Islamic banks’ assets grew 6.3% in last five years

Doha, Qatar: Islamic banks represent 28 percent of Qatar s total banking sector. Islamic banks have experienced a compound annual growth rate of 6.3 p...

Doha, Qatar: Islamic banks represent 28 percent of Qatar’s total banking sector. Islamic banks have experienced a compound annual growth rate of 6.3 percent in their assets over the last five years (2019-2023), surpassing the 4.4 percent growth rate of conventional commercial banks during the same period. 

The Islamic finance continues its development through expansion to enter new markets as the sector is undergoing rapid expansion.

The assets of Islamic banking sector in Qatar experienced a 3.6 percent increase in last year. As per the latest statistics released by the Qatar Central Bank, the assets of Islamic banks in the country reached QR563.7bn, up from QR544.3bn in 2022. The growth rate of conventional banks stood at 3.3 percent, according to seventh annual report on Islamic Finance in Qatar 2023.

The foreign assets within Islamic banks recorded QR35.4bn, by 9 percent, while local assets increased by 4 percent reaching QR509bn. Reserve decreased by (8 percent) compared to 2022. 

QIIB ranked the first among the four Islamic banks in terms of asset growth in 2023 represented in 9.3 percent, Dukhan Bank assets increased by 7.7 percent, representing QIB growth by 2.8 percent, while Al Rayan bank assets decreased by (2 percent).