant community of young entrepreneurs and start-ups that are looking for vibrant, well-equipped and conveniently located office spaces to address their business and client requirements. Flexible workspaces can be an effective solution. Companies now offer fully serviced offices with everything included, from high-speed Internet to office furniture and utilities. Those using these workspaces can benefit from the latest technologies, such as conferencing call options, audiovisual equipment, secure business-grade Internet, Wi-Fi, phone handset and lines.
staff is well catered for, and facilities such as a communal kitchen, business lounges and break-out areas help create a sense of community and drive productivity among employees. It is clear that the flexible workspaces will continue to gain momentum, as more businesses adopt the model to reduce capital and operational expenditure or to help them shed unnecessary assets, manage risk and consolidate their portfolio.
With the rising popularity of mobile working, people are seeking professional places to meet clients or contacts. There is a rising demand for flexible and modular office spaces and, as businesses become more mobile, the demand for flexible workspaces is increasing. DIGITALISATION Digitalisation is changing how people work, with 53% of professionals across the world now working remotely for at least half of their working week. Flexible workplaces come with many advantages that make them a far more competitive option as compared to conventional office spaces. Overall, they can boost the company's employee productivity and retention by trimming many hours off their daily commute, providing peace of mind through being fully equipped, and hosting a pleasant work environment. Flexible workspaces offer the modern workforce a healthy and open work atmosphere plus all of the advantages that come with the flexible workspace mode. Above all, the comfort and happiness of
ALINA GOMOTIRCEANU Country Manager Regus Qatar Alina is the Country Manager for Regus in Qatar, a position she has held for almost a decade. In her role, she has delivered strategic and operational leadership in challenging situations. During her tenure, she has overseen and managed the growth and development of Regus in Qatar while expanding the brand’s footprint from two offices to nine.
business > Viewpoint HOW TO ORGANISE TO REMAIN PROFESSIONAL WHILE BEING PROFITABLE HOW TO REMAIN PROFESSIONAL BUT ALSO COMMERCIALLY VIABLE? HEC PROFESSOR MICHEL LANDER EXPLAINS THE DIFFERENT ORGANISATIONAL PRACTICES USED BY PROFESSIONAL SERVICE FIRMS (PSFs) AND SHARES KEY FINDINGS ON WHICH STRATEGY WORKS BEST. BY MICHEL LANDER
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rofessionalism is historically based on the objectives of offering a high-quality service and keeping professional behaviour, while commercialism is based on making more profit through efficiency, partly because of the modern pressure of performance and the constraints of the Internet and digitalization. Is there a way that firms can combine those two types of objectives to achieve both superior performance and low levels of professional misbehaviour? PSFs CHANGE BUSINESS MODELS Law firms used to enjoy the ignorance of clients before they had easy access to the Internet. But with the advent of the Internet and online services in general, clients have become more knowledgeable and are much more demanding with law firms especially for simple services. So, PSFs historically could do a job that nobody else could. But now they need to do it more cheaply and more efficiently; consequently many have changed their business model and management style to remain profitable. However, what is the best strategy to provide both a high-quality service and remain or become more profitable?
SHIFTS UNDERWAY We found a shift from professional logic to commercial logic. What does that mean? We see that companies try to become more profitable through two mechanisms: being efficient in their strategising and supervision and better allocating resources (i.e., lawyers) within the firm. How do they do this? Historically these firms’ organisation was based on professional logic with informal supervision, meaning that seniors and partners gave juniors or each other feedback on their practices in order to deliver highquality services. They looked at partners and associates to see who was behaving well. In terms of their firm’s strategy it was more a collection of individual strategies, rather than a systematic effort to understand the market, the audience, positioning, competition etc. This structure gave professionals much autonomy. Once they had joined the company, partners could stay forever. Their position was safe. There has been a shift from the professional management style to the commercial one. Following client preferences, economic and social trends, and new government
policies, PSFs have started to adopt a more commercial management style. They now strategically think about what market they want to enter and which services to deliver. They introduced more formal governance, making the structure more hierarchical with seniors and partners more directive because of the pressure to perform. The results are based more on numbers than on informal feedback. Inefficient partners are either reprimanded or even fired. We found that these organisational practices actually help the firm's performance but hurt the professionalism of lawyers. This series of papers I recently published shows that the combination of various organisational practices is a delicate matter, not to be taken lightly. It is very hard to find balance between individual feedback and making the collective structure efficient to achieve performance, between giving employees freedom and giving them strict performance targets. So which strategy and governance system should be chosen? Who decides? A few partners or the entire group? And how is employee performance to be tracked? In our latest study, we found various hybrid configurations combining practices 21 > QATAR TODAY > DECEMBER 2019
business > Viewpoint from both objectives that have different implications. In short, we found that the heart of the firms should remain steeped in the professional logic and its practices in order to remain professional, whilst superior performance vis-à-vis other law firms can only be achieved if a certain level of formal management is applied. This , however, should not be overdone. Historically, informal governance worked: partners and senior lawyers looked at each other and at the rest of the team, gave them feedback, and pushed them to be more productive. Formal governance based on a performance management system, adapted to be more efficient, is much less continuous and direct. Conversation is replaced by numbers. However, you need to have an informal way to develop human capital. Balance is the key. From a behavioural perspective, junior, senior and partner lawyers will not respond in the same way to a new management style. Juniors will show more inappropriate professional behaviour if pressured by formal governance. Midlevel professions alternatively behave well especially if the reputation of their firm is strong because that’s in their interest if they make partner. Here also, informal feedback ensures appropriate behaviour. For partners however, no form of organizational supervision has an effect – it is their own reputation that they seek to protect. Concluding formalization is important to achieve good performance but it has a negative impact if done too much and at the expense of informal practices. Also be aware of the varied impact it has on different career stages. In the future you will see new constraints because of digitalization. It will again change the business model and affect the system. Understanding the effect on performance and professionalism would be very interesting. METHODOLOGY AND APPLICATIONS The data comes from a survey conducted among all Dutch lawyers working in law firms of all sizes, combined with archival data. The results were recently published in four papers between 2017 and 2019. My key insight is: don't throw the baby out with the bathwater: Informal supervision remains the key component of professionalism. Introduce some degree of formalisation either through more concerted strategizing or formal supervision alongside informal supervision. 22 > QATAR TODAY > DECEMBER 2019
FROM LAW FIRMS TO PSFs The results generated by the study of law firms can be applied generally to all professional service firms, because like PSFs, law firms are different from regular organisations and have a special place in the contemporary knowledge-based economy that would not function without them: they are the largest and most affluent businesses, they influence not only their industry but also that of their clients, and they function as gatekeepers, protecting clients and thirdparty interests. (This research is based on the results of four papers: Drift or alignment? A configurational analysis of law firms’ ability to combine profitability with professionalism, Journal of Professions and Organisation, July 2017, Vol. 4, No. 2, pp. 123-148, (in coll. with P. P. M. A. R. Heugens, J. H. Van Oosterhout); Towards an Integrated Framework of Professional Partnership Performance: the Role of Formal Governance and Strategic Planning, Human Relations, November 2017, Vol. 70, No. 11, pp. 1388-1414, (in coll. with P. P. M. A. R. Heugens, J. Van Oosterhout); Who’s Watching? Accountability in Different Audit Regimes and the Effects on Auditors’ Professional Skepticism, Journal of Business Ethics, May 2019, Vol. 156, pp. 563–575, (in coll. with F. Hoos, J. L. Pruijssers); Career Stage Dependent Effects of Law Firm Governance: A Multilevel Study of Professional-Client Misconduct, Human Relations, Forthcoming, (in coll. with J. Van Oosterhout, P. Heugens, J.L. Pruijssers).
“FROM A BEHAVIOURAL PERSPECTIVE, JUNIOR, SENIOR AND PARTNER LAWYERS WILL NOT RESPOND IN THE SAME WAY TO A NEW MANAGEMENT STYLE. JUNIORS WILL SHOW MORE INAPPROPRIATE PROFESSIONAL BEHAVIOUR IF PRESSURED BY FORMAL GOVERNANCE.” MICHEL LANDER Associate Professor Management and Human Resources HEC Paris
ABOUT HEC PARIS Founded in 1881 by the Paris Chamber of Commerce and Industry, HEC Paris is one of the world’s leading providers of Executive Education. HEC Paris joined Qatar Foundation in 2010 and brought world-class Executive Education programs and research activity to Qatar and the GCC region. HEC Paris offers in Qatar a complete and unique range of educational programs designed for the leaders of tomorrow. In Doha, HEC Paris runs an Executive MBA, a Specialized Master’s Degree in Strategic Business Unit Management, Executive Short Programs for managers and executives, and Custom-designed programs for companies. http://www.qatar.exed.hec.edu/
business > Listening Post
QATAR HAS STRONG FUNDAMENTALS A HIGH-PROFILE ECONOMIST AND ONE OF THE MOST REPUTED BANKERS IN THE MIDDLE EAST REGION, DOHA BANK CEO DR RAGHAVAN SEETHARAMAN NEEDS NO INTRODUCTION. HE JOINED DOHA BANK AS DEPUTY CEO IN 2002 AND FIVE YEARS LATER, BECAME CEO OF THE BANK. BY V L SRINIVASAN
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e was a gold medalist in his B Comm (Bachelor of Commerce) degree, completed a three-year undergraduate course at Madras University in India, and also received several over the past two decades several doctorates and awards from prestigious institutions such as European University in Geneva, Sri Sri University at Cuttack in India, and Washington College in Mary Land, USA, as well as from Banker Middle East magazine. In an exclusive interview with Qatar Today, Dr Seetharaman speaks about the performance of Qatar’s economy, the preparedness of country’s banking sector in adopting the revised capital standards of Basel Committee on Banking Supervision which are expected to come into force from January 2022, the fears of another global recession due to economic slowdown, among other topics.
HOW HAS QATAR’S ECONOMY PERFORMED IN THE FIRST THREE QUARTERS ON 2019? The quarterly GDP at current prices in Q2 of 2019 is estimated at QR 163.45 billion. This represents a decrease of 3.9% compared to the estimate of Q2 of 2018 placed at QR 170.14 billion. When compared to the revised estimate of QR 168.14 billion for the previous quarter (Q1 of 2019), a decrease of 2.8% is recorded. The quarterly GDP at constant prices in Q2 of 2019 (QR 200.21 billion) shows a decrease of 1.4% compared to the estimate of Q2 of 2018 (QR 203.14 billion). However, compared to the revised estimate of QR 202.12 billion for Q1 of 2019, a decrease of 0.9% is recorded. According to the Statistics and Planning Authority, the country’s GDP growth rate was 0.9% in the first quarter of 2019 and increased to 1.4% at the end of the second quarter in 2019.
QATAR HAS CUT THE BENCHMARK RATES BY 25 BASIS POINTS. HOW WILL IT HELP THE COUNTRY’S ECONOMY? DO YOU EXPECT MORE SUCH DECISIONS BY THE END OF THE YEAR?
Qatar Central Bank (QCB) has cut the rates three times but they have reduced all the rates twice. As per the IMF, global economic growth is expected to slow down on account of the unresolved trade dispute between the US and China and also geopolitical tensions. The US Federal Reserve has opted for a temporary pause in cutting the rates. ANOTHER GLOBAL RECESSION IS FEARED. HOW RESILIENT IS QATAR’S ECONOMY IN VIEW OF THESE APPREHENSIONS?
Since the April World Economic Outlook 23 > QATAR TODAY > DECEMBER 2019
business > Listening Post
GOING STRONG
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hat are the achievements of Doha Bank in the first nine months of this year and what are your future plans to further consolidate your bank’s position? The Qatari banking sector has witnessed
QRMM
Total Assets
Net Income Grw
Banks 9M2019 9M2018
asset, lending and deposit growth of 5.1%, 5.9% and 2.6%, respectively, during the month of September 2019. A further breakdown in terms of Doha Bank’s peer comparison can be seen below in the table.
