Qatar’s Islamic finance sector grows to $187bn, report shows 

Qatar’s performance comes as the global Islamic finance industry entered 2025 on a solid footing. Shutterstock
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Updated 10 June 2025
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Qatar’s Islamic finance sector grows to $187bn, report shows 

  • Islamic banking assets grew by 3.9% to 585.5 billion riyals
  • Deposits rose by 8.2% to 339.1 billion riyals, with private sector deposits accounting for 57%

RIYADH: Qatar’s Islamic finance sector continued its upward trajectory in 2024, with total assets rising 4.1 percent year on year to 683 billion Qatari riyals ($187.5 billion), a new analysis showed. 

According to a report from Qatar-based Bait Al Mashura Finance Consultations, Islamic banks held the largest share, with 87.4 percent of total Islamic finance assets.

This was followed by Shariah-compliant sukuk at 11.2 percent, takaful insurance at 0.7 percent, and the rest split between investment funds and other Islamic finance institutions. 

Qatar’s performance comes as the global Islamic finance industry entered 2025 on a solid footing, with 10.6 percent growth in 2024, driven by strong banking assets and a 29 percent growth in foreign currency sukuk issuances, according to S&P Global Ratings. 




Islamic banks issued 9.5 billion riyals in sukuk, up 300 percent, while the Qatar Central Bank issued 16.9 billion riyals. Wikipedia

While key markets like Saudi Arabia, the UAE, and Malaysia continue to dominate — with the Kingdom alone accounting for two-thirds of Gulf Cooperation Council Islamic banking growth — the outlook remains cautious amid potential headwinds, including oil price volatility and evolving regulatory frameworks. 

Khalid Al-Sulaiti, vice chairman of Bait Al Mashura’s board of directors, said: “In the past year, the Islamic finance sector experienced significant transformations and qualitative advancements in performance, expansion, and supporting technologies.” 

He underscored the need to analyze data and trends to provide a comprehensive and accurate outlook for the future — balancing Shariah compliance, developmental goals, and economic and social sustainability. 

The report showed that Qatar’s Islamic banking assets grew by 3.9 percent to 585.5 billion riyals, while deposits surged by 8.2 percent to 339.1 billion riyals, with private sector deposits accounting for 57 percent. 

Financing increased by 4.9 percent to 401.5 billion riyals, primarily directed toward real estate, government, and personal financing. Revenues rose by 12.6 percent to 29.5 billion riyals, with profits reaching 8.7 billion riyals, marking a 6 percent growth.  

In the takaful sector, assets grew by 7.1 percent to 5.1 billion riyals, while policyholders’ funds increased by 6.3 percent to 2.6 billion riyals. Insurance subscriptions rose by 18.6 percent, exceeding 1.9 billion riyals, though results varied between surplus and deficit.  

Islamic finance companies saw marginal growth of 0.8 percent in assets, reaching 2.53 billion riyals, while financing rose by 5.7 percent to 1.9 billion riyals. Revenues jumped 14.7 percent to 277.2 million riyals, with financing and investment activities contributing 84 percent. 

Performance varied, with aggregate profits surpassing 178.5 million riyals against losses of 12 million riyals.  

Islamic investment firms recorded a 5.2 percent increase in assets to 549.5 million riyals, with revenues surging 44.1 percent to 59.7 million riyals. Profits reached 17.5 million riyals, though some firms reported losses.  

The sukuk market expanded significantly, with issuances rising by 161 percent. Islamic banks issued 9.5 billion riyals in sukuk, up 300 percent, while the Qatar Central Bank issued 16.9 billion riyals.




Fitch Ratings affirmed strong credit profiles for Qatari Islamic banks due to high oil prices, solid profitability, and stable funding structures. Shutterstock

Shariah-compliant investment funds grew by 1 percent to 944.6 million riyals, though performance was mixed. On the Qatar Stock Exchange, the Al Rayan Islamic Index closing price increased by 2.23 percent. The share performance of listed Islamic finance companies was mixed, with increases reaching up to 2.3 percent and decreases as much as 19.6 percent. 

Qatar’s Shariah-compliant finance industry now represents 27 percent of the country’s overall financial system, placing it among the top Islamic finance hubs globally alongside Saudi Arabia and the UAE, according to the Qatar Financial Center. 

The country is home to two of the region’s largest Islamic banks — Qatar Islamic Bank and Masraf Al Rayan — ranked among the top 10 globally by asset size. 

