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As Qatar’s population and economy have expanded in recent years, demand for utilities has also been increasing rapidly. Power and water consumption have recorded average growth rates of 10.4% and 7.7% a year, respectively, over the last half-decade, according to the country’s main utilities authority, the Qatar General Electricity and Water Corporation (Kahramaa). Such growth has prompted the government to pursue a range of expansion projects to raise capacity, many of them with foreign and private sector help, from pilot solar power projects to a large new power and water plant under way at Umm Al Houl. The drop in oil prices, meanwhile, is unlikely to severely hamper development of the sector, which has strong state backing and is supported by commitments in Qatar National Vision 2030 to provide first-rate public services – something it is doing increasingly via public-private partnerships. This chapter contains an interview with Khalid Mohammed Jolo, CEO, Nebras Power.

The year 2015 was a challenging one for Qatar’s oil and gas industry. The state saw its hydrocarbons revenues, which account for a significant portion of its income, significantly impacted as an ongoing global oil price plummet accelerated, with crude oil losing over two-thirds of its value between June 2014 and January 2016. The price slump extended into 2016, driven by soaring global reserves and rising output from the US and Iran. Despite these challenges, Qatar is better positioned than many. The world’s fourth-largest producer of dry natural gas and largest producer of liquefied natural gas (LNG), it has benefitted from over a decade of targeted investments that have allowed expansion into value-added gas-to-liquids (GTL) and condensate production, with a planned new helium production project indicating long-term confidence in GTLs. Although state-owned Qatar Petroleum underwent major restructuring during the first half of 2015, it is slated for medium-term growth after launching a new strategy targeting investment in foreign production projects. This chapter contains interviews with Mohammed bin Saleh Al Sada, Minister of Energy and Industry; Sheikh Khalid bin Khalifa Al Thani, CEO, Qatargas; and Hamad Mubarak Al Muhannadi, CEO, RasGas.

In recent years Qatar’s insurance sector has expanded swiftly on the back of government spending, economic development and a steadily increasing awareness of the benefits of coverage. Between 2005 and the end of 2015 the industry posted a compound annual growth rate (CAGR) of 21%, according to data from Moody’s. By the end of 2014 Qatar was the third-largest insurance market in the region, accounting for around 10% of premiums written in the GCC. Given that insurance growth tends to track overall economic growth and that Qatar’s economy is largely driven by the state, the recent jump in insurance activity will likely continue at least until 2022, when Qatar is scheduled to host the FIFA World Cup. Indeed, according to forecasts by Alpen Capital, the market is expected to increase at a CAGR of 17.8% from 2014 to 2020, which would make it the fastest-growing insurance sector in the GCC by current estimates.

In recent years Qatar’s Islamic financial services (IFS) sector has expanded rapidly, on the back of government support and growing interest among domestic corporations and individuals alike. While tightening liquidity has the potential to result in slightly curtailed growth across the banking sector as a whole in 2016-17, sharia-compliant lenders are widely considered to be in a better position than their conventional counterparts to continue to grow during this slower period. Recent figures reinforce this perception, with Qatar’s four national Islamic banks posting overall asset growth of 17.5% between January 2015 and January 2016, compared with 14.4% growth in the conventional banking segment during the same period, according to the most recent data from the Qatar Central Bank (QCB). This chapter contains interviews with Khalid Yousef Al Subeai, Acting Group CEO, Barwa Bank; Abdulbasit Ahmed Al Shaibei, CEO, Qatar International Islamic Bank; and Basel Gamal, Group CEO, Qatar Islamic Bank.

After a banner year in 2014, Qatar’s capital markets endured a period of volatility in 2015. The Qatar Stock Exchange (QSE) ended 2015 down around 15% on the previous year, according to data from the exchange. Market participants and observers alike attributed the drop to fluctuating investor sentiment linked to the continued decline of energy prices, contracting government spending and tightening banking sector liquidity across the GCC region and further afield. Despite these and other challenges, in 2015 and 2016 thus far Qatar’s capital market has developed rapidly, with the QSE rolling out new products, upgrading trading tools and laying the groundwork for future growth across a range of market segments. This chapter contains an interview with Abdulla bin Fahad bin Ghorab Al Marri, Chairman, Qatar First Bank.

After half a decade of strong growth, Qatar’s banking sector is well positioned to weather regional economic volatility in 2016. As of the end of the first half of 2015 the country was home to the third-largest banking industry in the GCC, boasting total assets of $293bn. The sector consists of 18 institutions, including six domestic conventional lenders; Qatar Development Bank, which provides services for small and medium-sized enterprises; four domestic sharia-compliant banks and seven foreign institutions. Banking assets are highly concentrated in the domestic market, with the top five local institutions accounting for more than three-quarters of total sector assets, according to data from Qatar National Bank, the largest bank in the country by a significant percentage, and one of the largest financial institutions in the Middle East. This chapter contains interviews with Sheikh Abdulla bin Saoud Al Thani, Governor, Qatar Central Bank; Raghavan Seetharaman, Group CEO, Doha Bank; and Fahad Al Khalifa, Group CEO, Al Khaliji.