BUSINESS BBUSINESS | 02 BUSINESS | 05 Innovation key HSBC offers to unlock $3.9bn liquidity shareholder value: relief to Hong QNB Group CEO Kong firms

MONDAY 10 FEBRUARY 2020

QNB set to launch fresh five-year strategic plan; General Assembly approves 60% dividend

SATISH KANADY to continue to deliver value to THE PENINSULA our shareholders”, he said. The Chairman noted rapid QNB will be reviewing its latest pace of innovation and digital five-year strategy, which is set transformation is forcing the to culminate this year, in order banking sector to change and to launch its fresh strategic plan evolve. The Group truly believes for the next five years, H E Ali that innovation is a key com- bin Shareef Al Emadi, Chairman ponent to realise its vision to of the Board of Directors, QNB, become one of the leading announced yesterday. banks in MEASEA, not only Addressing QNB’s Ordinary helping drive greater value, but General Assembly Meeting, the also ensuring that its business Chairman noted QNB’s five- is fit and ready for the future. year strategy has been a guide The launch of our global inno- in the bank’s success story for vation centre this year should the past five years. “Looking help us to capitalise on those ahead, next year marks the cul- initiatives in the future. mination of our latest five-year “As well as creating value strategy, which has been a fun- for our customers, it is damental guide in our success important that we also seek to story. We will be reviewing this contribute and support society strategy in order to set our in the countries where QNB course for the next five years, operates. We believe that by leveraging upon our strengths placing society at the heart of our business, we create mean- ingful value for our stake- H E Ali bin Shareef Al Emadi (second right), Chairman of QNB Group, who is also the Minister of Finance, addressing the AGM of the holders and deliver sustainable, bank at Sharq Village and Spa, in yesterday, as Depauty Chairman Sheikh Fahad bin Faisal Al Thani (third left); Group CEO, Abdulla 4% long-term value for our share- Mubarak Al Khalifa (left); and other Board of Directors look on.PIC: SALIM MATRAMKOT/THE PENINSULA Growth in net profit holders. This year, we became a signatory of the United requirements. Despite these and disciplined execution have augment our risk management said QNB’s exposure to real Nations Global Compact, headwinds, QNB’s strong fun- driven our success. The strength capabilities to ensure a con- estate sector is normal. QR1.45 cementing our commitment to damentals kept the bank on its and experience of the Group’s sistent, group-wide approach. The Ordinary General Earnings per share sustainability. We believe sound strategic track. QNB demon- Board members, combined with As cyber risk remains a critical Assembly approved a proposal governance, tireless innovation strated sustainable growth the expertise of our executive focus point for us, we continued by the Board of Directors to dis- and sustainable development momentum in 2019, with a 4 leadership and talented to expand our cybersecurity tribute a cash dividend of 60 20.2% are fundamental to our long- percent growth in net profit to employees, continues to capabilities to keep up with percent of the nominal share Reutrn on equity term prosperity.” QR14.4bn. QNB also continued transform our business, constantly evolving threats”, the value, representing QR0.6 per He said the global macr- to demonstrate strong growth embedding a culture of trans- Chairman said. share. oeconomic conditions were in earnings per share, reaching parency, accountability, and Replying to shareholders QNB Group delivered QR190.2bn challenging. These included QR1.45. As a result, QNB has collaboration. This is under- questions on the potential record financial results for the Market capitalisation challenges such as lower global further consolidated its position pinned by our strict adherence impact of US-China trade war, year ended 31 December 2019, growth, US-China trade ten- as one of the world’s top 40 to good governance across our Al Emadi said any possible US- with net profit reaching sions, and the escalation of banks in terms of market cap- network. In 2019, we continued China trade tension will have QR14.4bn, up by 4 percent com- 60% political and geopolitical risks italisation, reaching QR190.2bn. to elevate our governance its bearing on global com- pared to same period last year. Dividend as well as demanding and “Robust governance, a clear standards while investing in mercial trade. Replying to Total assets increased by 10 stringent regulatory strategy, solid risk management frameworks and tools to another question, the Chairman percent to reach QR945bn. Qatargas signs long term SPA Total office stock reached 4.8 million to supply LNG to Kuwait sqm by the end of 2019: ValuStrat MOHAMMAD SHOEB THE PENINSULA Distribution of GLA of shopping Centres/ Malls across Municipalities With about 70 percent of the anticipated 1 million square metres (sqm) of Gross Leasable Area (GLA) of office space completed during 2019, the total office stock reached 4.8 million sqm by the end of 2019, witnessing an increase of nearly 16 percent compared to an estimated 4.14 million sqm of office GLA at end of 2018, findings of a latest real estate report show. According to the fourth quarter review report (Q4 2019) released by real estate consulting firm ValuStrat, five office projects were added during Q4 in Lusail, , C-Ring Road (Al Man- soura ) and comprising 160,000 sqm GLA. A file picture of Qatargas LNG vessel. The supply of office space is expected to con- tinue increasing in 2020 as more projects are to THE PENINSULA — DOHA important LNG market and is opportunities in a highly com- be completed this year. Upcoming projects in part of our strive to be the LNG petitive environment.” 2020, currently under development totalled 1 Qatargas announced yesterday supplier of choice for our cus- Commenting on the new million sqm GLA, and 80 percent of which are the signing of a new, long term tomers. I would like to take this SPA, Khalid bin Khalifa Al Thani, located in Lusail area which include Fox Hills, Liquefied Natural Gas (LNG) Sale opportunity to thank our Chief Executive Officer, Energy District and Marina District, and and Purchase Agreement (SPA) valued partner, Shell, with Qatargas, said: “Qatargas is Musheireb Downtown whereas the remaining with Shell to deliver 1 million whom we share a long history delighted to conclude this new mixed amongst , , Al Hitmi, Al Sadd, rents up to 3 percent, with rates that ranged from tonnes per annum of LNG to of fruitful collaboration and we SPA with Shell. We believe this and Al Muntazah. QR65 to QR00 per sqm. And the offices listed for Kuwait, commencing this year. look forward to continuing to agreement provides a win-win The new supply to the existing stock of office sale in Lusail had asking prices that ranged from H E Saad Sherida Al Kaabi, work together to put LNG at solution for both companies and space is likely to put additional downward QR16,250 per sqm to QR 20,500 per sqm. Minister of State for Energy the forefront of the world’s deepens the relationship with a pressure in the asking prices, which is expected With regard to retail supply like commercial Affairs, said: “We are pleased drive towards cleaner and valued partner and shareholder. to vary from area to area. space in malls and other commercial complexes, to announce this new long more sustainable energy Qatargas is committed to According to ValuStrat findings, the median it grew 5 percent Y-o-Y during 2019 reaching up term agreement between sources.” meeting the clean energy needs office asking rents fell 17 percent year-on-year to 1.89 million sqm GLA by Q4 2019. Qatargas and Shell for the Minister Al Kaabi added: of customers who depend upon (Y-o-Y) and 1 percent Q-o-Q. For instance, about Due to delayed deliveries, an estimated 462,000 supply of LNG to Kuwait, fol- “This new SPA also further reliable, flexible LNG 2 percent quarterly drop in rents was observed sqm (Boulevard Mall in Jeryan Jenaihat, 04 Mall in lowing the recent agreement underlines Qatargas’ position as deliveries.” in Lusail, as median monthly asking rents The Pearl, J Mall in , Place Vendome in signed between the market leader in LNG and The SPA provides for the declined to QR88 per sqm. Newly opened Lusail and Doha Mall in Al Maamoura) of organised Petroleum and Kuwait demonstrates the Company’s supply of LNG from Qatar Liq- buildings offered asking rents that ranged from retail space is projected for completion in 2020. Petroleum Corporation. These distinguished track-record of uefied Gas Company Limited (4) QR95 to QR125 per sqm depending on size, quality Based on GLA and population figures, shopping agreements demonstrate our providing reliable LNG to the (Qatargas 4), a joint venture and view with rent-free period up to 3 months. centre GLA in Qatar is 660 square meters per 1,000 commitment to the State of global market place and its con- between Qatar Petroleum (70 The offices located along Salwa Road expe- capita compared to the GCC average of 620 square Kuwait, which is a very tinued ability to capture percent) and Shell (30 percent). rienced the highest quarterly decline in asking meters per 1,000 capita. `P2 02 BUSINESS MONDAY 10 FEBRUARY 2020 Innovation key to unlock shareholder value: QNB Group CEO

