Latest news with #QFC
Fintech News ME
2 days ago
- Business
- Fintech News ME
Qatar Islamic Fintech Sector Hits US$2.7B, Set to Reach US$4.4B by 2028
Qatar, a key player in the regional and global Islamic finance industry, is experiencing strong growth in its Islamic fintech sector. This momentum is projected to continue through 2028, with the industry expected to expand at an annual growth rate of 10%, according to a new report by Qatar Financial Centre (QFC) and the London Stock Exchange Group (LSEG). Qatar's Islamic fintech transaction volume reached nearly QAR 10 billion (US$2.7 billion) in 2024, growing at a compound annual growth rate (CAGR) of 26% from QAR 3 billion (US$824 million) in 2020. Volumes are projected to reach QAR 16 billion (US$4.4 billion) by 2028. According to the report, payments and enabling technologies currently stand as the largest segments of Qatar's Islamic fintech market in terms of the number of companies. This reflects the rising popularity of e-commerce, mobile wallets, and contactless payment solutions. Meanwhile, enabling technologies like blockchain and artificial intelligence (AI) are playing a critical role in modernizing Qatar's financial services sector and enhance the overall financial infrastructure. The digital assets and blockchain segments are also growing in importance, underscoring the region's push to integrate advanced financial instruments within the framework of Islamic finance. Blockchain, in particular, is seen as an attractive technology for enhancing transparency and security, key pillars that align with Islamic finance's emphasis on ethical and transparent financial practices. Strategic initiatives The growth of fintech in Qatar has been underpinned by a series of strategic initiatives and supportive measures. The Qatar Fintech Hub (QFTH), founded by Qatar Development Bank (QDB) in collaboration with the Qatar Central Bank (QCB) in 2020, was created to foster innovation and growth in the fintech sector. The hub supports fintech startups through its incubator and accelerator programs, and provides startups with essential resources, including mentorship and network opportunities. In the same year, the central bank launched a regulatory sandbox for promising fintech solutions, enabling faster market entry, reduced testing periods, and a more streamlined evaluation process. In 2023, the QCB launched the Qatar Fintech Strategy to enhance the competitiveness of its financial sector. The strategy targets several key segments, including digital payments, regtech, insurtech, wealthtech, blockchain and cryptocurrencies, and cybersecurity, and prioritizes developing a pioneering infrastructure and a supportive environment for fintech. The QFC Digital Assets Lab was launched the same year, providing a platform for innovation, research, and development within the field of distributed ledger technology (DLT). Separately, the QCB has made significant progress on its central bank digital currency (CBDC) project, completing the infrastructure for the digital currency and commencing its first pilot in 2024. Supportive regulations In addition to these initiatives, the central bank has introduced a range of regulations designed to accelerate the digital transformation of the financial services industry and expand the scope of fintech solutions in Qatar. These regulations include the Payment Services Regulation, introduced in 2021 to formalize the licensing and supervision of payment service providers; the E-KYC Regulations issued in 2023 to streamline customer onboarding and verification processes through electronic methods, enhancing security and efficiency in identity verification; DLT Guidelines, published in July 2024 to provide a clear regulatory framework for the use of distributed ledger technology in the financial sector; and the Artificial Intelligence Guidelines, issued in September 2024. Other notable regulations issued in 2024 include the Buy Now, Pay Later (BNPL) Regulations, which set licensing requirements and consumer protection measures for such providers, and the Loan-Based Crowdfunding Regulation, which aims facilitate short-term financing for small and medium-sized enterprises (SMEs) through innovative financial platforms. BNPL, blockchain, digital banking among top trends The report also highlights emerging trends and opportunities shaping Qatar's Islamic fintech landscape. First, it emphasizes the potential of BNPL services. Islamic finance principles, which prohibit interest and emphasize ethical lending, align well with the BNPL model's interest-free structure. By integrating BNPL services within a Shariah-compliant framework, fintech companies in Qatar can deliver compelling solutions that combine financial inclusivity with adherence to Islamic principles. Digital-only Islamic banking is another growing trend, with the number of digital-only Islamic banks in the region increasing. This industry is being driven by robust digital infrastructure and growing demand for Shariah-compliant financial services. In Qatar, the opportunities for setting up digital-only banks are promising, supported by a conducive regulatory environment and a high level of digital adoption among the population. Furthermore, the central bank has introduced several regulatory enablers to facilitate the entry of new digital fintech players, including a digital bank regulatory framework. Another trend outlined in the report is the potential of blockchain to create new avenues for growth and resilience in the Islamic finance industry. For example, blockchain can facilitate Shariah-compliant microfinance services, lowering transaction costs and broadening access to financial services. The technology can also improve the efficiency and transparency of Zakat and Sadaqah transactions, which are both forms of charity, ensuring that funds are swiftly and accurately distributed to those in need. Additionally, blockchain can be leveraged for more efficient issuance and trading of sukuk, which are Shariah-compliant financial certificates similar to bonds, increasing their liquidity and attractiveness to investors. Qatar is a prominent player in the global Islamic finance scene, with total assets in the country reaching QAR 694 billion (US$191 billion) by the end of 2024. According to the Islamic Financial Services Board (IFSB), the global Islamic financial services industry reached US$3.8 trillion in total assets in 2024, meaning that Qatar accounted for approximately 5% of the global market share.