Net Loans Grw
9M2019 9M2018
Customer Dep Grw
9M2019 9M2018
Total Equity Grw
9M2019 9M2018
Grw 9M2019 9M2018
QNB
911807
851502 7%
11210
10822
4% 653029
607288 8% 662539
618414
7%
92856
75615 23%
CBQ
145694
138695 5%
1504
1260
19% 89095
85815
74294
75323
-1%
21536
19708
9%
Doha Bank
106746
90367 18%
819
737
11% 65003
59214 10% 58896
52165
13% 13455
13049
3%
Ahli Bank
42025
39457
7%
545
538
1%
29731
28827
3%
24982
23833
5%
5843
5391
8%
Khaliji Bank
51138
53589
-5%
497
469
6%
30031
32971
-9%
27331
31793 -14%
6864
6569
4%
Doha Bank achieved a net profit of QR819 million for the first nine months of 2019, an increase of 11% as compared to QR737 million for the same period in 2018. Through initiatives such as changing the asset allocation model, periodic re-pricing of its portfolio, and managing low–cost deposits, the bank continued to maintain its Net Interest Margin. The bank also made significant progress in improving cost management resulting in a reduction of its cost to income ratio to 33.6% for the first nine months of 2019 from 36.5% for the same period last year. The bank has undertaken various joint efforts to ensure cross-selling more than one product to the customer to ensure that the bank becomes the one-stop-shop financial service provider by providing comprehensive financial solutions to the customer covering all their relevant financial services requirements. In recognition of its performance during the year, the bank received “The BIZZ – World Business Leader Award” from the World
(WEO) report, the US has further increased tariffs on certain Chinese imports and China retaliated by raising tariffs on a subset of US imports. Additional escalation was averted following the G20 summit held in June this year. Global technology supply chains were threatened by the prospect of US sanctions, Brexitrelated uncertainty continued, and rising geopolitical tensions roiled energy prices. Against this backdrop, global growth is forecast at 3% in 2019, picking up to 3.4% in 2020 (0.1 percentage point lower than in 24 > QATAR TODAY > DECEMBER 2019
4%
Confederation of Businesses, “Best Customer Services & Alternative Banking Channels” from the World Union of Arab Bankers and “Corporate & Investment Bank of the Year – Qatar” from Asian Banking & Finance, to name a few. With stable capital adequacy ratios, the bank is positioned to capture the upcoming infrastructure growth in Qatar, further consolidating its Qatari position. The bank will continue further developing its existing operations in the economies where it operates and position Doha Bank at the centre of the infrastructure growth. The bank will expand and leverage on the trade finance business through its international network by further developing relations with companies doing business with countries where the bank has its presence. On the credit quality side, the bank will continue to maintain a conservative and cautious approach to underwriting. Moreover, the bank will further improve its risk management procedures and systems.
the April WEO projections for both years). GDP releases so far this year, together with generally softening inflation, point to weaker – than anticipated global activity. For advanced economies, growth is projected at 1.7% in 2019 and 1.7% in 2020. In the US, 2019 growth is expected to be 2.4% moderating to 2.1% in 2020 as the fiscal stimulus unwinds. Growth in the Euro area is projected at 1.2% in 2019 and 1.4% in 2020. The UK is set to expand at 1.2% in 2019 and 1.4% in 2020. Japan’s economy is set to grow by 0.9% in 2019 and
“QATAR’S OVERALL GDP GROWTH IS PROJECTED TO REACH 2% IN 2019 UNDERPINNED BY A RECOVERY IN THE HYDROCARBON OUTPUT AND STILL ROBUST GROWTH OF THE NON-HYDROCARBON SECTOR.”
QATAR REAL GDP GROWTH GROWTH RATE 0.5% in 2020. Qatar’s overall GDP growth is projected to reach 2% in 2019 underpinned by a recovery in the hydrocarbon output and still robust growth of the non-hydrocarbon sector. The projected non-hydrocarbon growth for 2019 reflects the lingering multiplier effects of sustained increases in capital expenditures in the last few years, the gradual pace of fiscal consolidation, ample liquidity, and increased private sector activity. Medium-term growth will be supported by increased gas production from the Barzan field, a planned increase in LNG production capacity by 40%. A current account surplus of about 6% of GDP is envisaged for 2019 in line with the projected oil prices, and slower import growth than GDP. Over the medium term, the current account would be in modest surplus. WILL THE ONGOING TRADE WAR BETWEEN THE US AND CHINA IMPACT THE GCC ECONOMIES IN THE COMING MONTHS? ALSO, TO WHAT EXTENT ARE THE BANKS IN THE REGION INSULATED FROM THE INCREASING GEOPOLITICAL TENSIONS IN THE REGION?
There has been an escalation in trade tension between the two largest economies, the US and China, in recent times which has contributed to volatility in the financial markets. In August 2019, global financial markets certainly feared the worst. Share prices slumped amid fears that the first US recession since the big crash of 2008-09 is just around the corner. China pledged to launch countermeasures if the White House carried out its recent plan to impose 10% tariffs on an additional $300 billion of Chinese imports, but a spokesperson from China’s Ministry of Foreign Affairs later said it hoped the US would meet China halfway on trade issues. Rising trade tensions could hurt the economy by making households and businesses too nervous to spend money. In August 2019, US 30-year Treasury yields fell to a record low below 2% and benchmark 10-year notes dropped to a three-year trough amid persistent worries
Q1 2019
Q2 2019
Q3 2019
0.9%
(1.4%)
Not Available
about global trade tensions and economic slowdowns around the world. The US Federal Reserve cut the rates again in October to acknowledge the slowdown in global economic growth. The International Monetary Fund (IMF) has downgraded global growth four times in 2019, with a slowdown everywhere including the Middle East, but Qatar’s strong fundamentals stand out. The IMF expects the Qatari economy to grow by 2% in 2019 and 2.7% in 2020, and the State of Qatar has announced expansion of gas capacities to 100MTPA from 77MTPA, which will directly boost the revenues for the government. There are a number of projects either in the completion phase or mid-way execution for the upcoming FIFA 2022 World Cup. Qatar as a country holds potential in transforming the economy from hydrocarbons to non-hydrocarbons, which has helped the Small and Medium Enterprises to attract capital via government support. REPORTS SUGGEST THAT QATAR IS LIKELY TO IMPLEMENT VAT FROM MID-2020. WHAT WILL BE ITS IMPLICATIONS FOR THE FINANCIAL SECTOR?
It is expected that in 2020 Qatar will introduce a broad value-added tax (VAT) at a standard rate of 5%, according to the Gulf Cooperation Council VAT Framework (GCC framework). All businesses in Qatar will be affected by the introduction of VAT. However, the implications are likely to be more complex for the financial services sector. Financial institutions are likely to pay VAT (input VAT) on goods and services they procure such as IT services, advisory services or building utilities. To date, countries around the world use different methods of taxation on financial services. VAT is usually applied to services when an explicit fee, commission, discount or charge is involved, and is only applied to the separately identifiable charge. As a consequence, implementing VAT could create a final burden for financial institutions.
THE REVISED CAPITAL STANDARDS OF THE BASEL COMMITTEE ON BANKING SUPERVISION ARE EXPECTED TO BE IMPLEMENTED FROM JANUARY 2022. HOW WELL ARE THE COUNTRY’S BANKS GEARED TO MEET THEM?
Qatar has already adopted and implemented the Basel III framework ahead of some of its GCC peers and can adopt the revised guidelines quickly. Qatari banks are well capitalized and can leverage the existing system implementation to adopt the Revised Basel III reforms (AKA Basel IV) quickly. QCB is committed to adopting the Basel IV (Revised Basel III) guidelines and QCB has already initiated an impact study/ consultative guidelines issuance on the subject. Changes are expected in the calculation of risk weights for different assets with the Basel Committee adopting alternative risk weight look-up table where external ratings are not permitted, changes to the Internal Ratings–Based (IRB) Approach for assets that cannot be modeled in a robust and prudent manner, changes to the operational risk framework, etc. The revised capital standards are due to be implemented in January 2022, and to be phased in from 2022 to 2027. During the past years, QCB has issued a range of directives that clearly signal Qatar’s intent to align with global best practices in terms of prudent market regulation, covering areas such as IFRS 9 and Basel III, etc. Recently they had issued guidelines for calculating Interest Rate Risk on the Banking Book (IRRBB) which is in line with the Basel guidelines. Also, QCB is proactive in adopting or issuing clarifications for ICAAP to be in line with the Basel III framework. QCB continues to encourage strong corporate principles, and is consistently engaging consultants and banks to upgrade the regulations to be in line with the Basel III and other international guidelines. The banks are resilient to changes and continuously upgrade in line with QCB directives. 25 > QATAR TODAY > DECEMBER 2019
COVER STORY
THE WORLD’S
FOOTPRINTS
WITHIN 365 DAYS, THE WORLD HAS CHANGED IN MANY UNRECOGNIZABLE WAYS. AS WE WALK INTO ANOTHER CHAPTER, QATAR TODAY LOOKS BACK ON THE WORLD’S FOOTPRINT OF OCCURRENCES THAT HAS LEFT A SIGNIFICANT MARK IN THE YEAR. FROM WAVES OF CHAOS TO CELEBRATIONS OF BIRTH. FROM NEW DISCOVERIES TO INEVITABLE FAREWELLS. QATAR TODAY HIGHLIGHTS HOW THE WORLD HAS CHANGED AND EVOLVED, FOR BETTER AND FOR WORSE, AS IT ALL FALLS PART AS PUZZLE PIECES IN THE GLOBE’S BIGGER IMAGE. COMPILED BY ALEXANDRA EVANGELISTA 26 > QATAR TODAY > DECEMBER 2019
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COVER STORY
THE WORLD’S FOOTPRINTS
A TOUCH OF
CHAOS
WAVES OF TOXIC SLUDGE January 25 This date marks the day when the worst industrial disaster occurred in Brazil. A containment dam at an iron ore mine ruptured in the southwestern town of Brumadinho, releasing waves of toxic mining waste and mud over the whole area. The accident caused 256 confirmed deaths, with 14 people still missing.
CATASTROPHIC FIRE OF NOTRE DAME April 15 Paris’ world-famous Notre-Dame Cathedral was ravaged by a devastating fire. Spreading rapidly, the flames consumed much of the medieval building’s lead and oak roof, a large portion of the its wooden rib-vaulted ceiling, some stained-glass windows, and the building’s 750-ton spire. Image source: EPA-EFE/JULIEN DE ROSA
Image source: EPA-EFE/YURI EDMUNDO
FLY TO FALL March 10 An Ethiopian Airlines passenger jet bound for Nairobi crashed minutes after take-off, killing all 157 people on board. The public has raised questions about the safety of the new model, Boeing 737 MAX 8, after seeing similarities in the same incident that happened in Indonesia in October 2018.
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COVER STORY
THE WORLD’S FOOTPRINTS
RECORD-BREAKING FLOODS Sept 17 After dumping prolific rain across southeast Texas that caused record-breaking floods, Tropical Storm Imelda became the fifth-wettest tropical cyclone on record in the United States. The storm was formed out of an upper-level low pressure that developed in the Gulf of Mexico.
THE MOST INTENSE September 1 September started terribly for the Bahamas when Hurricane Dorian struck the country, causing the worst natural disaster in its history. Hurricane Dorian was also one of the most powerful hurricanes recorded in the Atlantic Ocean in terms of 1-minute sustained winds, with these winds peaking at 185 mph (295 km/h).
AFTERMATH OF TYPHOON HAGIBIS October 13 Typhoon Hagibis smashed into Japan's Kanto region, triggering mudslides, flooding and the heaviest rain and winds in 60 years, and causing at least 74 deaths. Image source: EPA-EFE/JIJI PRESS JAPAN OUT EDITORIAL USE ONLY/ NO ARCHIVES
ITALY SUBMERGED November 14 It’s been 50 years since Venice experienced its worst flooding. On November 14, high tidal water levels returned to St Mark's Square but, despite the flooding, the city is still packed with tourists. Image source: ANDREA MEROLA
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COVER STORY
THE WORLD’S FOOTPRINTS
TECHNOLOGY AND
ENVIRONMENT PLANETARY ALIGNMENT November 28
THE BLACK HOLE April 10 Marked as a stunning achievement of the Event Horizon Telescope project, a global collaboration of more than 200 scientists, the newly discovered black hole seemed to question all theories about its existence. Using an array of observatories scattered from Hawaii to the South Pole, it was able to collect more than a petabyte of data and garnered the world’s first glimpse of a black hole’s silhouette.
A rare lunar and planetary alignment was seen as the night sky illuminated the thin waxing crescent moon lining up with the planets Jupiter, in the middle, and Venus, looking bigger and brighter in appearance from the Earth.