SATISH KANADY banking sector is a high-profile target cup infrastructure. THE PENINSULA for cyber criminals, with threats to even Commenting on the bank’s domestic QNB INNOVATION PROJECTS the most advanced systems being more retail business, QNB Group CEO said the Robotic Process Automation(RPA) QNB will continue to invest in technology frequent and sophisticated thane ver. performance across 2019 was equally and innovation to ensure the bank For that reason, we maintain a robust strong. The bank maintained its market- RPA is a keyinnovation theme for provides the best and most secure cybersecurity strategy and this area leading position in card provision in QNB and 2019 marked the first products and services to its customers, remains a constant area of focus. We Qatar . “We are also leading the way in RPA installation in Doha. Since stated QNB Group Chief Executive, continued to invest and enhance our introducing new payment solutions and installation, the robot has achieved Officer Abdulla Mubarak Al Khalifa. capabilities in this area to strengthen our technologies that are safe, secure and a 92 percent reduction in In a statement issued on the occasion defences”, he said. offer greater convenience to our processing time while reducing of QNB Group’s Ordinary General On QNB’s solid 2019 financial results, customers.” processing errors to almost zero. Assembly Meeting here yesterday, Al the Group CEO said : “ With assets of Internationally, QNB Group operates Khalifa said: “Being innovative is funda- more than QR944.7bn, our profitability as a full-service financial institution in Digital Platform mental to unlocking shareholder value for 2019 was QR14.4bn, up 4 percent on its core markets in Turkey and Egypt. In Digital Platforms provide new ways and is one of the pillars to deliver upon last year. This was driven by a 10 percent addition, QNB has continued to enhance for easier access to financial our strategy. Innovation concerns every growth in loans and 10 percent in its specialized wholesale banking prop- services. single one of us while becoming part of deposits…The profit contribution of our osition across a range of frontier and our DNA across all levels. We have taken QNB Group Chief Executive Officer, international operation was 34.5 emerging markets. Artificial Intelligence-based steps to embrace the change to become Abdulla Mubarak Al Khalifa percent.” “Our growing presence in more Solutions a part of the future of banking…” QNB remains actively involved in developed economies was bolstered by QNB has been trailing artificial For this purpose, QNB has established a range of ongoing projects in prepa- a regulatory approval for a branch in intelligence-based solutions to a global innovation centre, QNBeyond. Al Khalifa noted that managing risk ration for 2022 FIFA World Cup. The Hong Kong. Our presence in this build rich, data-based insights to This will help QNB future-proof its is an integral part of QNB’s business and bank retained its leading position in important financial hub will significantly help in anticipating and delivering business to be the bank of choice for mil- decision-making process. QNB Group’s corporate banking domestically, with enhance our ability to serve East Asia, on the evolving needs of the lions of customers today and into the sustainable performance depends on its a significant focus on transport, food contributing to the expansion of our customers. future, the Group CEO added. ability to manage risk at all levels. “The security sectors and 2022 FIFA World network, reach and reputation.”

