Qatar’s banking industry continues its upward momentum, with total assets reaching QR2.06 trillion in early 2025 — a 4.7% rise from the previous year. This growth reflects the sector’s ability to adapt and thrive despite regional and global economic fluctuations.
Domestic deposits also showed positive movement. Reaching QR855.5 billion, they recorded a 1.2% annual increase. This signals growing trust in the banking system and a healthy flow of liquidity across institutions.
Meanwhile, domestic credit surged to QR1.32 trillion. This marks another 4.7% year-on-year gain, pointing to stronger borrowing activity across businesses and consumers alike, and further fueling Qatar’s non-oil economic growth.
However, not all indicators moved upward. The broad money supply (M2) slightly contracted by 1.1%, settling at QR739 billion. Analysts suggest this dip may be linked to liquidity tightening and changes in investor behavior.
Efficiency remains a defining strength. The sector boasts the region’s lowest cost-to-income ratio at 25.6%. Additionally, it holds an 85.1% coverage ratio for Stage 3 loans, showing disciplined credit risk management and operational resilience.
Strategic alignment with Qatar National Vision 2030 plays a key role in driving growth. The financial sector is positioned as a pillar of the country’s long-term goals for diversification and economic sustainability.
To support these ambitions, the Qatar Central Bank introduced the Third Financial Sector Strategic Plan. This roadmap focuses on innovation, competitiveness, and reduced dependency on hydrocarbons.
Environmental, Social, and Governance (ESG) principles are increasingly shaping financial decisions. Qatari banks are issuing green bonds and sustainability-linked loans, underscoring a commitment to climate action and responsible investment.
Sustainability isn’t just a trend — it’s becoming central to investor confidence. Qatar banking sector’s adoption of ESG measures strengthens its reputation among global institutions looking for stable, ethical opportunities.
Digital transformation also remains high on the agenda. Banks are investing in advanced financial technologies, mobile banking services, and data-driven solutions to elevate customer experience and safeguard operations.