Earlier this year, Fitch Ratings affirmed strong credit profiles for Qatari Islamic banks due to high oil prices, solid profitability, and stable funding structures. The sector’s growth is further bolstered by active sukuk issuances and strong retail deposit bases.  
While the industry faces challenges, including potential fragmentation from regulatory shifts and macroeconomic risks, its long-term outlook remains positive, supported by economic diversification efforts and increasing demand for Shariah-compliant financial products. 


Closing Bell: Saudi main index slips to close at 10,964

Updated 20 July 2025
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Closing Bell: Saudi main index slips to close at 10,964

  • Parallel market Nomu lost 0.48% to close at 27,162.60
  • MSCI Tadawul Index shed 0.4% to close at 1,405.02

RIYADH: Saudi Arabia’s Tadawul All Share Index slipped on Sunday, losing 42.27 points, or 0.38 percent, to close at 10,964.71.

The total trading turnover of the benchmark index was SR3.2 billion ($856 million), as 65 of the stocks advanced and 182 retreated. 

The Kingdom’s parallel market Nomu lost 132.37 points, or 0.48 percent, to close at 27,162.60. This comes as 27 of the listed stocks advanced while 51 retreated. 

The MSCI Tadawul Index lost 5.85 points, or 0.41 percent, to close at 1,405.02. 

The best-performing stock of the day was Tourism Enterprise Co., whose share price rose 9.2 percent to SR0.95. 

Other top performers included National Metal Manufacturing and Casting Co., whose share price rose 9.03 percent to SR16.91 , and Arab Sea Information System Co., whose share price increased 6.27 percent to SR5.59.

Fawaz Abdulaziz Alhokair Co., or Cenomi Retail, recorded the most significant drop, falling 9.95 percent to SR29.70.

SHL Finance Co. also saw its stock price fall 6.99 percent to SR21.70.

Alandalus Property Co. witnessed a decline of 6.31 percent to SR19.90.

On the announcements front, Aldrees Petroleum and Transport Services Co. disclosed its interim financial results for the period ending on June 30. 

According to a Tadawul statement, the firm recorded a net profit of SR99.7 million during the second quarter of the year, reflecting a 20.98 percent increase compared to the same period a year earlier.

The climb is mainly attributed to higher sales in the petrol and transport divisions, along with increased income from deposits, sukuk, and other sources, despite a decline in returns from the joint venture investment.

Marketing, selling, general, and administrative financing costs, along with Zakat expenses, have all risen. The total comprehensive income for the current quarter increased compared to the same quarter last year, primarily due to the remeasurement of employee-defined benefit obligations.

Aldrees Petroleum and Transport Services Co. ended the session at SR129.20, down 0.78 percent.

Cenomi Retail announced that it has been notified by a number of its substantial shareholders regarding the signing of a share purchase agreement with Al Futtaim Retail Co. for the sale of part of their stake in Cenomi Retail to Al Futtaim. 

According to a bourse filing, under the terms of the deal, the selling shareholders will transfer 57.3 million shares, representing 49.95 percent of the company’s total share capital, to Al Futtaim in a private transaction valued at SR2.52 billion, with each share priced at SR44.

Saudi Exchange has also announced the listing of Sport Clubs Co. shares on the main market on July 22.


Saudi Arabia approves new Dammam-based budget airline backed by Air Arabia

Updated 20 July 2025
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Saudi Arabia approves new Dammam-based budget airline backed by Air Arabia

  • Eastern Province governor unveils $426 million aviation development package

RIYADH: Saudi Arabia has granted a low-cost airline license to an Air Arabia-led consortium, aiming to boost air connectivity, create jobs, and upgrade transport in the Eastern Province. 

The new carrier, a joint venture between the UAE-based budget airline, KUN Investment Holding, and Nesma, will be headquartered at Dammam’s King Fahd International Airport. It is expected to operate both domestic and international routes, helping expand access and competition in the Kingdom’s growing aviation market. 

According to the General Authority of Civil Aviation, the new airline aims to serve 24 domestic and 57 international destinations, transporting around 10 million passengers annually. Its operations will be supported by a fleet of 45 aircraft and are projected to create more than 2,400 direct jobs, aligning with Saudi Arabia’s Vision 2030 goals to boost the non-oil economy and local employment. 

In a statement, GACA stated: “This move aims to enhance air connectivity in the Eastern Province, increase seat capacity, and provide passengers with competitive options.”  

The announcement comes as part of broader efforts to transform Saudi Arabia into a regional aviation hub. The country plans to handle 330 million passengers and transport 4.5 million tons of air cargo annually by 2030, under the National Strategy for Transport and Logistics Services. 

