The Group Securities: Overview of Qatari Economy Statistics in September 2018

Trade surplus improves, population rises and inflation climbs slightly

October 04, 2018

The Group Securities presents figures of the Qatari economy as reflected in the data available by the end of September 2018. Data includes population and inflation figures, Qatar Stock Exchange Indices, oil prices in relation to the approved price in the public state budget, and the banks’ consolidated balance sheet. The illustrative infographic sums up the key economic data to present a snapshot of the economic situation prevalent till the end of September compared to the previous two months – except for some data relating to August only.

1-      By the end of September, local population increased – due to the return of expatriates from their annual leaves - by about 158,000 people to a total of 2.718 million, compared to 2.560 million at the end of the previous month of August. On an annual basis, the populace increased by 3.2%, compared to 2.634 million by the end of September 2017.

2-      QSE’s General Index decreased by about 73.1 points to settle at 9813 points by the end of September. Although, the total value of traded shares increased by QR1.28 billion to QR4.46 billion, the total capitalization increased by QR1.1 billion to QR547.4 billion by the end of September, and the P/E ratio climbed to a multiple of 13.87, compared to 13.75 in August.

3-      U.S. Dollar exchange rate increased - along with the Qatari Riyal - against the Euro to the level of US $1.16 per Euro by the end of September, and climbed against the Yen to ¥113.8 per U.S. dollar.

4-      The price of Qatar's onshore oil increased by about US $5.5 to hit US $79.5 a barrel in September, due to the impending US sanctions on Iran oil exports. Thus, in the middle of September, the price per barrel remained above the 2018 budget price by about US $34.5 per barrel.

5-      Inflation data for September has not yet been released. August’s data, on the other hand, showed inflation increasing by 0.6%, from 0.2% recorded in the month of July. Changes in subgroups were as follows (compared to the same month in 2017): telecommunication decreased by 11.86%, housing and fuel decreased by 3.27%, food and beverages dropped by 2.6%. In contrast, transport increased by 8.4%, health climbed by 4.27%, furniture and appliances by 2.67%, education by 2.44%, entertainment and culture by 2.07%, while restaurants and hotels rose by 1.74%.

6-      Trade Balance data for September has not yet been released. August’s data however showed a trade surplus of QR17.5 billion, an increase of QR5 billion, or 39.5% compared to the same month in 2017, and an increase of QR0.6 billion or 3.7% compared to the previous month of July.

7-      Banks’ consolidated balance sheet for September has not yet been released, but that of August showed a drop of about QR4 billion in the total assets to QR1383.3 billion; and the increase of the total government and public sector credit, including bonds by QR1.6 billion, settling at QR466.1 billion. The private sector credit increased by about QR2.44 billion to the level of QR505.8 billion.