Islamic finance assets in Qatar grew by 20% in 2021, reaching QR 629 billion, said researcher Bait Al Mashura.
Islamic banks accounted for 87% of these assets while Islamic sukuk accounted for 11.6%, takaful insurance companies 0.8%, and the remaining share is split between investment funds and other Islamic financial institutions , said Bait Al Mashura in his “2021 Islamic Finance Report”. released on Saturday.
The increase in Islamic finance assets in Qatar in 2021 is mainly the result of the increase in the size of Islamic banking assets after the successful merger between Masraf Al Rayan and Al Khaleej Commercial Bank, Bait Al Mashura said.
In Islamic banking, assets of Islamic banks increased in 2021 by 12.6% to reach QR 507.4 billion, deposits with Islamic banks jumped by 17.5%, private sector deposits accounted for 54% and financings increased by 8.7%, more oriented towards the government sectors and real estate, followed by personal finances. Islamic Banks’ revenue increased by 2.6% and its profit amounted to about QR 7.5 billion with a growth rate of 10.7%.
In the takaful insurance sector, policyholder assets amounted to QR 2.3 billion with a growth rate of 4.4%, and insurance premiums amounted to QR 1.4 billion , an increase of 7.4%, and insurance surpluses amounted to approximately QR 113 million.
In Islamic finance companies, their assets amounted to QR 2.5 billion, down 3.6%, while their funding decreased by (8%), and their revenue amounted to QR 220 million. QR, a decrease of (9.2%).
In Islamic sukuk (with the resumption of sukuk issued by the Central Bank of Qatar), issued sukuk (government and Islamic bank sukuk) amounted to 10.38 billion QR, with a growth rate of 30, 2%, including 73.7% of government sukuk. total sukuk issued.
According to available data on Islamic investment funds, the assets of these funds stood at QR 862 million with a growth rate of 5.8%, and their performance was uneven in 2021.
On the Qatar Stock Exchange, Al Rayan Islamic Index performed positively, closing up 10.48%, and shares of all Islamic finance companies performed positively, and their shares rose during the year 2021 at rates between (1.8% – 89.7%).
Dr. Khalid bin Ibrahim al-Sulaiti, Vice Chairman of the Board of Bait Al-Mashura Finance Consultations, said, “The Qatar Islamic Finance Report” monitors the performance of Islamic financial institutions in Qatar, including Islamic banks and takaful insurance companies. , and Islamic finance and investment companies.
In addition, the report examines the performance of Islamic financial products represented in Islamic investment funds and sukuk and tracks developments in the Islamic financial market.
“At Bait Al-Mashura, we are proud to be an active member of the Islamic finance process in Qatar and around the world, which is seeing a remarkable increase in demand for its services and products. We are keen to provide knowledge and professional support to the Islamic finance industry to serve our local community, and all researchers and those interested in the Islamic finance industry in Qatar.
Al-Sulaiti pointed out that the success of institutional performance is preceded by the belief in the idea and the sacrifice for its realization, and that Islamic finance emerged as a corrective and developmental idea that addresses the issue of money and of its development within the framework of a good sharia. environment that enables goals and objectives to be achieved.
“Therefore, it was incumbent on all Islamic finance institutions, workers and scholars not to omit the purposive goals of the big idea to achieve the development and welfare of the individual and society,” noted al-Sulaiti.