As part of this strategy, Eastern Province Gov. Prince Saud bin Naif bin Abdulaziz also inaugurated the master plans for King Fahd International, Al-Ahsa, and Al-Qaisumah airports, alongside a new corporate identity for Dammam Airports Co. The governor also launched a SR1.6 billion ($426 million) development package covering 77 infrastructure projects to improve passenger experience and airport services.   

King Fahd International Airport handled 12 million passengers in 2024, up 15 percent from the previous year, with over 99,000 flights recorded, according to data from Dammam Airports Co. The airport also set a daily passenger traffic record, surpassing 50,000 travelers in a single day for the first time.  

With air traffic steadily rising and infrastructure rapidly expanding, the introduction of a new budget airline based in Dammam is expected to solidify the region’s position as a key aviation gateway and support Saudi Arabia’s ambitions to lead the Middle East civil aviation sector by the end of the decade. 


Boeing, Alphavest to launch 5 excellence centers in Morocco

Updated 20 July 2025
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Boeing, Alphavest to launch 5 excellence centers in Morocco

  • Move aims to elevate North African country’s position in global aerospace value chain
  • Two parties will collaborate to enhance logistics capabilities

JEDDAH: Morocco is set to enhance its global aerospace profile through a new partnership between Alphavest Capital and Boeing, which will launch five centers of excellence dedicated to engineering and high-precision manufacturing.

The Casablanca-based investment firm and the US multinational corporation have signed a memorandum of understanding to jointly develop aerospace centers in Morocco. This move is also poised to significantly elevate the North African country’s position in the global aerospace value chain.

The two parties will collaborate to enhance logistics capabilities, with a focus on engineering for airplane transport systems, including tubes, ducts, hoses, fittings, complex standard machined parts and sheet metal, secondary structures, particularly composite components, and metal processing and distribution.

The development, part of a 2016 agreement between Boeing and Moroccan authorities, highlights the manufacturing company’s commitment to strengthening the country’s industrial base and supply chains.

Majid Benmlih, chairman and CEO of Alphavest, said the “historic” agreement with Boeing marks Morocco’s emergence on the global aerospace stage.

Moroccan asset management firm Alphavest Capital and aircraft manufacturer Boeing have signed a deal to collaborate on creating five aerospace excellence centers in Morocco. Alphavest

“It highlights the kingdom’s position as a best-value destination for aerospace in terms of risk, quality, cost, and delivery,” he said. “This agreement is the result of several years of collaboration between Alphavest Capital and Boeing, especially through the creation and growth of TDM Aerospace.”

Established in 2017 through a partnership between the Moroccan Aerospace Investment Co. and international entrepreneurs, TDM Aerospace is Morocco’s first locally owned Tier 1 supplier, specializing in tube and duct assemblies for Boeing and other clients. 

Morocco hosts 150 aerospace firms that generate €2.5 billion ($2.7 billion) annually and employ 26,000 workers across key cities. The sector focuses on fuselages, structural components, cabin interiors, and wiring systems.

With competitive costs and a workforce that trains 23,000 engineers annually, the nation aims to expand into cabin outfitting, landing gear, and commercial aircraft assembly within the next decade.

Ihssane Mounir, senior vice president of global supply chain and fabrication at Boeing Commercial Airplanes, said they are proud to partner with Alphavest to further develop Morocco’s aerospace supply chain capabilities and cultivate a high-performing, skilled workforce.

“This agreement reinforces our commitment to supporting the Kingdom’s vision of establishing Morocco as a key player in the global aerospace industry,” Mounir added.


Saudi Arabia’s industrial, logistics sectors add $263bn to non-oil GDP in 2024

Updated 20 July 2025
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Saudi Arabia’s industrial, logistics sectors add $263bn to non-oil GDP in 2024

  • Contribution of non-oil activities to broader GDP reached 55%
  • Non-oil exports reached a total value of SR514 billion in 2024

RIYADH: Saudi Arabia’s National Industrial Development and Logistics Program contributed SR986 billion ($262.8 billion) to the Kingdom’s non-oil gross domestic product in 2024, accounting for 39 percent of the total, according to the program’s annual performance report. 

This figure marks an increase from SR949 billion in 2023 and underscores NIDLP’s central role in advancing the goals of Vision 2030 to diversify the Saudi economy beyond oil. 

The report highlighted substantial progress across the program’s strategic sectors — industry, mining, energy, and logistics — demonstrating what NIDLP described as a “qualitative transformation” in the national economy. 

The total contribution of non-oil activities to the broader GDP reached 55 percent, with the manufacturing sector alone growing by 4 percent, and both mining and transport/storage sectors expanding by 5 percent. 