Zawya
16-07-2025
- Business
- Zawya
QFC, ILO urge multi-pronged strategy to boost Qatar financial sector
Qatar - A multi-pronged strategy - which includes strong industry-academia collaboration, targeted upskilling and reskilling and enhanced workforce inclusion - has been recommended by the Qatar Financial Centre and the International Labour Organisation (ILO) to strengthen the competitiveness and sustainable growth of Qatar's financial sector. Stressing that bridging the gap between education and labour market needs requires more than ad hoc co-ordination; the joint report of the QFC and the ILO suggested that relevant stakeholders must institutionalise co-operation mechanisms to ensure sustained alignment of supply and demand. In this regard, it said there is a need to establish structured engagement platforms involving QFC, financial institutions such as the Qatar Investment Authority, local banks, universities, and training providers to co-design curricula that reflect industry needs, especially in fintech, risk management, and data analytics. Highlighting the need for leveraging the newly established Financial Sectoral Council as the formal co-ordination body for this dialogue; the report said with representation from the Ministry of Labour, Ministry of Education and Higher Education, Qatar's universities, Qatar Career Development Center, and other key stakeholders, the council can lead on defining skills priorities, setting qualification frameworks, and overseeing workforce planning. It suggested expanding joint academic-industry programmes, including dual education pathways, executive education courses, and industry-endorsed certification programmes. There is a need to ensure frequent curriculum reviews are aligned with evolving global trends, regulatory shifts, and digital transformation in the financial sector as well as to promote applied research collaborations among academia, industry, government, and global organisations to support evidence-based policymaking and innovation. Elaborating on the targeted upskilling and reskilling programmes; the joint report suggested addressing skills deficiencies and preparing the workforce for technological advancements, targeted training initiatives should be prioritised on high-impact areas. It recommended incentivising firms to adopt structured in-house training programmes, particularly for mid-career professionals, possibly through cost-sharing schemes; and designing modular training programmes tailored to support various stages of professional development, entry-level, midcareer, and senior leadership, with a focus on digital skills, regulatory compliance, and financial innovation. It also suggested improving Arabic proficiency among technical professionals through bilingual training to enhance communication and inclusion; and integrating mentorship and leadership development frameworks, especially for women and Qatari talent, to enhance retention and progression to senior roles. The QFC-ILO report suggested partnering with global institutions to deliver specialised programmes on emerging technologies and areas such as AI (artificial intelligence), business intelligence tools, blockchain, cybersecurity, and ESG (environmental, social and governance) finance. On enhancing workforce inclusion; it suggested fostering an inclusive workforce, promoting a diverse participation within the workforce is essential for long-term sustainability and competitiveness. There is a need to design targeted recruitment campaigns for underrepresented groups, particularly women, highlighting career pathways, flexible working options, and purpose-driven roles in finance; expand access to scholarships, internships, and entry level programmes for women and young Qataris, building early exposure to financial sector careers; and establish inclusive leadership and mentoring programmes that reflect gender-sensitive approaches and support retention. There is also a need to create sector-specific incentives, such as in-work benefits, career development programmes, and flexible work models, to attract and retain national talent in high demand areas; and develop internal mobility frameworks within QFC institutions to support progression and reduce turnover. © Gulf Times Newspaper 2022 Provided by SyndiGate Media Inc. (
Zawya
03-07-2025
- Business
- Zawya
Qatar aims to develop pioneering open banking ecosystem, says QFC report
Doha seeks to develop a pioneering ecosystem that expands open banking capabilities, supported by advanced frameworks and API (application programming interface) platforms, according to a Qatar Financial Centre (QFC) report. 