Image source: EHT Collaboration
THE FACE OF THE TRUTH September 23 Greta Thunberg is a 16-year-old Swedish climate activist who brought attention to world leaders’ failure to deliver on their ambitious commitments to address dangerous global warming. In a stinging speech at the UN Climate Action Summit, the young activist said: “You are still not mature enough to tell it like it is. You are failing us. But the young people are starting to understand your betrayal.” Image source: EPA-EFE/ANDY RAIN
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RAGING WILDFIRES August 19 The Amazon rainforest has fallen victim to a series of wildfire incidents this year. The fire that started in the state of Rondonia near Bolivia covered the city of Sao Paulo in complete darkness in the middle of the day. Fires in the Rondonia nature reserve also burned for over two weeks and destroyed nearly 1,000 hectares of land.
COVER STORY
THE WORLD’S FOOTPRINTS
THE GOOD
TIMES
BLURRING BORDERS February 3 Pope Francis made history as the first-ever pontiff to visit the United Arab Emirates. He was welcomed by the Crown Prince Sheikh Mohammed bin Zayed Al Nahyan. During his visit, the Pope also held a mass which sought out the attendance of more than 120,000 people since the UAE is also home to nearly a million Roman Catholics from the Philippines and India. Image source: EPA-EFE/LUCA ZENNARO
WORLD AUTISM AWARENESS April 2 The Chairperson of Qatar Foundation (QF), Her Highness Sheikha Moza bint Nasser has commemorated World Autism Awareness Day, an initiative proposed to the United Nations in 2007 and first marked in 2008. Her Excellency Sheikha Hind bint Hamad Al Thani, Vice Chairperson and CEO of Qatar Foundation (QF), also attended the World Autism Awareness Day event.
Image source: Qatar Foundation
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COVER STORY
THE WORLD’S FOOTPRINTS
ROYAL BIRTH May 6 Cheers and happy tears were all over London following the birth of the Duke and Duchess of Sussex’s first child, Archie Harrison Mountbatten-Windsor. Named as the seventh in line to the throne, Archie weighed 7lb 3oz and was warmly welcomed to the world. The Queen, the Duke of Edinburgh, the Prince of Wales, the Duchess of Cornwall, the Duke and Duchess of Cambridge, Lady Jane Fellowes, Lady Sarah McCorquodale and Earl Spencer were extremely delighted with the news of Archie’s birth.
A DAY IN UNITY September 12 Muslim pilgrims circle around the Kaaba at the Masjidil Haram—Islam’s holiest site during the Hajj pilgrimage in Mecca, Saudi Arabia — to celebrate Eid Al Adha. An annual Islamic pilgrimage, the Hajj is a mandatory religious duty for Muslims that must be carried out at least once in their lifetime by all adult Muslims who are physically and financially capable of undertaking the journey. Image source: EPA-EFE/STRINGER
THE END OR THE BEGINNING October 26 The world has witnessed the fall of the so-called “caliphate,” as the US military in northwestern Syria conducted a raid that has killed the elusive and highly secretive leader of ISIS, Abu Bakr Al Baghdadi. According to the head of US Central Command, General Frank McKenzie, the US forces discovered Baghdadi hiding in a tunnel with three young children. Having no way out, the ISIS leader detonated the bomb he was wearing, killing himself and the children. The mission didn’t end there as the US military moved to destroy the compound in northwestern Syria so that it could not stand as a shrine to Al Baghdadi. 32 > QATAR TODAY > DECEMBER 2019
COVER STORY
THE WORLD’S FOOTPRINTS
QATAR IN
RETROSPECT QATAR LEAVES OPEC January 1 On the beginning of 2019, Qatar marked the end of its 57-year membership in the Organization of Petroleum Exporting Countries (OPEC). Despite the country being one of the smallest oil producers, Qatar is named as one of the world’s largest producers of liquefied natural gas (LNG). Speaking at a news conference regarding the move, His Excellency Engineer Saad Sherida Al Kaabi, Minister of State for Energy Affairs, stated that the decision reflects Qatar’s desire to focus on its plans to develop and increase its natural gas production from 77 million tonnes to 110 million tonnes per year in the coming future. Image source: sweetcrudereports.com
A PHENOMENAL PRESERVATION March 27 Under the patronage of His Highness, the Amir, Sheikh Tamim bin Hamad bin Khalifa Al Thani, the new architectural masterpiece by Jean Nouvel finally opened its doors to the public. According to Nouvel, the intricate and unimaginably large interlocking disks made of different diameters and curvatures was inspired by a desert rose, a flower-like formation that occurs in the Gulf region. The world-renowned French architect described it as “the first architectural structure that nature itself creates.” Image source: Iwan Baan Ateliers
A HELPING HAND April 22 Qatar opened the first prosthetic hospital and a disability rehab centre in the Gaza Strip, overcoming obstacles that delayed the much-needed project in the besieged Palestinian enclave. 33 > QATAR TODAY > DECEMBER 2019
COVER STORY
THE WORLD’S FOOTPRINTS
PUBLIC TRANSPORT BREAKTHROUGH May 8 As soon as the Doha Metro became operational, more than 86,487 people had already used public transport, Qatar Rail said in a tweet. The preview service for the first part of the Doha Metro’s Red Line began from Al Qassar in the north to Al Wakrah in the south. Image source: Qatar Rail
ARCHITECTURAL MILESTONE May 16 Following the completion of the Khalifa International Stadium in May 2017 as the first venue for the FIFA World Cup 2020, Al Wakrah stadium is finally World Cup-ready. Al Wakrah Stadium not only is the first stadium built from scratch but the installation of the pitch was completed in a world-record time of just 9 hours 15 minutes.
Image source: EPA-EFE/NOUSHAD THEKKAYIL
STRONG STANCE September 24 At the 74th session of the United Nations General Assembly held in New York, His Highness the Amir Sheikh Tamim bin Hamad Al Thani, took part in the opening session of its general debate. In his speech the Amir spoke about the blockade and said: “The strategic importance of the Gulf region renders the realization of stability therein a regional and international need. We assert our firm position to keep the region away from the risks by resolving differences through dialogue based on common interests and respect for the sovereignty of its states.” Image source: Amiri Diwan
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COVER STORY
THE WORLD’S FOOTPRINTS SAFE AND SMART CITIES October 29 The Qatar Information Technology Conference and Exhibition (QITCOM 2019) had a successful launch, organised by the Ministry of Transport and Communications under the theme “Safe and Smart Cities”, and the Munich Security Conference (MSC) Core Group Meeting at the Qatar National Convention Centre in Doha. The ceremony kicked off with a film screening which highlighted the development of the digital transformation in Qatar, and speeches delivered by His Excellency Jassim bin Saif Al Sulaiti, the Minister of Transport and Communications, and Mr Wolfgang Ischinger, Chairman of the Munich Security Conference. Image source: QITCOM
THE RAIN-SEEKING PRAYER November 14 His Highness the Amir Sheikh Tamim bin Hamad Al Thani, performed the Istisqaa (rain-seeking) prayer at Al Wajbah prayer ground. His Highness Sheikh Jassim bin Hamad Al Thani, Personal Representative of the Amir, His Highness Sheikh Mohamed bin Khalifa Al Thani and HE Sheikh Jassim bin Khalifa Al Thani also took part in the prayer. In a sermon after the prayer, the Judge at the Court of Cassation and member of the Supreme Judicial Council, Sheikh Dr Thaqil bin Sayer Al Shammari, called on worshippers to repent, ask Allah for forgiveness, avoid sedition and make supplication to Almighty Allah for rainfall. Image source: Amiri Diwan
GCC SUMMIT 2019 December 10 Seven days before the event, His Highness the Amir Sheikh Tamim bin Hamad Al Thani received an invitation from the Custodian of the Two Holy Mosques King Salman bin Abdulaziz Al Saud of the Kingdom of Saudi Arabia, to attend the 40th session of the Gulf Cooperation Council (GCC) Summit held in Riyadh. On the date of the event, HH the Amir did not attend the summit but sent Prime Minister Abdullah bin Nasser bin Khalifa Al Thani in his stead. The summit quickly concluded, lasting less than an hour, before the six nations emphasized the need to increase military and security cooperation to maintain regional cooperation. There were also calls to achieve financial and monetary unity by 2025. 35 > QATAR TODAY > DECEMBER 2019
COVER STORY
THE WORLD’S FOOTPRINTS
CHRISTCHURCH MOSQUE SHOOTINGS March 15 A seemingly peaceful peaceful Friday Prayer was turned into a bloodbath massacre as innocent Muslims were attacked in two separate mosques in Christchurch, New Zealand. The mosque shootings were two consecutive terrorist shooting attacks which began at the Al Noor Mosque in the suburb of Riccarton at 1:40 p.m. and continued at the Linwood Islamic Centre at about 1:55 p.m.
“WHERE IS THE
LOVE?”
Image source: EPA-EFE/MICK TSIKAS AUSTRALIA AND NEW ZEALAND OUT
ESCALATING TENSIONS May 3 The unsettling tension between Gaza and Israel escalated when two Israeli soldiers were injured by sniper fire from the Gaza Strip during the weekly protests at the Gaza–Israel border. In response, the Israeli Air Force carried out an airstrike, killing two Palestinians. Following this, hundreds of rockets were launched from Gaza at Israel, while the Israeli Air Force struck numerous targets within the Gaza Strip. Image source: EPA-EFE/MOHAMMED SABER
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COVER STORY
THE WORLD’S FOOTPRINTS STREET VIOLENCE September 26 Popularly known as the Anti-Extradition Law Amendment Bill movement, thousands of protesters marched through the streets from Tsim Sha Tsui to West Kowloon station as part of the ongoing series of demonstrations triggered by the introduction of the Fugitive Offenders amendment bill by the Hong Kong government. During the ongoing incident, one protester said: “I can’t say I love China anymore.” Image source: EPA-EFE/JEROME FAVRE
THE CRY OF LEBANON October 17 The people of Lebanon have had enough of the government’s failure to find solutions to the economic crisis that has been plaguing the country for the past year because of rampant corruption, wasted public money and stealing government entities. The people took their grievances to the streets as they shouted “All of them means all of them,” a chant demanding that the whole government resign. Image source: EPA-EFE/WAEL HAMZEH
ABLAZE AND ADRIFT June 13 Two oil tankers were attacked in the Gulf of Oman, which left one ablaze and both adrift. The sailors from both vessels were immediately evacuated by the U.S. Navy. The tension has been escalating between Iran and the United States when President Donald Trump pulled out of a deal last year between Iran and global powers that aimed to curb Teheran’s nuclear ambitions. Image source: Iranian Student News Agency
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COVER STORY
THE WORLD’S FOOTPRINTS
ON FAREWELLS AND
DEPARTURE LOSING A LEGEND February 19 At the age of 85, Karl Lagerfeld, one of the most prolific and celebrated fashion designers of all time, has passed. In the midst of grieving for the icon, the House of Chanel revealed that Lagerfeld had been working hard right up until his death, even giving his team instructions relating to the Fendi autumn/winter 2019 show.
DYING WITH A PURPOSE March 31 “Having strong enemies is a blessing,” tweeted Ermias Davidson Asghedom, also known as Nipsey Hussle, an American rapper, businessman and philanthropist who died at the age of 35 after being gunned down in front of his own Marathon Clothing Store in his hometown of Los Angeles.
AFRICA WEEPS September 6 The former Zimbabwean president Robert Mugabe has passed away at the age of 95 in Singapore, where he had been receiving treatment since April. Africa weeps as the country grieves the loss of a leader who led the country post-independence from 1980 to 2017 when he was ousted in a military coup. Image source: EPA-EFE/STR
DEATH IN TRIAL June 17 The former president of Egypt, Mohamed Morsi, shocked the world with his sudden death after collapsing during his trial in Cairo. Morsi was the first democratically elected president and a top figure in the Muslim Brotherhood. Before his passing, he had been held in the Tora prison complex since 2013 and his conditions were described as “brutal”, according to a statement from the office of the UN High Commissioner for Human Rights. The Muslim world mourned his death with special prayers and funerals. 38 > QATAR TODAY > DECEMBER 2019
COVER STORY
THE WORLD’S FOOTPRINTS
THE REALM OF
POLITICS
FREED FROM SOCIALISM January 1 Just last year, Jair Bolsonaro was fighting for his life after an assassination attempt during a presidential campaign rally. After a speedy and careful recovery, Bolsonaro was sworn in as the president of Brazil, fully cementing a rightward shift. On his proclamation, he waved a flag and declared that Brazilians are now being freed from socialism. Image source: EPA-EFE/Joedson Alves
THE FACE OF CONGRESS January 3 The 116th opening day of Congress witnessed dozens of newly elected women. The day served as a powerful reminder of the shifting gender dynamics in the House as Democrats ascend to power. When Nancy Pelosi arrived on Capitol Hill in 1987, there were 23 female members. Now there are 102 and nearly 90% of them are Democrats.
