The Group Securities: Overview of Banks’ Consolidated Balance Sheet Data for June 2018

July 24, 2018

The Group Securities presents a detailed reading of banks' consolidated balance sheet figures as of June 2018, compared to the previous month of May. Figures show that banks' assets (and liabilities) increased by QR54.3 billion to QR1392.2 billion by the end of June, compared to QR1346.5 billion by the end of May, 6.6% higher than a year earlier, which represents an increase of QR86.4 billion.

Government and Public Sector:

Government and public sector deposits have increased by QR25.5 billion to QR313.3 billion. Government deposits recorded QR79.5 billion, and Government Institutions made QR187.4 billion, while the deposits of Semi-Government Institutions, in which government share is less than 100% and more than 50%, stood at QR28.5 billion. On the other hand, the total loans of the government and public sector increased by QR27.4 billion to reach QR330.8 billion, broken down as follows:

·         Government: QR163.4 billion, down by QR15.5 billion;

·         Government institutions: QR147.1 billion, an increase of QR0.2 billion;

·         Semi-governmental institutions: QR20.3 billion unchanged from last month.

In addition to the foregoing, figures suggest that the balance of government bonds and bills increased by QR5 billion to QR153.3 billion. As a result, the total domestic public debt (government, government institutions and semi-government institutions) as well as bonds, bills and sukuk climbed by QR22.3 billion to QR484 billion.

Private Sector:

The total domestic private sector deposits at local banks decreased by about QR3.3 billion to QR342.9 billion, by the end of June. Total domestic loans and credit facilities provided by banks to the local private sector increased by QR11.4 billion to QR499.4 billion; out of which QR148.1 billion for the real estate sector (an increase of QR2.7 billion), QR128.9 billion for individuals’ consumer loans (up by QR1.8 billion), QR88.3 billion for services (up by QR6.4 billion) and QR70.5 billion for trade (up by QR0.9 billion). In addition, there were loans and facilities amounting to QR13.8 billion for the non-banking financial sector (down by QR3.3 billion).

Foreign Sector:

Commercial banks' investments in securities outside Qatar stood still at QR17.5 billion, and their assets at foreigner banks increased by QR0.8 billion to QR78.7 billion. Local banks' loans to foreign parties dropped by QR2 billion to QR85.8 billion, and their investments in foreign companies decreased by about QR0.3 billion to QR39.9 billion. Moreover commercial banks' other assets outside the country increased slightly by QR4 billion.

In contrast, foreign banks deposits from local banks increased by QR203.6 billion. Domestic banks' foreigner debt, in the form of bonds and certificates of deposit, increased by QR1.8 billion to QR52.2 billion. The balance of foreign deposits at Qatari banks decreased by QR8.1 billion to QR150.1 billion.

By comparing domestic and foreign assets with liabilities, we deduce that net liabilities of the banking sector to foreigner entities by the end of June amounted to QR175.3 billion.