Saudi Arabia’s broader economic performance in 2024 reflected resilience amid oil market fluctuations, with overall GDP growing by 1.3 percent for the year, driven primarily by expansion in non-oil sectors, according to data from the General Authority for Statistics. 

Launched in 2019, NIDLP aims to integrate key sectors and leverage local content and the Fourth Industrial Revolution to build a diversified and value-added economic base. 

The 2024 report details a range of achievements that indicate continued momentum toward these long-term economic transformation goals. 

"The number of executive initiatives under the program reached 284 by the end of 2024, of which 163 have been completed, with a completion rate of 57 percent, confirming the pace of achievement and the program’s ability to deliver impact,” the report quoted Minister of Industry and Mineral Resources Bandar Alkhorayef, also chairman of the NIDLP Committee, as saying.  

“The total number of employees in NIDLP sectors surpassed 2.43 million, including more than 508,000 new jobs created during the year. Among those, over 81,000 were taken up by Saudi nationals,” he added in the report. 

Non-oil exports reached a total value of SR514 billion in 2024, reflecting a 13.2 percent year-on-year increase. 

Of this, SR217 billion came from non-oil goods exports, which rose by 4 percent. 

Re-exports surged 42 percent to reach SR90 billion, while services exports climbed 14 percent to SR207 billion. 

Chemicals topped the export categories with SR78.5 billion, followed by electrical equipment at SR42.9 billion, metals and metal products at SR23.3 billion, and food and beverage products at SR10.5 billion. 

The labor market also saw strong gains. Total employment across NIDLP sectors reached 2.433 million workers in 2024. 

The program created more than 508,000 new jobs last year, including over 81,000 roles for Saudi nationals — 42,000 for men and 39,000 for women. 

Key employment drivers included manufacturing, mining and quarrying, electricity and gas, and logistics. 

Non-government investments in program sectors reached SR665 billion. The Saudi Industrial Development Fund’s cumulative loan approvals totaled SR198 billion, while export credit facilities issued by the Saudi Export-Import Bank stood at SR69.14 billion. 

Industrial activity expanded significantly, with 12,589 industrial establishments recorded by year-end. 

The number of ready-built factories reached 1,511. Non-government investments in industrial cities and special zones totaled a cumulative SR1.41 trillion.    

The local defense industry also advanced, with cumulative sales by domestic companies hitting SR34.32 billion. 

The national industrial strategy continues to push for the localization of supply chains in sectors like medical supplies, automotive, energy-related products, and petrochemicals. 

In renewable energy, the program recorded significant progress. Total renewable energy capacity initiated in 2024 reached 20 gigawatts, including 3.7 GW of new solar project agreements and 3.6 GW of new commercial operations. 

The lowest recorded wind energy cost globally was also achieved, at 5.87 halalas per kilowatt-hour. These efforts contributed to an annual carbon emissions reduction of approximately 1.7 million tonnes. 

In mining, exploration spending reached SR228 per sq. km. The number of mining sites offered for competitive bidding increased 380 percent from the previous year. 

The sector aims to contribute SR176 billion to GDP and create 219,000 jobs by 2030. Saudi Arabia was ranked second globally for mining license environment quality, the report stated. 

Logistics witnessed similar advances. A total of 1,056 logistics licenses were issued, while re-export logistics centers expanded to 23 in 2024, up from just two in 2019. 

Port utilization rose to 64 percent, compared to a baseline of 50.2 percent. Customs clearance time was reduced to just two hours, and container throughput reached 7.5 million units. 

Key performance indicators exceeded several targets. Military industrialization localization reached 19.35 percent, surpassing the 12.5 percent goal and up from a 7.7 percent baseline. 

Local content in non-oil sectors reached SR1.231 trillion, above the target of SR1.11 trillion. The number of final licenses issued for promising industries hit 3,107, compared to a target of 845 and a baseline of 169. 

Cumulative exports of promising industries reached SR135.6 billion, exceeding the target of SR98.7 billion. 

The number of re-export-linked logistics centers also surpassed targets, with 23 centers established versus a target of 16. 

At the highest level, NIDLP contributes to three primary pillars of Vision 2030: fostering a vibrant society, creating a thriving economy, and building an ambitious nation. 

One of the six first-tier Vision 2030 objectives that the program directly supports is the development and diversification of the national economy, particularly through job creation and enhanced government performance to promote social responsibility. 

NIDLP also addresses second-tier goals by strengthening private sector participation and maximizing value across key economic sectors. 