BRITAIN EXITS THE EU March 29 Britain leaves the European Union, after four decades of membership becoming the first country to quit the bloc. 39 > QATAR TODAY > DECEMBER 2019
COVER STORY
THE WORLD’S FOOTPRINTS
THE END OF AN ERA April 30 The 85-year-old Emperor Akihito ended his 30year reign with a huge gratitude to the people of Japan for their support as he became the country’s first monarch to abdicate since 1817. Before stepping down, the Emperor expressed his hope that his successor’s time on the chrysanthemum throne will be stable and fruitful. Image source: EPA-EFE/KIMIMASA MAYAMA
THE 14TH ISLAMIC SUMMIT CONFERENCE 2019 May 30 The Prime Minister and Interior Minister, His Excellency Sheikh Abdullah bin Nasser bin Khalifa Al Thani, participated with Their Majesties, Highnesses and Excellences, leaders and delegation heads of Islamic States in the opening session of the 14th Islamic Summit of the Organisation of Islamic Cooperation (OIC). Image source: QNA
THE PUBLIC WINS July 24 Ricardo Rosselló announced his resignation days after the public demanded his ouster over a scandal involving leaked private chats, as well as corruption investigations and arrests.
DAWN OF A NEW SUDAN September 8 Sudan's 18-member cabinet, led by Prime Minister Abdalla Hamdok, was sworn in on this date.
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COVER STORY
THE WORLD’S FOOTPRINTS
THE SPIRIT OF
SPORTS HISTORIC WIN January 30
At Mohammed bin Zayed Stadium in the United Arab Emirates, Qatar won the AFC Asian Cup for the first time in a competition against Japan, defeating the country with a winning score of 3-1. Although the people of Qatar couldn't be present at the host venue because of the ongoing blockade, the team’s supporters expressed their love and cheer through social media. Eventually, the Qatar team was grandly celebrated by the public when they came home. Image source: AFC Asian Cup
AMIRI CUP May 16 His Highness the Amir, Sheikh Tamim bin Hamad Al Thani, brought honour to the players of the Al Duhail Sports Club, who came out as champions in the game, by awarding them with the Amiri cup and presenting the players with gold medals. Although the Al Sadd players took second place, they were still immensely grateful for taking home silver medals awarded by the Amir himself. Image source: Qatar Football Association (QFA)
BECOMING PIONEERS September 27 Qatar became the first Middle-Eastern country to host the IAAF World Athletics Championships Doha 2019 when His Highness the Emir, Sheikh Tamim bin Hamad Al Thani, inaugurated the international sporting competition which attracted the participation of over 2,000 athletes from 208 countries in 49 events.
Image source: EPA-EFE/YAHYA ARHAB
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COVER STORY
THE WORLD’S FOOTPRINTS
JAPAN HOSTS RUGBY WORLD CUP September 20 Japan became the first country outside of rugby’s traditional strongholds to host the game’s World Cup, with matches in 12 cities before the final in Yokohama. Image source: EPA-EFE/FRANCK ROBICHON
QATAR 2019 WORLD BEACH GAMES October 12 Qatar 2019 World Beach Games, the global multi-sport event created by ANOC (Association of National Olympic Committees), concluded with over 1,200 participating athletes from 97 countries. In the final tally of medals, Brazil and Spain dominated the games and took home most of the medals, while Brazil took home 12 and Spain bagged 10. Although Qatar didn’t win as many medals compared to the other countries, its beach volleyball team won a valiant silver medal in the 4x4 tournament. Image source: Association of National Olympic Committees
24TH ARABIAN GULF CUP November 26
SOUTHEAST ASIAN GAMES November 30
His Highness the Amir, Sheikh Tamim bin Hamad Al Thani, opened the 24th edition of the Arabian Gulf Cup at Khalifa International Stadium. The event kicked off with stunning performances of traditional shows and a documentary film followed by the flag parade of the participating countries and fireworks blanketing the night sky.
The 2019 Southeast Asian Games is the 30th edition and a biennial multi-sport event held in the Philippines. This edition is marked by the first major decentralization in the history of the Games, with competition venues spread over 23 cities across the country, divided into four clusters, all located on the island of Luzon.
Image source: Amiri Diwan
42 > QATAR TODAY > DECEMBER 2019
Image source: EPA-EFE/MARK R. CRISTINO
spotlight > Hospitality
QATAR’S HOSPITALITY SECTOR POISED TO GROW
WHEN QATAR HOSTS THE FIFA WORLD CUP IN 2022, THE COUNTRY’S HOSPITALITY SECTOR IS EXPECTED TO GROW AT A CAGR OF 12.1% BETWEEN 2017 AND 2022 TO QR5.10 BILLION ($1.4 BILLION) AS 70% OF THE HOTELS ARE IN THE FOUR AND FIVE-STAR CATEGORIES. TRAVEL AND TOURISM INVESTMENT IS EXPECTED TO BE AROUND QR14.5 BILLION, INCREASING BY 7.8% BETWEEN 2018 AND 2028.
A
s many as 1.5 million tourists are expected to descend on Qatar to witness the FIFA World Cup, being hosted for the first time in a Muslim country in the Middle East.
The trade and travel ban imposed on Qatar in June 2017 has impacted the sector but the government's development of new sources, relaxed visa policies and schemes helped to absorb the impact. FIFA guidelines say that Qatar should have at least 60,000 hotel rooms and the government has planned investments worth QR8.37 billion ($2.3 billion) for the World Cup and an additional QR25.11 billion ($6.9 billion) for transport and other related projects. In fact, Qatar has announced that it will charter two MSC cruise ships - MSC Poesia and MSC Europa set to debut in 2020, which will be used as floating hotels to accommodate 9,800 soccer fans. The FIFA event is scheduled to be held between November 18 and December 20. Even Bedouin-style tents for camping under the
stars, a short-term letting system similar to Airbnb, and many star hotels including Tivoli Al Najada Doha hotel (151 hotel rooms and suites), Oaks Al Najada Doha (100 keys) and Souq Al Wakra Hotel (101 keys), will be made available. CONTRIBUTION TO GDP The travel and tourism sector’s direct contribution to Qatar’s GDP in 2018 was QR22.5 billion, 3.3% of total GDP, and expected to rise by 4% to QR23.4 billion in 2019. The direct contribution of travel and tourism to GDP is expected to grow by 7.8% per annum to QR49.4 billion (4% of the GDP) by 2029. The London-based World Travel and Tourism Council (WTTC) said that the total contribution of travel and tourism to GDP was QR64.5 billion in 2018, and expected to rise by 4.4% per annum to QR67.3 billion (9.4% of GDP) in 2019. It is forecast to rise by 7.7% per annum to QR141.2 billion by 2029 (11.4% of GDP). In fact, Qatar is poised to attain the number one position among 185 countries in the
world in terms of long-term growth of the sector by 2028. The total contribution of the travel and tourism sector to employment was 194,500 jobs in 2018 (9.5% of total employment). This is forecast to rise by 3% in 2019 to 200,000 jobs (9.7% of total employment) and is expected to be 301,000 (13.6% of total employment) by 2029. Visitor exports are one of the key components of the direct contribution of travel and tourism and in 2018, Qatar generated QR47.2 billion in visitor exports. In 2019, this is expected to grow by 4.4%, and the country is expected to attract 2,162,000 international tourist arrivals. By 2029, international tourist arrivals are forecast to total 6,598,000 generating expenditure of QR18.7 billion, an increase of 8.2% per annum. MORE INVESTMENTS As part of the Qatar National Tourism Sector Strategy 2030, there has been a great deal of investment in the hotel market and in order to accommodate the desired seven million 43 > QATAR TODAY > DECEMBER 2019
spotlight > Hospitality international tourist arrivals per year, there will have to be a significant increase in the number of hotels within the country.
The high end of the market is currently is well catered for as Qatar is often seen as a luxury destination and, according to BMI research, it is estimated that the luxury segment grew as much by as 75% between 2009 and 2014, whereas the midscale portion increased by just 22%. The travel and tourism sector is said to have attracted QR7.3 billion in capital investment in 2018. This is expected to rise by 7.9% in 2019 and by 7.8% per annum over the next ten years to QR16.6 billion in 2029.
contributed to growth, specifically among nationals from the Americas and Europe. The most notable increases came from nationals of Germany (up 75%, +23,364), Italy (up 42%, +7,213) and Brazil (up 67%, +2,454). HOSPITALITY ACCOMMODATION
NEW HOTELS QNTC further says that seven new properties opened in H1 2019, bringing 1,436 new hotel rooms to the market. Qatar now has a total of 27,378 rooms (across 130 properties), representing an 8% increase in room supply compared to H1 2018.
The hospitality accommodation sector in Qatar saw a room supply increase of 8% in H1 2019, compared to the same period in 2018. Furthermore, substantial growth was
The occupancy rate across all hotels and hotel apartments was 65% in H1 2019, representing an 8% increase compared to
seen in demand (up 19%), resulting in a considerable increase in occupancy (up 8%) over the first half of 2019 compared to the same period in 2018.
H1 2018. An increase in occupancy rates was achieved across all hotel classifications but remained the same across all hotel apartments in comparison to the same period in 2018.
Reports say that Qatar’s hospitality sector is all set to gain from a surge in tourists visiting the country in the next few years. Hotels and resorts are doing brisk business as their occupancy rate has risen significantly in 2019 compared to last year, helped by a sharp increase in tourist inflow to the country. The first quarter has been busy for the sector as occupancy has increased during January, February and March. The occupancy rate of hotels in Qatar jumped from 62% in March 2018 to 68% in March 2019, according to the Planning and Statistics Authority (PSA) . The PSA further says that the average revenues of hotels across all categories witnessed solid growth (year-on-year) in April 2019, with the budget hotels recording the highest (30%). The average hotel revenue, measured by per available room, increased to QR264 in April 2019 (yearto-date,) up by 5.6% or QR14, compared to QR250 a year ago (April 2018). VISITOR ARRIVALS According to Qatar National Tourism Council (QNTC), Qatar has welcomed 1.05 million visitors in the first half of 2019, representing an 11% increase compared to the same period in 2018. Significant growth in visitor numbers was seen across all regions in H1 2019, except for Other African nationals which were down 10% from H1 2018, yet representing only a small number of arrivals. Even though Indian nationals remain Qatar’s largest source of visitor arrivals, Indian visitor arrivals were down 9% in the first six months of 2019 compared to the same period in 2018. However, visitor arrivals from UK and USA nationals, Qatar’s second and third largest sources of visitor arrivals, were up 17% and 11%, respectively, in H1 2019 compared to H1 2018. Doha Port hosted 28 cruise ships in H1 2019 carrying 70,240 passengers (up 111% from H1 2018). Cruise ships have provided a boost in visitor arrivals to Qatar and have significantly 44 > QATAR TODAY > DECEMBER 2019
Overall, Average Room Rate (ARR) was down by 5% across all hotels and hotel apartments. However, Revenue Per Available Room (RevPAR) was up 3% in H1 2019, compared to H1 2018. The average length of stay (ALOS) for visitors in Qatar during the first six months of 2019 was 3.54 nights per trip in the hotel segment (the highest was in four-star hotels at 5.23 nights per trip on average) and 7.47 nights per trip in the hotel apartment segment (the highest was in Standard Apartments at 7.58 nights per trip on average). Across all hotels and hotel apartments, ALOS has dropped 3% compared to H1 last year. The increases in visitor arrivals and occupancy come during a six-month period packed with largescale events, festivals and openings of new landmarks such as the National Museum of Qatar, 21 High St Katara, and the outdoor section of the Angry Birds Theme Park.
The Average Room Rate across all hotels and hotel apartments in the first six months of 2019 was down 5% (at QR370) compared to the same period in 2018. The slight drop in ARR paired with a significant increase in demand (up 19%) allowed for a positive increase in RevPAR, which was up 3% (at QR242) across all hotels and hotel apartments in H1 2019, compared to H1 2018. There was a slight drop of 3% in the ALOS across all hotels and hotel apartments in H1 2019 (3.76 nights per trip) compared to H1 last year (3.88 nights per trip). The most significant and main driver of this drop in ALOS was the drop in ALOS at deluxe hotel apartments, currently at 7.58 nights per trip compared to 15.42 nights per trip in H1 2018, the Council added.
