

Tribune NEws Network

Doha

Over the next three to five years, Qatar will invest Â£5 billion in the United Kingdom economy through various investment funds and relevant parties in Qatar -- which will constitute another addition to its already successful investments in the UK, Doha Bank Chief Executive OFficer R Seetharaman has said.

Speaking at a knowledge sharing session on"Qatar Land of opportunities", in London recently, Seetharaman said,"Qatar-UK trade is worth more than 5 billion pounds. Food imports from UK have come to Qatar after the recent economic blockade. Nearly a third of UK gas imports come from Qatar. In June 2017, Qatargas agreed to sell 5.5 million metric tonnes of LNG to Shell from 2019."

He said this deal provides Qatargas with access to Shell's gas sales portfolio in the UK and continental Europe.

According to Seetharaman, Qatar's future investments in the UK would focus on energy, infrastructure, real estate and services.

"Qatar has already invested more than Â£40 bilion across Britain, including in iconic real estate including London's Shard building and the Harrod's department store. Despite the Brexit development impacting UK and the economic blockade imposed on Qatar by the Saudi-led block, the UK has always remained an important trade and investment destination for Qatar and will remain so, and hence Qatar and UK can continue to explore the growing synergistic opportunities between them," Seetharaman added.

Giving an insight on Qatar's economy and the various developments in the country since the beginning of the blockade, Seetharaman said Qatar has a reserve of $340 billion including assets of its sovereign wealth fund, QCB cash reserves and gold.

"Together Qatar's reserves are more than 200 percent of its GDP. Qatar's banking asset growth was close to 2.5 percent year to date (YTD) until July 2017 and the overall Lending growth was close to 6% YTD util July 2017," the Doha Bank CEO informed the gathering. Seetharaman also highlighted the recent reforms brought about by Qatar saying,"Qatar is ranked 18th in 'the Global Competitiveness Report 2016-17' and stands second in the region. A new law for Public Private Partnership (PPP) businesses in Qatar should provide an additional level of comfort to the private sector and foreign investors."

In February 2017, Qatar issued a new law on arbitration inspired by the UNCITRAL Model Law, an international template for law on arbitration.

Seetharaman furhter said that the Arbitration Law is a positive step towards support ing the arbitration process.

"A law governing the Qatar Financial Centre (QFC) is aimed at simplifying procedures for foreign investors. In terms of food security, Qatar now has many local companies that are supporting the country and it can develop these businesses further and boost its food production to provide both locally and internationally," he added.

Regarding the country's budget, Seetharamn said Qatar's 2017 budget has allocated for key sectors such as health, education and infrastructure QR87.1 billion ($23.9bn) which comprises nearly 44 percent of the total expenditure in the 2017. Transportation and infrastructure projects, which represent a main pillar of enhancing sustainable development, have been allocated QR42 billion. ($11.51bn).

He said the accomplishment of the New Orbit Highway would facilitate the Fifa World Cup 2022 infrastructure works as per schedule.

Seetharaman said Qatar's landmark residency plan is a welcome social and economic reform, which would attract skilled expats to have a career in Qatar and will also encourage investors as they would be able to launch business ventures.

"On the whole, the landmark residency plan will enhance expatriates' participation in Qatar's economy and society in various forms and thereby contribute to sustainable growth of Qatar. Qatar has also waived entry visa requirements for citizens of 80 countries," Seetharam said.

Speaking about the outlook for the global economy, Seetharaman said,"According to IMF July 2017 Outlook, economic activity in both advanced economies and emerging and developing economies is forecast to accelerate in 2017 to 2 percent and 4.6 percent respectively, with global growth projected to be 3.5 percent. Current global growth prospects are encouraging, though the pace of growth is still weaker than desirable."