MIRA INFORM REPORT

 

 

Report No. :

340717

Report Date :

16.09.2015

 

IDENTIFICATION DETAILS

 

Name :

QATAR ISLAMIC BANK SAQ (QIB)

 

 

Registered Office :

Grand Hamad Street, Najda, PO Box 559 & 2344, Doha

 

 

Country :

Qatar

 

 

Financials (as on) :

31.12.2014

 

 

Date of Incorporation :

08.07.1982

 

 

Com. Reg. No.:

8338

 

 

Legal Form :

Qatari Shareholding Company

 

 

Line of Business :

Providing Retail, Commercial, Private and Investment Banking

 

 

No. of Employees :

700

 

 

RATING & COMMENTS

 

MIRA’s Rating :

A

 

RATING

STATUS

PROPOSED CREDIT LINE

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

Fairly Large

 

Status :

Good

Payment Behaviour :

Regular

Litigation :

Clear

 

NOTES:

Any query related to this report can be made on e-mail: infodept@mirainform.com while quoting report number, name and date.

 

 

ECGC Country Risk Classification List – March 31, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

Qatar

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

QATAR - ECONOMIC OVERVIEW

 

Qatar has prospered in the last several years with continued high real GDP growth. GDP was driven largely by the oil and gas sector however growth in the manufacturing, construction, and financial services sectors have pushed the non-oil component to just over half of Qatar’s nominal GDP for the first time since 2000. Economic policy is focused on sustaining Qatar's nonassociated natural gas reserves and increasing private and foreign investment in non-energy sectors, but oil and gas still account for roughly 92% of export earnings, and 62% of government revenues. Oil and gas have made Qatar the world's highest per-capita income country and the country with the lowest unemployment. Proved oil reserves in excess of 25 billion barrels should enable continued output at current levels for about 56 years. Qatar's proved reserves of natural gas exceed 25 trillion cubic meters, about 13% of the world total and third largest in the world. Qatar's successful 2022 World Cup bid is accelerating large-scale infrastructure projects such as Qatar's metro system, light rail system, the construction of a new port, roads, stadiums and related sporting infrastructure. The new Hamad International Airport opened in mid-2014 with an initial annual passenger capacity of 24 million and with a projected 50 million when complete.

 

Source : CIA


SUMMARY

 

Company Name                                    : QATAR ISLAMIC BANK SAQ (QIB)

Country of Origin                                   : Qatar

Legal Form                                           : Qatari Shareholding Company

Registration Date                                  : 8th July 1982

Commercial Registration Number           : 8338

Issued Capital                                       : QR 2,362,932,000

Paid up Capital                                     : QR 2,362,932,000

Total Workforce                         : 700

Activities                                               : Retail, commercial, private and investment banking

Financial Condition                                : Good

Payments                                             : Nothing detrimental uncovered

Operating Trend                                    : Steady

 


COMPANY NAME

 

QATAR ISLAMIC BANK SAQ (QIB)

 

 

ADDRESS

 

Registered & Physical Address

 

Street               : Grand Hamad Street

Area                 : Najda

PO Box            : 559 & 2344

Town                : Doha

Country : Qatar

Telephone         : (974) 44409409 / 44417663

Facsimile          : (974) 44412700 / 44413919 / 44350610

Email                : info@qib.com.qa / saih@qib.qa

 

Premises

 

Subject operates from a large suite of offices that are owned and located in the Central Business Area of Doha.