The program seeks to improve the competitiveness of Saudi Arabia’s energy sector, enhance local content in oil and gas industries, and promote the development of renewable energy sources. 

Additionally, the program supports the creation of specialized economic zones and the rehabilitation of industrial cities to attract investment and facilitate growth. 

Another key strategic focus of the program is the expansion of non-oil sectors, including mining and downstream industries. 

NIDLP targets the localization of high-potential sectors such as advanced manufacturing and defense industries, while increasing local content across non-oil value chains. 

These initiatives are designed to unlock the full economic potential of the Kingdom’s natural resources and industrial capabilities. 

As part of its logistics mandate, the program also works to establish and improve the performance of logistics hubs, while enhancing domestic, regional, and international connectivity across trade and transport networks.   

These efforts are central to NIDLP’s ambition to solidify Saudi Arabia’s position as a global logistics hub, reinforcing the Kingdom’s strategic role in global supply chains. 

Overall, the program encompasses 96 detailed targets at the third level of Vision 2030 planning, 12 of which are directly linked to NIDLP initiatives. 

These targets serve as the operational backbone for achieving the broader national goals of economic diversification and industrial competitiveness. 


Oman’s telecom sector powers ahead with surge in IoT, mobile connections

Updated 20 July 2025
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Oman’s telecom sector powers ahead with surge in IoT, mobile connections

  • Momentum backed by substantial public investment
  • Government aims to digitize approximately 80% of services by 2025

JEDDAH: Oman’s telecom sector grew 15.2 percent by May, with mobile subscriptions reaching 8.13 million and Internet of Things connections rising to 1.55 million amid digital expansion and smart tech adoption, official data showed.

IoT subscriptions surged by 118.7 percent, highlighting the growing demand for smart connectivity across sectors such as logistics, utilities, and manufacturing, the National Center for Statistics and Information said.

Oman’s rapidly expanding digital infrastructure is central to Vision 2040, which focuses on innovation, economic diversification, and improved public services. Meanwhile, growth in fiber optic and fixed 5G subscriptions highlights the shift toward advanced, high-speed connectivity.

According to Mordor Intelligence, a global market research and consulting firm, this momentum is backed by substantial public investment.

In 2022, the government announced a $441.5 million digital transformation initiative to modernize the public sector and deliver seamless smart services to citizens and businesses.

“This commitment is further reinforced by the national Digital Economy Program’s ambitious targets under Oman Vision 2040, which projects the digital economy’s contribution to gross domestic product to rise from 3 percent in 2025 to 5 percent in 2030, ultimately reaching 10 percent by 2040,” Mordor said in a report on the Gulf state’s information and communication technology market.

The sultanate’s digital transformation efforts are further underscored by the Government Digital Transformation Program, known as Tahawul. Oman’s Ministry of Transport, Communications, and Information Technology

The research firm added that the government’s digitalization drive includes a goal of digitizing approximately 80 percent of services by 2025, laying a robust foundation for long-term technological progress across sectors.

Further data from NCSI, also published by the Oman News Agency, showed postpaid mobile subscriptions climbed by 5.6 percent to over 1.23 million by the end of May, compared to the same period last year. Prepaid mobile subscriptions also rose, up 3.1 percent to more than 5.33 million.

Mobile broadband Internet subscriptions reached 5.41 million, while fixed broadband subscriptions increased by 2.6 percent year-on-year to 588,015.

Within the fixed Internet segment, fiber optic services grew by 11.4 percent to 339,279 subscriptions.

Fixed 5G connections rose by 2.1 percent to 215,850. However, legacy technologies are on the decline, with fixed 4G subscriptions falling by 38.1 percent to 19,654, digital user lines dropping by 50.8 percent to 11,806, and satellite Internet accounts shrinking by 2.1 percent to 653.

Other Internet services, such as powerline, Ethernet, and leased lines, also contracted by 12 percent, totaling only 773 subscriptions by the end of the fifth month.

The sultanate’s digital transformation efforts are further underscored by the Government Digital Transformation Program, known as Tahawul, which reached 73 percent overall performance by November, up from 53 percent the previous year.

The government has streamlined and digitalized thousands of public services, with four key entities, including the Telecommunications Regulatory Authority, achieving advanced digital excellence.

The progress aligns with Oman Vision 2040’s priorities and is supported by major digital infrastructure projects, such as the upcoming unified e-government portal and the National Digital Integration Platform, which has processed over 1.4 billion data transactions.

The surge in digital government transactions, reaching nearly 27 million in 2024, reflects the growing public adoption of smart services. By 2025, 80 percent of essential government services are expected to be fully online.