TOURISTS FLOCK TO QATAR QATAR’S TOURISM SECTOR HAS ACHIEVED REMARKABLE GROWTH AND SIGNIFICANT DEVELOPMENTS OVER THE PAST FEW YEARS IN TERMS OF VISITOR NUMBERS, DEVELOPMENT OF TOURISM INFRASTRUCTURE AND GOVERNANCE OF THE TOURISM SECTOR IN ORDER TO ACHIEVE ECONOMIC DIVERSIFICATION, WHICH IS ONE OF THE MOST IMPORTANT OBJECTIVES OF THE QATAR NATIONAL VISION 2030.
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he latest statistics showed that Qatar welcomed 1.19 million visitors during the first seven months of 2019, representing a 10.7% increase compared to the same period in 2018. Of the number of visitors, 469,000 (39%) were from Asia and 375,000 (31%) from Europe, while the number of visitors from the GCC reached 131,600 (11%). The Amir, HH Sheikh Tamim bin Hamad Al Thani, issued orders to establish the National Tourism Council (QNTC) under the chairmanship of the Prime Minister and Minister of Interior, HE Sheikh Abdullah bin Nasser bin Khalifa Al Thani, launching the beginning of new phase of the development of tourism in Qatar. The QNTC gave the tourism sector a fillip when it opened representative offices in major export markets such as the US, the UK, France, Italy, Turkey, Russia, India, China and Southeast Asia. This coincided with the announcement by the (UNWTO) that Qatar has become the most open country in the Middle East and the 8th most open in the world. PRUDENT POLICIES The QNTC has attributed the increase in the number of inbound tourists in 2019 to the measures taken by the government to
facilitate the policies for obtaining a visa, making Qatar a tourist destination. The open visa policies allow nationals of 88 countries to enter Qatar visa-free and to take advantage of the country’s position in the middle of the world and the presence of Qatar Airways’ network of flights to and from more than 170 destinations worldwide. Hospitality offers and discounts played a pivotal role in achieving a significant increase in the overall occupancy rate of all hotels, which reached 40%. In June 2019, hotels recorded a 10% increase in average occupancy compared with June 2018, while July saw an increase of 4% compared with the corresponding month last year. During the week of Eid Al Adha, average occupancy in all hotels reached 60% with bookings worth QR44.5 million. Due to prudent government policies, Qatar’s tourism sector has overcome the 2017 blockade and tourism rates have achieved remarkable growth at various levels, thanks to the activation of openness plans to global tourism markets such as India, China, Russia, the US and Germany. In terms of competition across the region, Qatar’s hospitality sector was ranked the best in the region for the second consecutive year, according to Guest Experience in the Middle East released
by hospitality and travel data providers Olery, which monitored and analysed more than 12 million guest reviews over the past 12 months from 1 April 2018 to 31 March 2019. PRIVATE SECTOR’S SHARE The private sector contributes to tourism investments as tourism in Qatar is a growing industry that has succeeded in a short period of time in playing an effective role in achieving economic diversification sought by the State, contributing to the GDP and creating huge investment opportunities. The QNTC provides comprehensive services to potential investors and introduces them to opportunities to participate in Qatar’s tourism development efforts. It also provides information on potential projects and coordinates between potential investors and relevant public and private partners. Qatar has in recent years attracted a number of international investments in various tourism sectors, including the signing of around 17 memoranda of understanding (MoUs) by Katara Hospitality, the QNTC, Qatar Airways and Rixos Hotels with the organisers and operators of international tourism. 45 > QATAR TODAY > DECEMBER 2019
affairs > local spotlight > Hospitality
MEMORABLE MOMENTS AT ALWADI HOTEL DOHA MGALLERY HOTEL COLLECTION
THE FIRST MGALLERY BOUTIQUE HOTEL IN DOHA, QATAR. ALWADI HOTEL DOHA MGALLERY HOTEL COLLECTION IS A DISTINCTIVE FIVE-STAR BOUTIQUE HOTEL LOCATED WITHIN MSHEIREB DOWNTOWN DOHA, A VIBRANT NEW RETAIL, COMMERCIAL AND RESIDENTIAL DEVELOPMENT IN THE HEART OF QATAR’S CAPITAL.
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ituated in an enviable locale, Alwadi Hotel Doha MGallery provides you with easy access to Msheireb Downtown Doha’s business hub and expansive range of shopping, dining and entertainment venues. The hotel is also just
a few steps from the spectacular Souq Waqif, a traditional style marketplace, where guests can explore Qatar’s heritage and culture. Alwadi Hotel Doha is the first MGallery Hotel Collection boutique hotel in Qatar where the “art de reservoir” embraces
authentic local experiences and enhances memorable moments in a charming yet luxurious setting. MGallery is where captivating stories are lived and shared. With more than 90 storied boutique hotels around the world, each MGallery tells a unique story inspired by the destination. From bespoke design and sensorial mixology to well-being dedicated to women, MGallery hotels are places where guests can discover the very best the world has to offer. A CHARMING AND SINGULAR EXPERIENCE The hotel comprises 213 rooms and suites, including 10 rooms for physically challenged guests, all featuring Arabic pattern, designs and colours of Qatar to bring a touch of heritage to contemporary design, and offering a unique view of Doha. Alwadi Hotel Doha MGallery Hotel Collection has a perfect room type for all travellers. There are 103 Superior King rooms, 47 Superior Twin rooms, 19 Deluxe King rooms, 11 Executive King rooms, 12 Deluxe Suites, 20 Souq Suites and 1 Imperial Suite. All Souq Suites and the Imperial Suite have balconies overlooking Souq Waqif, while other room types offer a spectacular view of the West Bay skyline -
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and body. Each brand selected demands quality and result-driven treatments, which are personalized to suit the needs of our valued guests. Environmental sustainability is considered whenever and wherever possible, which reflects our social responsibility approach. MEMORABLE AND SUCCESSFUL EVENTS AT ALWADI HOTEL DOHA MGALLERY Capturing natural daylight gives business and social gatherings at Alwadi Hotel Doha MGallery Hotel Collection a competitive edge with the design of its five upscale meeting rooms and its exquisite ballroom making it the ideal destination for guests to celebrate their most memorable moments. The meeting rooms, where Qatari heritage is woven into the décor and naming strategy, have daylight streaming in to save on energy and give a natural boost to delegates and guests. which comes alive at night. All rooms are equipped with a mini bar, flat-screen television, ranging from 49 in rooms to 55 in suites, hair dryer, Bose sound system, safety deposit box, Nespresso machine, as well as complimentary high speed Wi-Fi connection. All rooms and suites are supplied with bathroom amenities created exclusively for the hotel. INDULGE IN GASTRONOMIC DELIGHT Dining at Alwadi Hotel Doha is a memorable experience with three restaurants, two bars and a lobby lounge. Savor a meal at Alwadi Hotel Doha to understand the essence of Qatari hospitality. The flavors of the Gulf region will delight you as you enjoy moments with family, friends and business colleagues. For breakfast, lunch, dinner, drinks and late-night snacks – good times and good taste start here. INFINITE TASTES, VIEWS AND MEMORIES
With luxury living experience in mind for guests, all beauty product partners have invested in developing unique rituals that combine efficiency and personalized approach to treatments in order to create a sense of well-being that nurtures both mind
The Alwaha Ballroom, with oversized arabesques on the high ceiling and rich Mashrabiya design carpeting, is an outstanding venue with enviable city views. This is the ultimate choice for weddings, gala events, receptions, corporate social events and special occasion celebrations. Alwaha Ballroom, which can also be divided into two elegant venues, is flooded with natural daylight and can accommodate up to 415 guests in a cocktail set-up or be divided into two for smaller events.
ALWADI HOTEL DOHA MGALLERY HOTEL COLLECTION CORNER OF WADI MUSHEIREB & JASSIM BIN MOHAMMED STREET P.O. BOX 24910 DOHA - QATAR TEL. +974 4009 9999 H8395@ACCOR.COM WWW.ALWADIHOTELDOHA.COM
ADVERTORIAL
A dynamic new addition to Doha’s vibrant Food and Beverage scene has opened at the five-star boutique Alwadi Hotel Doha. Inspired by Jules Verne’s famous adventure novel, “Around the World in 80 Days,” a journey into the new “Infinity Lounge” takes guests on a tour of global beverage creations with signature refreshments bursting with distinctive tastes and flavours from 29 countries. Infinity Lounge is a rooftop hideaway which opens up the world of refreshment and is a window to the wonder of Doha.
room and sauna as well as a relaxation area for rejuvenation and comfort. Alongside, M|Fit, the hotel’s fitness centre, is furnished with the latest Technogym equipment and infused with natural light.
REJUVENATE TO THE CORE Alwadi Hotel Doha features M|Spa, which encompasses five treatment rooms, a steam 47 > QATAR TODAY > DECEMBER 2019
business > Marketwatch
VODAFONE QATAR’S 5G NETWORK PAVES THE WAY FOR SMARTCONNECTED INDUSTRY
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igital transformation enabled by 5G connectivity equips companies and industries to harness the full array of emerging technologies such as big data, robotics, the Internet of Things (IoT), Artificial Intelligence (AI), and Virtual & Augmented Reality (AR/VR). All these and more are now converging to connect machinery and equipment, sensors, and people to everything around them in ever more sophisticated and resourceful ways. Qatar IT Conference & Exhibition (QITCOM) 2019, which recently wrapped up its fifth edition, was an opportunity to see a full range of the most cutting-edge technology – among them the latest 5G solutions. Vodafone Qatar presented an award-winning GigaNet 5G Smart City pavilion showcasing a breadth of real live technologies and services on Vodafone’s ready GigaNet 5G network in different zones like Smart Homes, Connected Retail, Smart City and Smart Industry. Vodafone’s innovative solutions showed how the speed, responsiveness and reliability of 5G can help any industry achieve better business
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5G PAVES THE WAY FOR ECONOMIC PROSPERITY IN CITIES. A RECENT REPORT BY IHS MARKIT ESTIMATES THAT 5G WILL ENABLE $12.3 TRILLION IN GLOBAL ECONOMIC OUTPUT ACROSS A RANGE OF INDUSTRIES WITHIN THE NEXT THREE DECADES. TO PUT THAT IN PERSPECTIVE, THIS IS MORE THAN THE COMBINED SPENDING OF CHINA, JAPAN, FRANCE, GERMANY, AND THE UNITED KINGDOM IN 2016.
outcomes. Construction, manufacturing, oil and gas, and other industries will benefit from increased efficiency and productivity for professionals with subsequent cutbacks in cost. The 5G capabilities will benefit businesses that need to instantly and wirelessly connect to other professionals remotely. And they can be used in countless creative ways, leveraging VR for business functions such as remote support and training that require instant communication with the highest data transmission quality. The higher speeds and low latency of 5G will also enable the effective use of automation that will characterize smart factories of the future. Anothwe solutions, ideally suited to Qatar’s oil and gas industry, is the use of IoT for improved data and survey accuracy. Vodafone has showcased a 5G industrial drone that can be remotely controlled to fetch and observe data from highly sensitive and dangerous locations for pipeline maintenance. Vodafone also showcased its state-of-the-art drone no-fly zone technology, the world’s first IoT drone tracking and safety technology. The technology is an important use
case for emergency services and other authorities in which the solution enables them to establish temporary or dynamic no-fly zones or to protect permanent no-fly zones such as airports, oil and gas fields and production plants from drone intrusions. The benefits of optimization, automation, and innovation enabled by Vodafone 5G connectivity is exactly what Qatar’s industries need to meet the challenges they face today: the demands to boost productivity, optimize operational efficiency and enhance worker safety on the factory floor and on-site. As for example with the Smart Worker band, a solution that was also showcased and provides features to enhance worker safety and productivity based on real-time location and data. The solutions also highlighted an important evolution: seeing 5G not merely as “a faster network” but as a robust ecosystem that powers fueling technologies such as IoT, Artificial Intelligence, and Virtual Augmented Reality. This is an evolution that is sure to transform the industry as we know it.
THE ART OF HAIRDRESSING FOR MEN Over the last decade, Doha has seen multiple salons popping up on high streets, dedicated exclusively to men’s beauty and grooming. Well, it may not quite be the news you were expecting but there’s more than what meets the eye.
