ID :
170648
Thu, 03/24/2011 - 21:02
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http://m.oananews.org//node/170648
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10th GCC Banking Conference Kicks Off Under Patronage of HE Prime Minister
Doha, March 24 (QNA) - Under the patronage of HE Prime Minister And Foreign Minister Sheikh Hamad Bin Jassim Bin Jabor Al Thani , HE Governor of Qatar Central Bank (QCB) Sheikh Abdullah Bin Saud Al Thani inaugurated at the Ritz Carlton Doha Hotel here on Thursday the 10th GCC banking conference held under the title ,''The Gulf banking action and its role in development in the GCC members in light of present developments''.
The governors of banks and other monetary institutions in the Cooperation Council for the Arab States of ther Gulf (GCC) member states and a number of senior gulf banking officials are attending the conference .
In his opening address, HE Sheikh Abdullah Bin Saud Al Thani asserted that the complications of the global financial crisis which hit the world in 2008 has boosted the role played by the credit data centers in the GCC member states .''These centers will have, from now on , a bigger role for supporting and consolidating the banking activities and diminishing the size of hazards the banking sector is now witnessing, he said .
Elaborating the QCB Governor called for enhancing coordination , cooperation and reciprocating of expertise among the GCC data centers to help upgrade the gulf banks' activities and further enhance their future success.
Qatar Credit Bureau (QCB) inaugurated earlier Monday, has managed in a relatively short time to cover all data related to the individuals and corporations'sectors, said HE sheikh Abdullah Bin Saud Al Thani .
Highlighting the march of GCC joint action which sped up since 2002, HE the QCB governor said the GCC march has so far realized significant accomplishments including the ratification of the Gulf Common Market and the establishment of the Gulf Monetary Council but failed to issue the Gulf Common Currency.
HE Sheikh Abdullah Bin Saud Al Thani has called upon the parties concerned at the GCC general secretariat , the central banks, the GCC monetary agencies , the Gulf Monetary Council and the financial institutions to collectively act for translating aspirations and directives of the GCC leaders into thoroughly studied steps to materialize the cherished goals .
However , HE the QCB governor told the conferees that such issue will gain more concern and attention during the second session of the conference.
Ali Shareef Al-Emadi, QNB Group Chief Executive Officer said that the performance of the Gulf region's banking sector, the major indicators of the GCC banks' results showed notable improvement in 2010 comparing to that of 2009 in terms of total assets and profitability. For example, if you are to look at the 43 largest banks in the region, cumulative total assets rose by 8% in 2010 to 1047 billion dollars compared to the 5% increase registered in 2009.
Net profits meanwhile rose approximately 13% in 2010 to reach 17.4 billion dollars, against net profit growth of only 1.6% in 2009. This low figure was attributed to pressures on the sector s financing portfolio as a direct result of the financial crisis which to a certain extend impacted the countries in the region, he added.
He said in 2010, deposits rose by 8.3% to 701 billion dollars, compared to 7.6% in 2009. Although the growth rate of the region's financing portfolio is still low with a registered growth of 4.9% in 2010 comparing to 2.1% in 2009, we can expect to see a better performance in the upcoming year as economic recovery continues. The GCC region is expected to achieve 6% growth in 2011 compared to 4.5% in 2010.
He further said : Now, if you are to look at the total assets pool of over 1 trillion dollars, it s important to note that the largest bank in the region does not have assets exceeding $80 billion and there are only five banks that have in excess of $50 billion each and they are situated in only three countries, he noted adding that these figures show that banks in the region are relatively small compared to institutions in many other parts of the world. To overcome this, we must consider integrating the banking sector of the region to not just increase access to markets but also encourage consolidation. This will be a challenge not just for regulators but will also require extensive consultation and deliberation within the region s financial system to facilitate such mergers and acquisitions, he noted.
He said that the GCC s central banks have taken many significant steps to curb the impact of the financial crisis on the region.
Concluding, Al Emadi said: I would like to firstly thank the Qatar Central Bank for its efforts in this particular area and also say that this financial crisis has brought to light the important and indispensible role of regulatory bodies in maintaining the stability and integrity of the financial sector across the world. This crisis has also brought into sharp view the role of an effective governance system and prudent risk management.
