The Qatari economy has witnessed significant development in various economic and social fields over the past years, supported by a government policy that was keen to adopt the principle of a free economy based on market forces, and this is evident in the country’s economic map that came in harmony with global economic developments, and in line with the economic interest. This is also evident in the development achieved by the banking and financial system and the extent of its response to the achievements made by the Qatari economy at the level of macroeconomic variables.
Qatar Central Bank
The Qatar Central Bank was established in 1993 and the law gives the bank the powers to work in the areas of issuing cash and work as a bank for the government and for banks in addition to its main function in the field of monetary policy management. The bank’s paid-up capital has been raised to match the development in the financial and banking sector in the Country.
Qatar Stock Exchange
The Qatar Stock Exchange (formerly Doha Securities Market) was established under Law No. (14) of 1995, and began its activities on the twenty-sixth of May 1997, and on September 14, 2005, Law No. (33) was issued, and amended by Decree-Law No. 14 of 2007 With regard to the Qatar Financial Markets Authority and the Doha Securities Market Company, which stipulates the establishment of both the authority and the market, and in accordance with this law, the authority shall assume the legislative and supervisory side, while the market’s role is executive with regard to trading shares, transferring their ownership and conducting financial settlements between brokers.
The market entered a new phase that started with the issuance of Law No. (33) for the year 2009, which resulted in the transformation of the Doha Securities Market into a joint-stock company under the name (Qatar Stock Exchange), with the aim of creating a new shift in its structure that would transform it into a global exchange operating according to the latest systems. . In order to implement this vision, the decision was to enter NYSE Euronext as a strategic partner of 20%, so that the Qatar Stock Exchange would start its activities under the new name starting from 21/6/2009.
Stock market investment systems
The citizens of the Gulf Cooperation Council countries were allowed to invest in the industrial and services sectors at a rate not exceeding 25%, and the Honorable Council of Ministers approved on the 29th of May 2002 the draft investment funds law that allows non-Qataris to invest in all joint-stock companies listed in the market. Some of these funds were established, including the (Al Wasila) Fund, the (Watani 2) Fund, and the (Qatar Gate) Fund, in addition to the market opening the door for investment in the shares listed on the Market to non-Qatari investors in the implementation of Law No. (2) of 2005 amending some provisions Law No. (13) of 2000 regarding the regulation of foreign capital.
Qatar Financial Market Authority
It is an independent supervisory body that supervises the Qatar Stock Exchange and regulates activities related to dealing with securities in the Qatari capital market, and seeks to lay solid foundations for creating a capital market in the State of Qatar at the best international levels to enable it to ascend a leading position in the region.
(20) commercial banks operate in the State of Qatar, of which (12) are commercial national banks, (4) of which operate in accordance with the provisions of Islamic Sharia law, and these banks operate through (223) local branches.
Exchange companies play an important role in meeting local needs of foreign currencies and precious metals for various purposes, especially those related to meeting unforeseen economic transactions. The number of exchange companies operating in Qatar has reached about (20) companies.
The insurance sector is considered one of the important components of the financial and banking system, and the necessity of insurance has increased with the increasing complexities of daily life, especially economic activities, where the rate of risk and losses has reached high levels, and insurance services have diversified to cover different types of risks such as insurance against accidents, fire, marine, and land insurance, and insurance The number of insurance companies is (10), five of them are national and the other five are agencies or branches of Arab or foreign insurance companies.