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en are finally getting the attention they deserve when it comes to grooming. A stand-out barbershop like Black Scissors has found the mojo to have men indulge in some much-needed TLC. An inviting haunt, Black Scissors helps men transform themselves to not just look and feel great but also bring out the best in them. How, you ask? It’s simple. The multitude and quality of offerings at Black Scissors takes their confidence several notches up. “The idea behind the barbershop was to seed and nurture an experience designed to bring out the best in men. Intimate, size-wise yet luxurious without passing off as pretentious,” says Tanvir Shaikh, Manager of Black Scissors. “We wanted to introduce the tradition of going to the barbershop to the new-gen, and reinvent it to the older generation; where
in fact both were seeking a higher level of service,” Tanvir added. Black Scissors prides itself in being a trusted place for men to have a professional grooming experience. Male beauty is often associated with a glorious mane of hair. In fact, in men’s case, the hair is accorded the topmost preference while defining looks unlike women who define beauty in entirety – including face, skin, hair, etc. Even the total lack of hair i.e., a bald look, is today a male beauty statement in itself. The new-age barbershop Black Scissors even caters to this penchant by providing men a choice of grooming and skin care, which can be effortlessly achieved. Beauty of hair is considered important to achieve a competitive edge and also appeal to the opposite sex. And fortunately, with Black Scissors the best of both worlds is now just an appointment away!
ON SCENTS AND BEAUTY The first edition of the much-awaited International Perfumes and Cosmetics Fair
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rganized by Kuwait international Fair Company, The International Perfumes and Cosmetics Exhibition in Qatar is the largest dedicated fair in Doha to sell, market, and promote perfumes, incense, and cosmetics. The opening ceremony was attended by Ms. Ibtihaj Al-Ahmadani, Qatar Chamber board member and president of Qatari Businesswomen Forum, Ms. Basima Youssef Al Dheim, Executive Director of Marketing and Sales at Kuwait International Fair Company, VIP Guests and visitors. Huge crowds filled the venue of the specialized gathering. Al Ahmadani also paid tribute to the quality and variety of displayed items, noting that the expo offered a good opportunity for Qatari businessmen and businesswomen to meet their Kuwaiti counterparts to discuss ways of developing joint cooperation in perfumes and cosmetics sectors.
Tanvir Shaikh Manager of Black Scissors
QATAR’S EDUCATION SECTOR POISED FOR GROWTH Sharaka Holdings establishes a dedicated sector to help grow Qatar’s education offerings
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haraka Holdings established a dedicated sector called Sharaka Education to help build Qatar’s human capital and world-class educational standing. Sharaka Education is establishing strategic partnerships with renowned international educational brands across a broad spectrum from education to edutainment. It will also oversee Sharaka’s existing educational investments which include the awardwinning KidZania brand’s entry into Qatar, the IQRA English School, which now caters to more than 1,000 students in ever-expanding facilities, and Sherborne Qatar, Preparatory and Senior school that has a student population of over 1,200 across prep and secondary schools with over 39% of the students being Qatari. 49 > QATAR TODAY > DECEMBER 2019
spotlight > Education
FUTURE OF
EDUCATION
ROBERT HARRISON, EDUCATION STRATEGY DIRECTOR AT ACS INTERNATIONAL SCHOOLS, DISCUSSED HOW THE SCHOOLS’ "READY" STRATEGY WILL PROMOTE INDIVIDUAL AND SOCIAL WELL-BEING FOR ITS STUDENTS, ALEXANDRA EVANGELISTA WRITES.
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CS International School Doha is currently has over 900 students enrolled, aged 3 to 18 representing 70 nationalities and 150 expert faculty from the Gulf and around the world. Recently, ACS Doha introduced a new five-year education strategy that builds on a unique educational approach to get its students ready to succeed in a complex world filled with both challenges and opportunities. The strategy calls for empowering a new kind of globally minded and culturally astute citizen, able to navigate difference, appreciate diversity, and balance traditional identities with the demands of modern life.
GLOBAL EDUCATION LANDSCAPE
With over 20 years of experience in the field, Dr Harrison shared prominent insights on the evolution of the global education landscape. 50 > QATAR TODAY > DECEMBER 2019
He highlighted the difficulty in predicting the kind of economies that are emerging in the world. In a more positive light, education has become more flexible – catering to a more personalized approach. In the rapid changes in the field, schools like ACS are helping the students build flexibility and resilience to manage complexity and deal with diversity – which enables entrepreneurial mindset learners.
A “READY” STRATEGY
ACS International School Doha is executing a “ready” strategy in its curriculum. To elaborate, Harrison laid out points in the strategy. First is transformational learning, which goes beyond the simple transfer of knowledge by instilling critical thinking that helps students to make meaning of their lives.
Developing qualifications for students also forms part of this strategy wherein the students can develop the skills they need in order to be successful in the workplace and life beyond the classroom. In order to establish these qualifications, ACS will bring its students to the frontline when it comes to high-quality internships and in-depth experiences in a range of organizations. The students are also exposed to service-learning wherein the community works holistically in order to achieve Qatar's sustainability goals.
HIGH-QUALITY EDUCATORS
ACS Doha pays particular attention to both tailoring its curriculum and investing in highquality educators who can deal with diversity and complexity and who possess extensive
knowledge and experience of the modern world, especially in technology. Apart from its strong technical teaching foundation, ACS also ensures that its teachers fully understand the concept of cognitive science in order to effectively help the students manage their own learning. ACS's goal is not only to develop competent students but also to mould individuals who can navigate their own future. “The teachers need to understand the social and emotional climate of the classroom, not just the content, and to build a relationship and collaboration within the community,” Harrison said.
COLLABORATIVE COMMUNITY
Being a collaborative community is a conscious choice that ACS instils daily at its prestigious campus. Since its establishment in 2011, the school has succeeded in breaking the fluid boundaries between its stakeholders. For example, ACS is conducting a student survey called “Youth Truth.” True to its purpose, the survey aims to help students to express what they need and want from the school. This will enable the school to engage in a personal dialogue to create a more personalized and effective way of learning.
“As a school, we have acknowledged that parents are critical to student learning and its atmosphere,” said Robert Cody, the Head of School at ACS Doha. The school makes use of technology for parents to keep in touch with the latest happenings in the school and their child – especially when it comes to assessments and evaluations.
QATAR NATIONAL VISION 2030
High-quality education is one of the pillars of the Qatar National Vision 2030 which, Harrison noted, is perfectly aligned with ACS's goal. “If you have read the documents for Qatar National Vision, it’s very impressive,” Harrison said. “I read it alongside ACS's educational strategy and I was able to draw direct comparisons particularly on human development in terms of social capital and providing an educated and marketable workforce. That is what our strategy is also for.” In terms of social development, Qatar is concerned about the well-being and conservation of the planet. Given that
ACS will be launching a new campus close to Qatar’s new sustainable city, it takes advantage of the natural environment and reflects the success of its global community. This also forms part of ACS's vision that its students be responsible and respectful members of the community. In this sense, ACS prides itself on being a distinctive in terms of being futuristic. Its strategies benefit generations of students by laying a solid foundation for them in terms of connections and creating pathways for them to transform this country. “It’s not just a short-term expat vision. It’s a long-term commitment and years of experience to achieve long-term goals,” Cody said. Envisioning a healthy and effective learning environment, Harrison said: “It is a place for people who want to know what it’s like to live in the real global world. A place where people have ideas that contrast, conflict, mix, emerge and creatively change into something new. If that is what you’re looking for then this is a great place to be.”
“Teachers don’t know everything so this helps build a relationship and a learning dialogue with the students rather than instilling a standardized and monologue kind of teaching,” Harrison noted in his talk on campus about freedom of speech. Proving the effectiveness of this approach, Harrison described the teachers' feelings about moving away from being authority figures to being instead personal coaches to encourage, motivate and provide guidance of the students. This approach also enables the students to acquire fundamental knowledge in order to be successful while exercising their freedom to choose and challenge through respectful inquiry. On the flip side, as authority figures parents contribute to the school community simply by being parents. 51 > QATAR TODAY > DECEMBER 2019
spotlight > Education
THE ARAB INTERNATIONAL ACADEMY (AIA) HELD THE CLOSING CEREMONY OF ITS FIRST ANNUAL “FOOTBALL LITTLE LEAGUE” Since its establishment, AIA has abided by its motto of “7 days without exercise makes one weak", offering extensive athletic programmes, sports activities, and events. Early in the school year, AIA and its school community launched the first annual Football Little League in cooperation with members from AIA’s network, which included sponsors from community organizations as well as private institutions, all contributing to an outstanding program. The academy’s coordinators designed the league to include semiweekly scheduled training under the expert supervision of the league’s football coaches, where students were given a chance to hone their athletic abilities and condition themselves to prepare adequately for their matches which took place on Fridays for six consecutive weeks. The programme coordinator, Ms Nawahda, expressed her appreciation for the immense response and turnout which resulted in a four-division league; KG1 and KG2 players in Division 1, Grade 1 players in Division 2, Grade 2-3 players in Division 3 and Grade 4-5 players in Division 4 accommodating a total of 105 players formed from 10 teams, each team containing 10 starting players. 52 > QATAR TODAY > DECEMBER 2019
One of the main contributing factors behind the success of the league was the invaluable role of parents. Through their weekly active participation, they helped motivate, guide and support the teams, which in turn enabled players to perform at their best. AIA sought sponsorship for its sports teams from Qatar’s community organizations and private institutions and the response was excellent. Sky Dive Qatar, Acciona, Al Araby TV, Al Araby Al Jadeed newspaper, Jeel Media, Gulf Professional Clothing and The Agents all helped to make the league a resounding success. On November 15, 2019, AIA commemorated the end of its Football Little League after the final matches between the league’s finalists. The academy held a closing ceremony celebrating its student players and recognizing and thanking their teams’ generous sponsoring organizations. The academy is currently planning for its second Football Little League, along with its first Basketball Little League, both to take place in the upcoming academic term. www.aia.qa
affairs > Auto News
STAYING CRISP AND UNFATHOMABLE WITH ROLLS-ROYCE MOTOR CARS STANDING TALL AT THE TOP OF THE SUPER-LUXURY CAR SEGMENT, THE LEGENDARY BRAND’S VERY OWN CHIEF EXECUTIVE OFFICER, TORSTEN MÜLLER-ÖTVÖS, SHARES HIS THOUGHTS ABOUT THE BRAND'S "MAGIC CARPET RIDE" AND NEXT MOVES. BY ALEXANDRA EVANGELISTA
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olls-Royce is undeniably the embodiment of exceptional motoring. With its bespoke and fabulously luxurious cars, the brand never says no to a challenge, especially when it comes to a
futuristic automobile. Visiting Doha for a day, the Chief Executive Officer of RollsRoyce tells us about the vitality of the Middle East region for the brand’s success. Ranked third behind the US and China for the world's biggest Rolls-Royce markets,
the Middle East plays a prominent role in the brand’s business strategy. “Creativity and engagement are very distinguishable traits in our partners and clients in this region, which is why we have highly recognized this mark as vital 53 > QATAR TODAY > DECEMBER 2019
affairs > Auto News to the business of Rolls-Royce,” MüllerÖtvös said. Indistinguishable from the kind of stateof-the-art factory that the brand has built in Goodwood, the Middle East and Africa region boasts the best and most luxurious bespoke cars. ROLLS-ROYCE CULLINAN Launched a year ago, the Rolls-Royce Cullinan, the brand’s first all-terrain SUV, had a tremendous introduction and response in the market. Built for unforgettable adventures, with its spacious interior and unparalleled comfort, the Cullinan is also in very high demand in this region. “Cullinan was meant for countries like the Middle East,” the CEO said. Since the country is basically SUV territory, it is no surprise that the new motor car experienced an unbelievably successful reception. This made Cullinan quite difficult to reach whilst the rest of RollsRoyce’s portfolio maintained a very strong position, in particular Phantom, which is at the pinnacle of the motor range, as well as Wraith. BENCHMARK PERFECTION Always a step ahead, Roll-Royce performed a study on the rapid shifts that the market is currently experiencing. “Ten years ago, when I became the CEO of Rolls-Royce, we performed an indepth investigation of how the structure of ultra-high-net-worth individuals – those who are affluent enough to afford a Rolls-Royce - would change in the coming years,” explained Müller-Ötvös. In this study, a shift in the demographics was a trend that stood out and, as expected, the brand is seeing a younger and more female clientele. Following on this, Rolls-Royce noted the shift in power dynamics where, in terms of wealth, the percentage of inherited money is shrinking while self-generated money is growing. Taking these insights into strategic consideration has enabled Rolls-Royce to introduce complete new models such as Wraith, which brought younger clients, and Dawn, which paved the way for the brand to open new garages and welcome
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new clients. Rolls-Royce Black Badge, rounding the lineup with the powerful Cullinan, was formed to give to younger and quite particular clients a unique experience. Now, Cullinan takes centre stage to exhibit how Rolls-Royce approached the trending fast-paced and adventurous lifestyle, all the while embodying its benchmark in engineering and perfection. RED CARPET RIDE Crisp and sharp. This is how Rolls-Royce describes its high-end and low-volume strategy in the business. Rolls-Royce Motor Cars firmly holds its conviction as it is not in the business to please everybody. This determined approach enabled the brand to have an eye for its clients without having to introduce more products just for the sake of volume. “If you start pleasing everybody, then you are somewhere in the middle and that is completely against our conviction,” Müller-Ötvös declared. Rolls-Royce doesn’t need an introduction as the whole world is already astounded by its bespoke capabilities and luxury. However, the brand also sees the fine line between owning a Rolls-Royce and driving it. “They are missing an unbelievable experience, a feeling that I can’t put in words,” Müller-Ötvös explained. Although Rolls-Royce describes the experience as a “magic carpet ride,” words seemed insufficient to capture the unfathomable feeling in being behind the wheel. With Rolls-Royce’s cars cosseted in the most exquisite materials, the CEO coined it as “Fly it on land,” a particular experience that can only be understood once you drive a Rolls-Royce. As a simple way to put it, Müller-Ötvös compared it to how an endless love story works. “When a client checks in with us, they never choose to check out,” he said. For this reason, Rolls-Royce and its partners invest a lot in bringing new clients behind the wheel to let them feel the “magic carpet ride” GOING ELECTRIC Although Rolls-Royce is very tight-lipped about specifying its current endeavours for the future, the brand has revealed that it will venture out into the electric market
“CREATIVITY AND ENGAGEMENT ARE VERY DISTINGUISHABLE TRAITS IN OUR PARTNERS AND CLIENTS IN THIS REGION, WHICH IS WHY WE HAVE HIGHLY RECOGNIZED THIS MARK AS VITAL IN THE BUSINESS OF ROLLS-ROYCE.”