With the GCC region looking to establish a single, dynamic market, we must all continue to seek to bring harmony and consistency in all areas of the sector, particularly in aligning the policies and laws governing financial institutions.
The governors of banks and other monetary institutions in the Cooperation Council for the Arab States of ther Gulf (GCC) member states and a number of senior gulf banking officials are attending the conference .
In his opening address, HE Sheikh Abdullah Bin Saud Al Thani asserted that the complications of the global financial crisis which hit the world in 2008 has boosted the role played by the credit data centers in the GCC member states .''These centers will have, from now on , a bigger role for supporting and consolidating the banking activities and diminishing the size of hazards the banking sector is now witnessing, he said .
Elaborating the QCB Governor called for enhancing coordination , cooperation and reciprocating of expertise among the GCC data centers to help upgrade the gulf banks' activities and further enhance their future success.
Qatar Credit Bureau (QCB) inaugurated earlier Monday, has managed in a relatively short time to cover all data related to the individuals and corporations'sectors, said HE sheikh Abdullah Bin Saud Al Thani .
Highlighting the march of GCC joint action which sped up since 2002, HE the QCB governor said the GCC march has so far realized significant accomplishments including the ratification of the Gulf Common Market and the establishment of the Gulf Monetary Council but failed to issue the Gulf Common Currency.
HE Sheikh Abdullah Bin Saud Al Thani has called upon the parties concerned at the GCC general secretariat , the central banks, the GCC monetary agencies , the Gulf Monetary Council and the financial institutions to collectively act for translating aspirations and directives of the GCC leaders into thoroughly studied steps to materialize the cherished goals .
However , HE the QCB governor told the conferees that such issue will gain more concern and attention during the second session of the conference.
Ali Shareef Al-Emadi, QNB Group Chief Executive Officer said that the performance of the Gulf region's banking sector, the major indicators of the GCC banks' results showed notable improvement in 2010 comparing to that of 2009 in terms of total assets and profitability. For example, if you are to look at the 43 largest banks in the region, cumulative total assets rose by 8% in 2010 to 1047 billion dollars compared to the 5% increase registered in 2009.
Net profits meanwhile rose approximately 13% in 2010 to reach 17.4 billion dollars, against net profit growth of only 1.6% in 2009. This low figure was attributed to pressures on the sector s financing portfolio as a direct result of the financial crisis which to a certain extend impacted the countries in the region, he added.
He said in 2010, deposits rose by 8.3% to 701 billion dollars, compared to 7.6% in 2009. Although the growth rate of the region's financing portfolio is still low with a registered growth of 4.9% in 2010 comparing to 2.1% in 2009, we can expect to see a better performance in the upcoming year as economic recovery continues. The GCC region is expected to achieve 6% growth in 2011 compared to 4.5% in 2010.
He further said : Now, if you are to look at the total assets pool of over 1 trillion dollars, it s important to note that the largest bank in the region does not have assets exceeding $80 billion and there are only five banks that have in excess of $50 billion each and they are situated in only three countries, he noted adding that these figures show that banks in the region are relatively small compared to institutions in many other parts of the world. To overcome this, we must consider integrating the banking sector of the region to not just increase access to markets but also encourage consolidation. This will be a challenge not just for regulators but will also require extensive consultation and deliberation within the region s financial system to facilitate such mergers and acquisitions, he noted.
He said that the GCC s central banks have taken many significant steps to curb the impact of the financial crisis on the region.
Concluding, Al Emadi said: I would like to firstly thank the Qatar Central Bank for its efforts in this particular area and also say that this financial crisis has brought to light the important and indispensible role of regulatory bodies in maintaining the stability and integrity of the financial sector across the world. This crisis has also brought into sharp view the role of an effective governance system and prudent risk management.
With the GCC region looking to establish a single, dynamic market, we must all continue to seek to bring harmony and consistency in all areas of the sector, particularly in aligning the policies and laws governing financial institutions.
