Qatar has seen a jump in business after start of the illegal blockade, says QFC
The Qatar Financial Centre (QFC) has seen a huge surge in business as more and more Qataris are registering their assets at home and multinationals are boosting their local presence as they navigate the illegal blockade of Qatar.
The diplomatic and trade boycott imposed in June by Saudi Arabia, the United Arab Emirates, Egypt and Bahrain has changed the way business is done with Qatar, QFC Chief Executive Yousuf Al Jaida was quoted as saying by Gulf Times.
State-owned companies, or companies owned by mostly Qatari shareholders, and individuals are redirecting their investments to the QFC, he said.
It reflects a desire by international companies to maintain close ties with the world’s biggest liquefied gas producer, according to Qatar Tribune.
The trend, he said, has seen migration from Dubai, which was traditionally the hub for companies doing business across the Gulf. The shift to Doha is the result of the unjust boycott of Qatar.
“The immediate action was that a lot of companies that had their special purpose vehicles set up in Dubai International Financial Centre were re-routing their investments in (to) the QFC because they wouldn’t know what the uncertainty factor would lead to eventually and how long this will go on for,” Al Jaida said.
“They would rather hold those international assets from here (Qatar) rather than face uncertainty there because of their Qatari background or nationality. They panicked,” he said.
Al Jaida pointed to the number of companies registered in the QFC, which has increased 45% in the third quarter compared to the year earlier. When compared to the second quarter, growth rose 6.9%, from 390 to 417 companies registered at QFC with $20bn in assets.