 

Branch Offices

 

Location                                                                                               Description

 

Al Fahar                                                                                                Office premises

Tel: (974) 44448444

Fax: (974) 44312953

 

Salwa Road                                                                                          Office premises           

Tel: (974) 44448444

Fax: (974) 44680123

 

Airport Branch                                                                                       Office premises

Tel: (974) 44448444

Fax: (974) 44676532

 

Dar Al Salam Mall                                                                                  Office premises

Tel: (974) 44448444

Fax: (974) 44583665

 

City Centre Branch                                                                                 Office premises

Tel: (974) 44448444

Fax: (974) 44834032

 

Al Rayyan Branch                                                                                  Office premises

Tel: (974) 44448444

Fax: (974) 44811612

 

Al Gharafa Branch                                                                                 Office premises           

Tel: (974) 44448444

Fax: (974) 44866056

 

Al Sadd Branch                                                                                     Office premises

Tel: (974) 44448444

Fax: (974) 44478947

 

The Gate Mall Branch                                                                             Office premises           

Tel: (974) 44448444

Fax: (974) 44850190

 

The Pearl Branch                                                                                   Office premises

Tel: (974) 44448444

Fax: (974) 44822390

 

Al Wakra Branch                                                                                    Office premises

Tel: (974) 44448444

Fax: (974) 44644197

 

Al Khor Branch                                                                                      Office premises

Tel: (974) 44448444

Fax: (974) 44721888

 

Dukhan Branch                                                                                      Office premises           

Tel: (974) 44448444

Fax: (974) 44712129

 

Industrial Area Branch                                                                            Office premises           

Tel: (974) 44448444

Fax: (974) 44165997

 

Al Shahania Branch                                                                               Office premises

Tel: (974) 44448444

Fax: (974) 44719044

 

General Authority of Minors Branch                                                        Office premises

Tel: (974) 44448444

Fax: (974) 44320902

 

Supreme Council of Health Branch                                                         Office premises

Tel: (974) 44448444

Fax: (974) 44659290

 

Umm Slal Branch                                                                                   Office premises

Tel: (974) 44448444

Fax: (974) 44120511

 

Al Nasriya Branch                                                                                  Office premises

Tel: (974) 44448444

Fax: (974) 44179838

 

Al Ghuwairiya Branch                                                                             Office premises           

Tel: (974) 44448444

Fax: (974) 44728755

 

C Ring Road                                                                                         Office premises

Tel: (974) 44448444

Fax: (974) 44888655

 

Muaither Branch                                                                                    Office premises

Tel: (974) 44448444

Fax: (974) 44583900

 

New Doha Branch                                                                                  Office premises

Tel: (974) 44448444

Fax: (974) 44837982

           

Yarmouk Branch                                                                                    Office premises

Tel: (974) 44448444

Fax: (974) 44883170

 

Mesaieed Branch                                                                                   Office premises

Tel: (974) 44448444

Fax: (974) 44770872

 

Al Jazeera Channel Branch                                                                     Office premises

Tel: (974) 44448444

Fax: (974) 44862240

 

Barwa Village Branch                                                                             Office premises

Tel: (974) 44448444

Fax: (974) 44631219

 

Kharitiyat Branch                                                                                   Office premises

Tel: (974) 44448444

Fax: (974) 44790228

 

Al Mansoura Branch                                                                              Office premises

Tel: (974) 44448444

Fax: (974) 44376281

 

 

KEY PRINCIPALS

 

Name                                                                                                   Position

 

Sheikh Jassim Bin Hamad Bin Jassim Bin Jabr Al Thani                          Chairman

 

Abdullatif Bin Abdulla Al Mahmmoud                                                     Vice Chairman

 

Mohamed Bin Issa Al Mohanadi                                                             Director

 

Abdul Rahman Abdulla Abdul Ghani                                                       Director

 

Mansour Al Muslah                                                                                Director

 

Issa R Al Rabia Al Kuwari                                                                       Director

 

Abdulla Bin Saeed Al Ledah                                                                   Director

 

Nasser Rashid S Al Kaabi                                                                      Director

 

Sheikh Ali Bin Ghanim Bin Ali Al Thani                                                    Director

 

Bassel Gamal                                                                                        Chief Executive Officer

 

Tarek Youssef Fawzi                                                                              General Manager

 

Giles Cunningham                                                                                 Chief International Officer

 

Constantinos Constantinides                                                                  Chief Strategy Officer

 

C Krishna Kumar                                                                                   Chief Operating Officer

 

Rakesh Sanghvi                                                                                    Chief Risk Officer