'This will enhance the regulatory environment and support digital banking, crowdfunding, and emerging technologies,' QFC said in its Islamic Finance Report. Highlighting that QNB launched its open banking platform in 2022; it said this platform, the first of its kind in Qatar and one of the first in the region, allows customers, partners, and fintechs to securely access the bank's core systems, enabling a seamless banking experience. In May 2024, QNB expanded its open banking services to corporate clients, further enhancing its offerings. QNB's partnership with Ooredoo on the Ooredoo Money service exemplifies successful open banking and fintech collaboration. Open banking is a financial services model that allows third-party service providers to access consumer data from traditional banking systems through APIs. Open banking has the potential to revolutionise the country's financial services sector as it allows new entrants into the market, open up new opportunities for startups and fintechs. The QFC report said open banking can benefit Islamic banks by enabling personalised, Shariah-compliant financial products and fintech solutions, such as real-time Zakat calculation apps. By using APIs to aggregate financial data from multiple sources, Islamic banks can offer tailored Shariah-compliant investment portfolios, including products like sukuk and equity funds. This integration can enhance customer experience and financial inclusion, and drive innovation in Islamic financial products, it said. Open banking is rapidly transforming the financial landscape in the GCC (Gulf Co-operation Council) region. This trend involves financial institutions granting third-party providers access to consumer-banking transactions, and other financial data through APIs, according to the report. Open banking securely integrates a bank's core financial services with its partners', facilitating data sharing and payments between organisations. This integration enables the creation of new financial products and services, enhancing customer experience and fostering innovation the report said. Leveraging fintech partnerships and open banking initiatives will drive digital transformation and innovation in the Islamic banking sector going forward, while expanding sustainable Islamic banking offerings will support Qatar's decarbonisation and just transition efforts, according to the report. Further advancing their digital transformation agendas, Islamic banks have begun integrating more advanced technologies such as AI or artificial intelligence, machine learning, and blockchain into their operations. Banks in Qatar have begun to embrace open banking as a crucial initiative to enhance customer satisfaction. By launching open banking platforms, these institutions are providing an enhanced banking experience to their customers, as well as partners and emerging fintech players in Qatar, a PricewaterhouseCoopers study had said. © Gulf Times Newspaper 2022 Provided by SyndiGate Media Inc. (
Qatar Tribune
30-06-2025
- Business
- Qatar Tribune
QFC, QU strengthen leadership pipeline with strategic visit from College of Business and Economics
Tribune News Network Doha The Qatar Financial Centre (QFC), a leading onshore financial and business hub in the region, welcomed participants of the Executive Master's in Leadership programme at Qatar University's College of Business and Economics. The visit is part of QFC's collaboration with Qatar Leadership Centre to familiarise emerging Qatari leaders with the inner workings of Qatar's financial ecosystem through an immersive educational experience. Hosted at the QFC Tower 1, the third cohort of participants who visited the organisation engaged in interactive sessions with senior QFC leaders, gaining an in-depth understanding of QFC's mandate, services, and strategic role within Qatar's business and financial landscape. The visit covered key sectors including financial services, professional services, Islamic finance, and fintech. Highlights of the day included expert-led presentations from QFC and QFCRA professionals, a guided tour of the QFC's Tech Circle and the Ministry of Interior desk, as well as a visit to the Qatar International Court and Dispute Resolution Centre (QICDRC), acquainting the future leaders with the institutions contributing to Qatar's financial and regulatory environment. Commenting on the importance of this visit, QFC Chief Financial and Tax Officer Hamed Al Saadi said, 'We are proud to welcome the next generation of Qatari leaders and to offer them valuable insight into QFC's pivotal role in developing Qatar's business and financial ecosystem. This visit underscores our ongoing commitment to nurturing national talent and advancing the Human Development pillar of Qatar NationalVision 2030.' Qatar University College of Business and Economics Professor Yasir Fadol, 'As part of our commitment to experiential learning and bridging academic knowledge with practical experience, we were pleased to visit the Qatar Financial Centre during the residency week of the Executive Master in Leadership. 'This valuable engagement, now in its third iteration, provided our students with an exceptional opportunity to interact with national leaders, gain firsthand insights into institutional strategies, and explore real-world challenges and successes. Such experiences are instrumental in equipping future leaders with the critical skills and contextual understanding needed to lead effectively within Qatar's evolving economic landscape.' The collaboration underscores QFC's commitment to knowledge exchange and talent development, aligning with its mission to support a diversified, knowledge-based economy. By hosting students from Qatar Leadership Centre, whose programmes are designed to prepare high-potential Qatari professionals for future leadership roles, QFC strengthens the link between national leadership development and economicinnovation.