in the next decade. After three years of touring, the Rolls-Royce Next 100 – the company’s first fully autonomous electric vehicle – finally returned to Goodwood. This marks the beginning of Rolls-Royce Motor Cars going electric, bit by bit, in the coming years and eventually becoming a long-term electric brand. Pertaining to the Rolls-Royce Showroom at The Pearl-Qatar, he said: “Watch this space because there will surely be more exciting things to come.”
PERSONA Ever since his appointment as CEO of Rolls-Royce in January 2010, MüllerÖtvös cannot forget the remarkable experience when he became involved in creating the Rolls-Royce masterpiece. Spending a massive amount of time going through every detail and possibility of the craft, he felt a “goosebump moment” in seeing the finished product arrive right in front of his eyes. “We are never saying no to anything. Having gone
through the process and attesting to the experience that everything is possible, I am still humbled to work for the legendary 115-year-old brand Rolls-Royce.” As CEO, he is constantly checking out new bespoke items to test out the models that they bring onto the market. However, the man behind the masterpieces also has a personal favourite among them all. He shared: “I really like and enjoy driving a Black Badge Wraith. It is an incredibly fabulous car.”
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affairs > Auto News
Nasser Bin Khaled Automobiles launched the new Mercedes-Benz in Qatar at the Hospitality Qatar exhibition.
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he Stuttgart-based designers of the Mercedes-Benz V-Class have revealed an impressive new look of the passenger family car, which is now available with a revised front-end design, exterior colours, updated interior and a range of cutting-edge driver assistance features.
NEW MERCEDES-BENZ V-CLASS REFURBISHED MONTERO SPORTS 2020 Held at the backyard of Qatar Automobiles Company launched the new car in the backyard of its showroom, giving attendees the chance to test-drive it on a special terrain.
With a redesigned front bumper, the V-Class appears wider by incorporating a broad intake into the lower fascia – an optional AMG Line Package is now available with a new, chrome-accented, diamond radiator grille offering a sportier appearance. The interior of the new V-Class focuses on passenger comfort with a simpler, elegant design with new upholstery and trim options. Building on its position as a class leader in safety, the new car also features Active Brake Assist and Headlight Assist
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he updated look features the new Dynamic Shield front grill, enhanced front bumper design and new LED and fog lights to give the car a tougher yet smoother and more modern look. The layout and position of the rear lighting has been changed, and a new spoiler added with a smoked finish in order to give the car a more sophisticated look. Built for maximum stability and traction, the Montero Sport 2020 model is equipped with a 3.0-litre V6 MIVEC engine. The high-displacement engine supplies strong acceleration even when carrying heavy loads or traveling uphill. Thanks to the 8-speed automatic transmission – first from Mitsubishi Motors – ithe car delivers improved fuel efficiency and a smoother, more luxurious ride
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BACK-TO-BACK CHAMPION
second in as many years for the brand with the Ram 1500 earning the 2019 Truck of the Year title last year.
“The new Ram Heavy Duty makes a powerful statement about our company and the Ram Truck brand,” said MotorTrend has named the Ram Heavy Duty its 2020 Truck of the Year®. Reid Bigland, Head of Ram brand. “In a brutally competitive truck industry, earning MotorTrend’s ince becoming a standalone brand a decade ago, Ram Truck Truck of the Year title in consecutive years reaffirms the fact that has captured MotorTrend’s Truck of the Year title five times: we have the best light- and heavy-duty trucks on the road today.” 2010, 2013, 2014, 2019 and 2020. Ram Heavy Duty’s win is the
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THE SPORTIEST Q The new Audi RS Q8 is the top of the Q product line with its impressive combinationof RS power, premium coupe elegance and SUV flexibility.
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or the first time in the 25-year history of Audi RS models, we are putting a large SUV coupe with the genes of a true highperformance sports car on the road,” said Oliver Hoffmann, Managing Director of Audi Sport GmbH. “With its biturbo V8
gasoline engine, the Audi RS Q8 is the prestigious spearhead of the RS model family.” The new Audi RS Q8 delivers impressive RS performance with an engine of 441 kW (600 hp), 800 Nm of torque between 2,200 and 4,500 rpm that delivers maximum power and high efficiency. The turbocharged gasoline engine with direct injection accelerates the large SUV coupe from 0 to 100 km/h in just 3.8 seconds and to 200 km/h in 13.7 seconds. The new model also has a mild-hybrid system (MHEV) is based on a 48-volt main electrical system. The interplay of the MHEV components improves ride comfort and also has the potential to reduce fuel consumption in everyday driving by as much as 0.8 litres per 100 kilometres.
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culture > Green Scene
THE
DISSIPATING PLANET
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he exclusive screening of the beautiful episode was held by BBC EARTH, beIN MEDIA GROUP, and the National Museum of Qatar in the presence of HE Ajay Sharma, the British Ambassador to Qatar, on 7 November 2019. The event was attended by the episode’s Producer Fredi Devas and BBC Studios Senior Vice President of MENA territories Natasha Hussain, and was followed by a Q&A session. The episode Seven Worlds, One Planet tells the story of our seven spectacular continents and how they shape the extraordinary animal behaviour and
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biodiversity that we see today. The series reveals how these unique worlds gave rise to the extraordinary diversity of life on earth and why that precious diversity is being lost. This series will feature remarkable, new animal behaviour from all the continents, including the baking plains of Africa and the frozen waters off Antarctica. In Asia, the biggest of all continents, viewers will see life at the extremes, whilst in Europe audiences will discover surprising wildlife dramas hidden right alongside everyday life. The series will celebrate the diversity of life on each of these continents, but also feature the many challenges faced by animals in a modern
world dominated by humanity. The exclusive screening is expected to further strengthen the partnership between BBC Studios and beIN MEDIA GROUP as the two parties signed a Memorandum of Understanding (MoU) last year to explore opportunities for the co-development, co-production and distribution of content in Qatar, the Middle East and North Africa (MENA) and Turkey. During the event, Qatar Today spoke to Fredi Devas about his experiences while producing the first episode in Antarctica. Can you describe to us what it was like to film Antarctica? Antarctica is an incredibly hostile
WHEN ONE THINKS OF SHOOTING NATURE AND BIODIVERSITY, ONE OF THE FEW NAMES THAT COMES TO MIND IS FREDI DEVAS, THE PRODUCER OF THE FIRST EPISODE OF SEVEN WORLDS ONE PLANET IN ANTARCTICA, FOR THE BBC NATURAL HISTORY UNIT. continent but it is also incredibly spectacular and inspiring. There are also a lot of amazing animal dramas that take place. But right from the start, we just wanted to incorporate all the environmental issues that affect the continent. Although it’s incredibly remote and a lot of people won’t get there, the wildlife there is not safe from the pressures of the natural world. The film featured a scene of an albatross chick being blown off by the wind resulting in it falling from its nest while the parents are away to scout for food. What’s so strange about it is that the parents don’t recognise their chick if it’s not in its nest. And for me, this scenario perfectly encapsulates the
confusion that the natural world is facing because the conditions that they are living in are changing so much. The film crew was there for six weeks to tell that story, and it was really hard for the crew to witness what was happening to this species because of climate change. How did you feel about coming back to Antarctica after such a long time? When I travelled back, one of the things that I saw was that on the previous journey to South Georgia I hadn’t seen any whales in the whole ten days of crossing to get there and back. But this time, I saw whales for the first time and that was really wonderful to think that they were coming
back to the Southern Ocean. That’s the key feeding ground for thousands of whales around the world so that was really positive news. The return of the great whales to the Southern Ocean is probably the biggest conservation success story to date. Because those whales were really taken to the brink of extinction because of humans and now we are seeing a recovery in their population. What significant changes did you notice on your recent journey to Antarctica compared with your journey before? There are some areas where it’s actually improved because the Antarctic Treaty 59 > QATAR TODAY > DECEMBER 2019
culture > Green Scene
which is supported by 53 countries around the world posts three pillars. With the first, everything must be peaceful in the name of science and in the name of conservation. They have incredible policies for respecting and protecting the wildlife there and there have been great programmes to look after the wildlife. In terms of changes with the species, some of the seals, penguin colonies and whales are returning. But in other areas, it’s impossible to shy away from climate change. What we saw there, and we have witnessed in the situation of albatross birds in the film, storms are more powerful and more frequent. We also saw glaciers retreating and ice falling into the sea. What’s potentially one of the biggest consequences to the natural world is that the sea ice in recent years around the Antarctic has been decreasing enormously which is the home for the krill. The juvenile krill feed on the bottom of the sea ice in the winter and so this is very important for them because they are also being eaten by penguins, seabirds, seals, whales and they’re right at the bottom of the food chain. So much of life down there is dependent on the sea ice and that is reducing due to global warming. What was your most difficult experience on your journey, both from the physical challenges and the mental and emotional challenges? For the crew there was one shoot that was really difficult, it was when we filmed the creatures on the seafloor underneath the sea ice. They had to drill a 3-metre hole in the sea ice and they had to jump in the water which is -2 degrees Celsius and it was pitch black. Typically, the team has to swim for about 20 minutes to get to their filming location, set up their cameras and keep them 60 > QATAR TODAY > DECEMBER 2019
running. But to get back to the drilled ice hole because the air is running out, the crew has to remember their way since GPS cannot work in the location. It was very difficult because the sea ice is moving along with the tide, which makes it very difficult for the team to find their way back. Speaking for the whole team, one of the difficult situations that we encountered was when we captured Weddell seals on top of the sea ice to capture the moment when the mother shielded her new-born pup from the strong winds caused by the storm. But then after three days, the storm was still going and it was very tough. For the mother, she can seek safety in the water away from the wind but that would entail leaving her pup because it can’t swim yet. So it was a very difficult decision to make for the mother because these are long-lived animals and they have a long pregnancy and they take a long time to breathe properly. So it’s very important to look after the young. So for the cameraman to be there to capture the moment when the mother leaves the pup to take refuge in the water, he had to endure some incredibly tough conditions. We often preach about climate change in the headlines everywhere, but it’s still difficult for some people to grasp this simply because they can’t see it every day. What is your take on this? We need to avoid it. Because I think if it’s unchecked there will be huge amounts of suffering, both in the natural world and within human society and that would be a terrible shame. Is it possible to avoid it? Yes, it is entirely possible. It’s just up to whether we want to make the change. But I think, nowadays, there’s a lot more evidence showing the effects of climate change.