 

Gourang Hemani                                                                                   Chief Financial Officer  

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 8th July 1982

 

Legal Form                  : Qatari Shareholding Company

 

Commercial Reg. No.   : 8338

 

Issued Capital              : QR 2,362,932,000

 

Paid up Capital            : QR 2,362,932,000

 

 

Name of Shareholder (s)                                             Percentage

 

Qatar Holding Co                                                          16.90%

 

Local businessmen and private investors                        83.10%

 

 

AFFILIATED COMPANIES

 

Name                                                                                                                      Percentage Held

 

QIB Sukuk Funding Ltd                                                                                                  100%

Arab Finance House                                                                                                      99.99%

QIB UK                                                                                                                         .43%

QInvest LLC                                                                                                                  50.13%

Verdi Luxembourg SARL                                                                                               50.13%

Q West                                                                                                                         50.13%

Q Invest Saudi Arabia                                                                                                    50.13%

Q Business Services                                                                                                     50.13%            

Q Liquidity Limited                                                                                                        50.13%

Q Saudi Alpha                                                                                                               50.13%

Q Saudi Beta                                                                                                                50.13%

Q Saudi Gamma                                                                                                            50.13%

QInvest Holding Mauritius                                                                                              50.13%

QInvest Luxembourg SARL                                                                                            50.13%

QInvest Partners LLC                                                                                                     50.13%

Q Equity                                                                                                                       50.13%

Q Green                                                                                                                        50.13%

Q Exhibit                                                                                                                      50.13%

Q Learn                                                                                                             50.13%

QI St Edmund’s Terrace Limited                                                                                     50.13%

St. Edmund’s Terrace GP Limited                                                                                   50.13%

SET Investment Management Limited                                                                             50.13%

Inner Mauritius Investments Limited                                                                                50.13%

Asian Finance Initiative Corporation                                                                                50.13%

Q Admiral                                                                                                                     50.13%

QInvest Admiral                                                                                                             50.13%

Q Marina                                                                                                                       50.13%

QInvest Marina                                                                                                              50.13%

Q Denmark                                                                                                                    50.13%

QInvest Denmark LLC                                                                                                    50.13%

QInvest Comms Holding LLC                                                                                         50.13%

Q Comms                                                                                                                     50.13%

QI One Wall Street Invest Co                                                                                          50.13%

EFH Sarl                                                                                                                       50.13%

Aqar Real Estate Development and Investment Company                                                49.00%

Durat Al Doha Real Estate Investment and Development WLL                                         39.87%

 

 


OPERATIONS

 

Activities: Qatar Islamic Bank (QIB) was founded in 1982, becoming the country’s first Islamic financial institution and Sharia’-compliant bank. Its products and operations are supervised by a Sharia’ board, which ensures the Bank adheres to Islamic finance principles.

 

QIB is now the largest Islamic bank in Qatar, with a 36% share of the Islamic sector and above 10% share of the banking market overall. QIB conducts its domestic business through 31 branches spread throughout the country.

 

Operating Trend: Steady

 

Subject has a workforce of approximately 700 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: Qatari Riyals (QR 000’s)

 

Consolidated Balance Sheet                                                     31/12/14                        31/12/13

 

Assets

Cash and balances with central banks                                         4,933,474                      2,992,762

Due from banks                                                                        8,931,018                      6,348,139

Financing assets                                                                       59,681,531                    47,139,466

Investment securities                                                                 15,954,396                    14,851,841

Investment in associates                                                            966,777                         741,660

Investment properties                                                                1,216,420                      792,533

Assets of a subsidiary held for sale                                           61,361                          303,133

Fixed assets                                                                             508,684                         436,181

Intangible assets                                                                       306,589                         318,819

Other assets                                                                             3,546,214                      3,429,710         

Total assets                                                                              96,106,464                    77,354,244

Liabilities, equity of unrestricted investment

account holders and equity

Liabilities

Due to banks                                                                            8,104,212                      6,490,703

Customers’ current accounts                                                      15,124,873                    12,469,798