Zawya
24-06-2025
- Business
- Zawya
Takaful outpaces conventional insurers during 2020-24: QFC
'While gross written premiums (GWP) for conventional insurance declined by 5.2%, takaful GWC (gross written contributions) grew at a CAGR (compound annual growth rate) of 13.5%. This growth trajectory underscores an increasing preference for Shariah-compliant insurance products in Qatar,' said a QFC report on Islamic Finance. Islamic insurance in Doha outpaced conventional risk cover providers during 2020-24 and the wave of mergers and acquisitions in the Gulf takaful sector presents 'significant' opportunities for the Qatari players to expand their market presence and diversify their portfolios, according to a Qatar Financial Centre (QFC) report. 'While gross written premiums (GWP) for conventional insurance declined by 5.2%, takaful GWC (gross written contributions) grew at a CAGR (compound annual growth rate) of 13.5%. This growth trajectory underscores an increasing preference for Shariah-compliant insurance products in Qatar,' said a QFC report on Islamic Finance. Highlighting that Qatar's takaful sector has demonstrated notable growth and resilience between 2020 and 2024; it said GWC reached $1.9bn by the end of 2024. 'This figure, while modest compared to the conventional insurance sector, highlights the steady presence and gradual expansion of takaful in the Qatari market,' it added. Growth in the takaful sector has been fuelled by several key factors. These include a rising awareness and demand for Shariah-compliant financial products, supportive regulatory frameworks, and the overall economic development in Qatar, according to the report. The sector has also benefited from increased marketing efforts and the introduction of innovative and tailored takaful products, it added. The share of takaful's contribution to total GWP in Qatar nearly doubled from 2020 to 2024, from 6% to 11%, indicating a shifting landscape where takaful is becoming more significant in Qatar's insurance industry. 'Still, the niche nature of takaful can limit its market penetration compared to conventional insurance. Additionally, conventional insurers often have more aggressive marketing strategies and a wider range of products, which further strengthens their market share,' it said. Highlighting that Qatar's insurance sector includes 26 firms regulated by both the Qatar Central Bank and QFC Regulatory Authority; it said there are five independent takaful companies among them: Qatar Islamic Insurance Company, Al Khaleej Takaful, Beema, General Takaful Company (part of Qatar General Insurance and Reinsurance Company), and Doha Takaful Company (part of Doha Insurance Group). Several takaful companies are authorised to operate under the QFCRA, including MedGulf Takaful and Seib Insurance and Reinsurance Company. The three largest takaful operators are Qatar Islamic Insurance, Beema and Al Khaleej Takaful, together accounting for around 81% of GWC in 2024. Qatar Islamic Insurance is the largest takaful operator in Qatar, contributing 29%. The takaful business in Qatar encompasses several key lines of business with most prominent are the family/life and health, motor, and property and general accident sectors. Family and health takaful saw the highest growth among takaful segments, achieving a CAGR of 20% between 2020 and 2024, mostly after mandatory health insurance requirements were introduced in 2022 and 2023. The segment was contributing 52% of GWC by the end of 2024, compared to 37% in 2020. The implementation of mandatory health insurance in Qatar has helped generate substantial demand for health insurance and takaful products. The report found the GCC takaful sector has been experiencing a notable trend of consolidation, driven by several key factors. Finding that the consolidation trend presents a significant opportunity for Qatar to expand its own takaful market; it said by acquiring takaful operators or insurers in other countries, Qatari companies can enhance their market presence and diversify their portfolios. This can help Qatari takaful operators gain access to new customer bases, leverage economies of scale, and improve their competitive advantage, according to the report. © Gulf Times Newspaper 2022 Provided by SyndiGate Media Inc. (
