Sheikh Abdulla Bin Saoud Al-Thani GOVERNOR, CENTRAL BANK OF QATAR

THE BANKING SECTOR, with high level of capital and low delinquency rate remains safe, sound and solid. Proactive regulatory and a supervisory approach of QCB ensures smooth sailing of the financial sector during the challenging periods. Moreover, the banking sector has improved its funded liquidity by lengthening the maturity structure and expanding the geographical diversity of its external sources of funding. To mitigate the impact of the COVID-19 pandemic, the government had implemented a stimulus package of over 11% of GDP. Within this framework, market liquidity is ensured through QAR50-billion zero REPO facility. New credit facilities through a national guarantee scheme and deferring the repayment of loan installments helped the affected business units mitigate the business losses due to restrictions imposed to contain the spread of COVID-19 to a greater extent. Digital financing and other financial innovations are other focus areas for the banking sector during this period. Social distancing measures, shifting customer preferences, and continuously changing the technological environment provided the necessary momentum to these activities. QCB on its part is in the process of providing an enabling regulatory infrastructure, which defines the environment under which the financial sector should operate, while ensuring the protection of customers. To enhance digital financial transactions and support the social distancing measures, QCB launched the Qatar Mobile Payment System during the year, which provides a new and safe method for fast electronic payment.