Sukuk financing                                                                         5,450,236                      5,444,077

Liabilities of a subsidiary held for sale                                        18,688                          5,267

Other liabilities                                                                          1,756,800                      1,378,530

Total liabilities                                                                           30,454,809                    25,788,375

Equity of unrestricted investment account holders                      51,479,989                    37,893,209

Equity

Share capital                                                                             2,362,932                      2,362,932

Legal reserve                                                                            6,370,016                      6,370,016

Risk reserve                                                                              1,369,247                      1,084,566

General reserve                                                                         81,935                          81,935

Fair value reserve                                                                      93,199                          94,896

Foreign currency translation reserve                                           (29,157)                        (49,974)

Other reserves                                                                           216,820                         212,058

Proposed cash dividends                                                          1,004,246                      945,172

Retained earnings                                                                      1,008,760                      758,113

Total equity attributable to shareholders of the Bank                   12,477,998                    11,859,714

Non-controlling interests                                                            1,693,668                      1,812,946

Total equity                                                                               14,171,666                    13,672,660

Total liabilities, equity of unrestricted

investment account holders and equity                                       96,106,464                    77,354,244

 

Consolidated Statement of Income

 

Net income from financing activities                                           2,444,267                      2,003,201

Net income from investing activities                                           648,812                         800,879

Total net income from financing and investing activities              3,093,079                      2,804,080

Fee and commission income                                                     479,905                         364,278

Fee and commission expense                                                    (87,926)                        (75,734)

Net fee and commission income                                                391,979                         288,544

Net foreign exchange gain                                                         72,564                          44,084

Share of results of associates                                                   51,636                          6,181

Other income                                                                            23,814                          1,331

Total income                                                                             3,633,072                      3,144,220

Staff costs                                                                               (535,224)                       (494,577)

Depreciation and amortisation                                                    (73,588)                        (63,195)

Sukuk holders’ share of profit                                                    (173,519)                       (173,519)

Other expenses                                                                         (311,070)                       (290,282)

Total expenses                                                                          (1,093,401)                    (1,021,573)

Net impairment losses on investment securities                          (171,439)                       (262,750)

Net impairment losses on financing assets                                 (89,913)                        (97,383)

Other impairment losses                                                            (8,499)                          (9,642)

Net profit from continuing operations before tax                                     2,269,820                      1,752,872

Profit from a subsidiary held for sale                                         1,999                            4,062

Net profit for the year before return to

unrestricted investment account holders and tax                                     2,271,819                      1,756,934

Return to unrestricted investment account holders

before the Bank’s share as Mudarib                                            (1,061,492)                    (809,176)

Bank’s share as Mudarib                                                            497,230                         360,386

Net return to unrestricted investment account holders                  (564,262)                       (448,790)

Net profit for the year before tax                                                1,707,557                      1,308,144

Tax (expense) / credit                                                                (39,008)                        17,459

Net profit for the year                                                                1,668,549                      1,325,603

Net profit for the year attributable to:

Shareholders of the Bank                                                           1,601,432                      1,335,400

Non-controlling interests                                                            67,117                          (9,797)

Net profit for the year                                                                1,668,549                      1,325,603

 

Local sources consider subject’s financial condition to be Good.

 

 

GENERAL COMMENTS

 

Established in 1982, subject is involved in the provision of retail, commercial, private and investment banking services.

 

During the course of this investigation nothing detrimental was uncovered regarding subject’s operating history or the manner in which payments are fulfilled. As such the company is considered to be a fair trade risk.

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.66.44

UK Pound

1

Rs.102.41

Euro

1

Rs.75.05

 

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

Report Prepared by :

TPT

 

               

RATING EXPLANATIONS

 

RATING

STATUS

PROPOSED CREDIT LINE

 

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

 

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

 

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

 

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

 

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

 

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

 

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

Credit not recommended

 

--

NB

New Business

--

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                  Payment record (10%)

Credit history (10%)                   Market trend (10%)                                Operational size (10%)

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.