There are lots of people around the world seeing forest fires happening frequently. Droughts are also having an impact on crops so if we see in the future few shortages, like certain countries have already experienced due to climate change, then that’s a very sad thought. There’s still hope out there. It’s not too late but we need to act fast. As a wildlife documentary, you are a witness to these tragic effects on the planet. How do you extend these emotions to the audience so that they may really understand the situation of climate change? The role of a wildlife documentary filmmaker is to document what’s happening to the natural world. So going out there just to record what is actually happening on the ground is already a big step because as you say there are lots of people who won’t make it down to the Antarctic so they won’t witness it for themselves. But it is important to show what is happening because that can influence change. As a child, I saw things on television that made me passionate about wanting to protect the natural world, wanting to protect our environment. Because I think all children see the beauty in wildlife. They’ve got so many questions about animals, about plants and the way it all works and the way it all holds together. And that fascination, that intrigue and wonder, is there from an early age, and I think that it’s there for all of us, it’s just sometimes we can get a bit disconnected because of our busy lives. So it’s important just to remind ourselves how special it is. We must take precautions so as not to lose it.
“THIS PERFECTLY ENCAPSULATES THE CONFUSION THAT THE NATURAL WORLD IS FACING BECAUSE THE CONDITIONS THAT THEY ARE LIVING IN ARE CHANGING SO MUCH.” FREDI DEVAS Filmmaker and Producer
SMART GRID AND RENEWABLE ENERGY KAHRAMAA AND TEXAS A & M ORGANISED THE SECOND THREE-DAY CONFERENCE ON SMART GRID AND RENEWABLE ENERGY (SGRE2019) IN DOHA FROM NOVEMBER 19.
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he conference was sponsored by Qatar National Research Fund (QNRF) and the Institute of Electrical and Electronics Engineers (IEEE), Industrial Electronics Society, Power Electronics Society, and Power & Energy Society, among others. The goal of the conference was to generate a long-term smart grid research agenda with renewable energy adaptation. This should lead to a smarter electric grid that is necessary for maintaining secured energy, rapid economic development, improved social lifestyle and a greener living environment. Furthermore, the conference generated awareness in the industries, engineers and
researchers about advanced smart grid technologies and their benefits, renewable energy resources and their integration with the smart grid, and information and communications technologies and their adoption in the smart grid. Eng Essa bin Hilal Al Kuwari, KAHRAMAA President, Chairman of the Smart Grid Centre at Texas A&M at Qatar and Honorary Chair of the Conference, delivered the keynote speech which highlighted the impressive economic growth that Qatar witnessed under the leadership of the Amir, His Highness Sheikh Tamim bin Hamad Al Thani. He also mentioned Qatar Smart Programme (TASMU), launched by the Ministry of
Transport and Communications, which is designed to accelerate the movement towards a digital economy and smart cities. Al Kuwari said: “This economic and digital growth increases energy demand and the need for an efficient energy infrastructure. Smart, innovative grids are key to the energy transformation required to meet Qatar’s climate and energy responsibilities.” KAHRAMAA finished its smart grid roadmap in collaboration with Texas A&M Engineering Experiment Station and Texas A&M at Qatar. Its smart grid vision is to transform Qatar’s grid into a secure, sustainable and digitally enabled grid that provides reliable and quality energy for our stakeholders by 2026. 61 > QATAR TODAY > DECEMBER 2019
culture > Green Scene He added: “Like any smart utility, KAHRAMAA faces challenges while upgrading its network. This includes the continuous need for investment, technology choice and upgrade, and cyber security issues. However, our grid is highly capable of monitoring and controlling all its assets and operations together with its networks of smart meters, renewable energy and electric vehicles, while optimising KAHRAMAA’s business and engaging its customers.” A successful example of KAHRAMAA’s grid upgrade is a condition monitoring
project of all substations, which achieved net savings of $36 million and reduced faults by more than 50%. Customers’ engagement has also improved with the Advanced Metering Infrastructure project. “More than 366,000 smart meters are installed in our grid, connected with multiple smart technologies, including fibre optics. Moreover, all KAHRAMAA meters will be smart by the end of 2020. KAHRAMAA’s smart efforts also include water sustainability and quality which encourages innovation and new technologies specially to decrease water losses and advanced desalination 62 > QATAR TODAY > DECEMBER 2019
techniques,” he said. He said Qatar was committed to the Paris Agreement goals to combat climate change and to mitigate greenhouse emissions effects. Qatar is currently preparing the first “carbon neutral” FIFA World Cup in 2022. “To further help in reducing emissions and diversifying energy sources, Qatar has set goals to increase the share of renewable energy. In this regard, KAHRAMAA will install the first mega photovoltaic station in Qatar with a capacity of 700 MW in 2022. KAHRAMAA is currently working to
finalise Qatar’s renewable energy strategy by the end of 2020. “Moreover, KAHRAMAA is currently installing a network of electric vehicle charging stations. This includes installing the first photovoltaic energy storage EV charging station as well as the first e-bus charging units in Qatar. Furthermore, policy and specifications are in final revisions with the support of the Ministry of Transport and Communications. In addition, KAHRAMAA has launched the National Programme for Conservation and Energy Efficiency (Tarsheed) which
was able to reduce carbon emissions by almost four million tons and achieve financial savings of almost half a billion dollars in 2018 through technical, legal and awareness initiatives,” he said. The conference looked at the importance of the integration of the smart grid and renewable energy resources in our lives. It explored the viability of such advanced technologies and brought together leading scientists, researchers and stakeholders from international and national research and governmental institutions, universities and industry to exchange information on
medium- to long-term research and future challenges of power electronics, smart grid and renewable energy. Attendees engaged in discussions on ongoing and future research toward nextgeneration power electronics, renewable energy technologies and applications, leading to research collaboration opportunities among participants. The event included an exhibition highlighting KAHRAMAA, Texas A&M Qatar, QNRF and other organisations and companies, highlighting their efforts and latest technologies in the field.
culture > Doha Diary
THE 7TH AJYAL
FILM FESTIVAL
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he six-day event presented an exciting slate of film screenings, events, exhibits and performances at Katara Cultural Village under the theme “Find Film, Find Life.” Ajyal kicked off with a festive redcarpet event, drawing distinguished guests, senior officials and dignitaries from Qatar, DFI board members, as well as renowned regional and international talent. Local dignitaries and members of the DFI Board of Trustees in attendance included HE Sheikha Al Mayassa bint Hamad bin Khalifa Al Thani, Chairperson of the Doha Film Institute; HE Dr Hamad bin Abdulaziz Al Kawari, Minister of State; HE Sheikh Thani bin Hamad bin Khalifa Al Thani, Member of the DFI Board of Trustees; and HE Issa bin Mohammed Al Mohannadi, Managing Director Barwa Real Estate and Vice-Chairman of the DFI Board of Directors. Filmmakers and creative talents included actor and producer, Chace Crawford, in partnership with beIN and Sundance TV, and British actor Kris Hitchen. The programme included 23 features and 73 shorts; 50 from the Arab World; 56 by women filmmakers and 19 DFI-supported films. This also includes the Middle East premier of
THE AJYAL FILM FESTIVAL, DOHA FILM INSTITUTE'S (DFI) ANNUAL CINEMA EVENT, PROVED A RESOUNDING SUCCESS.
the DFI co-financed film It Must Be Heaven (France, Canada, Palestine/2019) by awardwinning Palestinian auteur Elia Suleiman. To pay tribute to the Qatar-India Year of Culture 2019, a special “Made in India” programme was presented with an exciting programme of eight short films from the country and special screenings of Gitanjali Rao’s Bombay Rose (India, France, UK, Qatar/2019) supported by the DFI. The highly anticipated “Made in Qatar” programme presented by Ooredoo highlighted the works of 23 emerging Qatar-based filmmakers to nurture home-grown talents in support of the country’s robust national filmmaking industry. Its jury was comprised of Sudanese filmmaker Amjad Abu Alala, British actor Kris Hitchen and Qatari architect and urbanist Fatma Al Sahlawi. Ajyal 2019 hosted some key personalities in films, arts and government as part of its “Meet the Talent” and “Ajyal Talks” series. Jason Silva, in partnership with WISE, held an engaging discussion titled “How to Dream with Your Eyes Open”; HE Salah bin Ghanem Al Ali, Minister of Culture and Sports, addressed the jurors about the value of learning and
discovery to unlock unique opportunities for our youth; Qatari artist Bouthayna Al Muftah spoke on the inherent joy of creativity; while Palestinian auteur Elia Suleiman discussed his creative journey in cinema. On the side, the “Ajyal Creativity Hub”, “Geekdom” and “ARC” delighted visitors with exciting performances, exhibits and events throughout the festival. Electrifying performances from Doha’s underground music scene took centre stage at “Ajyal Tunes,” an exciting celebration of musical talents from every discipline, while SONY Cinema Under the Stars offered a unique cinematic experience to festival goers with enchanting night-time feature film screenings at the Museum of Islamic Art Park. Ajyal 2019 culminated in a festive closing night reception and awards ceremony, where the winners of the Ajyal Jury Competition and Made in Qatar Competition were announced. The jury comprised over 450 members from 45 countries, including 48 international jurors who travelled to Doha for the event. Jurors were divided into three age categories: Mohaq (8-12-year-olds), Hilal (13-17-yearolds), and Bader (18-21-year-olds) to evaluate a selection of shorts and feature films.
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culture > Doha Diary
“THE PLACE I CALL HOME” The British Council proudly presented a unique traveling exhibition which uses the medium of contemporary photography and film to explore what “home” means to young people living in the Gulf and the UK at a time of rapid change and social mobility.
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he Place I Call Home,” the title of the exhibition, is set to travel across seven countries over the span of six months. Exploring the theme of “home,” the work of the artists illustrates stories of culture and heritage, and challenges stereotypes whilst also exploring identities, commonalities and differences. The curator for the project and exhibition is David Drake, Director of Ffotogallery, the national photography agency of Wales. Drake has commissioned dynamic and emerging photographers and artists to produce work related to their experiences of living in the Gulf and UK. The exhibition in Doha features work that reflects unique experiences in Qatar by Qatari photographers Mashael Al Hejazi and Sara Al Obaidly, Brit Abi Green, and Colombian Sebastian Betancur-Montoya, as well as work that reflects the sense of home from photography shot in the UK and other Gulf countries by other selected artists.
QATARI TALENTS TAKES CENTRE STAGE Msheireb Museums and Qatar Art Centre announced a new collaboration to launch several events and exhibitions aimed at enriching the local cultural and artistic scene in Qatar.
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eld at Bin Jelmood House in the presence of the media and art aficionados, Msheireb Museums and Qatar Art Centre confirmed during the conference that the first event to take place under this new agreement will be “When I Remember the Past,” an art exhibition by Qatari artist Yousef Ahmedscheduled to kick off in January 2020. Dr Hafiz Ali, Msheireb Museums Director, said: “It is important for us to continue to share the stories of Qatar, of our past, present and future, and to do so through curated content by the community and local talent and their artistic endeavours is our intention.” 64 > QATAR TODAY > DECEMBER 2019
A BLOCKBUSTER LEARNING FESTIVAL Doha Learning Days (DLD), Qatar’s first experiential learning festival, soughtnumerous participants in its programme events.
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rganized by WISE, an initiative of Qatar Foundation (QF), the festival opened with a spectacular musical story performance, a collaboration between WISE, Qatar Reads, ACTory, and Qatar Music Academy. The delightfully original narrative story, developed by Qatar Reads, reflected the relationship between local culture and today’s modern technological world. The festival’s focus on innovative experiential learning for different abilities and aptitudes formed part of DLD’s aim to be a catalyst for education focused on re-centreing learning human values, deconstructing existing learning frameworks, and a process of relearning to build thriving societies.
ART AS A COMMON GROUND
As part of the Qatar-India Year of Culture 2019, Qatar Museums launched the “Where Cultures Meet: A Photographic Encounter Between Qatar and India” exhibition
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eld at Katara Cultural Village, the exhibition tells the story of two Qatari photographers – Hamad Al Shamari and Aisha Al Sadah – who travelled to the Himalayan region of Ladakh, India, for two weeks. The aim of the journey was to create an inspiring portfolio that will help foster mutual understanding and cultural relations between the two countries. Alongside it, two Qatar-based Indian photographers – Ajeesh Puthiyadath and Salim Abdulla – were selected as part of an open call to participate in the exhibition. The exhibition presents common themes like architecture, landscape, portraits and street life both in Ladakh – a remote land tucked in the valleys among barren mountains and where communities known for their tolerant and generous manner live in peace – and in Doha, a bustling metropolis made up of century-old markets and futuristic buildings that line its waterfront.
SOON For more information, please don't hesitate to call our Marketing manager, Mr. Sony Vellatt on 44550983 / 70707687 or sony@oryxpublishing.com 65 > QATAR TODAY > DECEMBER 2019