File photo used for representation only.
The Cabinet’s approval to increase percentage of non-Qatari capital ownership in major banks (QNB, Qatar Islamic Bank, Commercial Bank, Masraf Al Rayan) to reach 100 percent was welcomed by Qatar Stock Exchange (QSE) Chief Executive Officer Rashid bin Ali Al Mansoori, in a recent tweet.
“We welcome the approval of the cabinet to increase the percentage of foreign ownership in four local banks to 100 percent, as this would contribute to increasing investment flows. The decision is expected to enhance the country’s economic activity and attract overseas funds in efforts to diversify the economy,” Al Mansoori tweeted.
Prime Minister and Minister of Interior H E Sheikh Khalid bin Khalifa bin Abdulaziz Al Thani chaired the Cabinet’s regular meeting last week, where it approved to increase the percentage of non-Qatari ownership in the capital of major banks to reach 100 percent. At the Amiri Diwan meeting, the Cabinet approved increasing the percentage of non-Qatari ownership in the capital of the Qatar National Bank (QNB), Qatar Islamic Bank (Al Masraf), Commercial Bank and Masraf Al Rayan to reach 100 percent.
This is in accordance with the provisions of Article 7 of Law No.1 of 2019 on regulating the investment of non-Qatari capital in economic activity.
The net profit of all the companies listed on QSE for the period ending on June 30, 2021, amounted to QR20.5bn, compared to QR16bn for the same period last year (2020), with an increase of approximately 28.31 percent.
According to QSE official website, QNB Group intends to recommend to the Extraordinary General Assembly of the Bank, to approve increasing the percentage of non-Qatari ownership in the Company’s capital to 100 percent instead of 49 percent in accordance with the applicable laws and subject to approval of the concerned regulators.
An Extraordinary General Assembly will be convened to present and approve the proposed amendment to QNB’s Articles’ of Association by adding an agenda item in respect of the above after securing the appropriate regulatory approvals of the proposed amendment.
Global index provider FTSE Russell has also recently included three new Qatari companies - Baladna, Doha Insurance Group and Qatar Industrial Manufacturing - under its micro cap category, FTSE Russell has announced in its Global Equity Index Series September 2021 Semi-Annual Index Review on August 20, according to the QSE website.