Mwani Qatar announces Qatar Maritime Construction costs MARKETWATCH of Canada pipeline and Logistics Summit 2020 sponsors to Pacific soar QSE FTSE100 DOW CRUDE THE PENINSULA — DOHA AFP — OTTAWA Maritime and Logistics Summit will focus on the challenges that 10,149.03 7,453.58 29,205.95 $50.32 will bring together the senior the maritime transport, port and -55.59PTS −51.21PTS −173.82 PTS -0.63 Mwani Qatar has announced the experts from the global maritime logistics sectors facing between The cost of constructing a key sponsors for the Qatar sector and Qatar to discuss 2020 and 2030. With a focus on government-owned pipeline 0.54% 0.69% 0.59% Dow & Brent before going to press Maritime and Logistics Summit industry-wide, long-term chal- transportation, the summit will to the Pacific coast that would 2020 which will be held from 18 lenges and opportunities as well establish expectations for a open new overseas markets to 19 February 2020 at the as a number of important topics logistics sector in transition, and for Canadian oil has jumped Sheraton Grand Doha Resort and such as trade, global trends, port a realignment of maritime with 70 percent, the management Total office stock reached 4.8 million Convention Hotel. development, financing, tech- these expectations. The next company has announced. The main sponsors for the nology, digital security, cyberse- decade is likely to see a closer Design changes, additional sqm by the end of 2019: ValuStrat summit are Qatar National Bank curity, safety, security and sus- alignment of the maritime and regulatory processes and FROM BUSINESS PAGE 1 (QNB) and Milaha, while the tainability and many other topics logistics sectors. This alignment delays caused by environ- QTerminals is the platinum related to shipping, port and will coincide with two trends of mental activists’ protests and In terms of performance, the retail market continued to remain sponsor. Qatar Gas Transport logistics sectors. global significance that will legal challenges drove the tenant friendly in 2019 with landlords offering lucrative incen- Company Ltd. (Nakilat) is the The first summit of its kind increasingly shape the decisions pipeline costs to $9.5bn tives (e.g. waiving service charges or turnover rents) to retain diamond sponsor while the Qatar in Qatar aims to promote Qatar’s we take about investment in the (Can$12.6bn), up from a $5.6bn existing retailers and attract new leases. Free Zones is the gold sponsor. ports and logistics sectors to keep infrastructure needed to keep estimate three years ago, said The median monthly asking rents among street shops in Doha The Qatar Chemical and Petro- pace with growth and benefit maritime and logistics businesses Ian Anderson, the chief exec- was QR182 per sqm, down by 5 percent Q-o-Q and 13 percent chemical Marketing and Distri- from global experiences in these active. These trends are, firstly, utive of government sub- Y-o-Y. The shops located along C-Ring Road, Fereej Bin Mahmoud, bution Company (Muntajat) and fields, thus contributing to a deeper concern for sustaina- sidiary Trans Mountain. Fereej Abdul Aziz, Lusail and observed the highest fall in Mowasalat (Karwa) are the silver achieving the Ministry of bility — most obviously in the At a press conference in quarterly rents by an average 14 percent. sponsors. Transport and Communications’ need to protect a vulnerable Ottawa, Finance Minister Bill The median asking rents among street retail units outside Hosted by the Ministry of strategic plan aimed to transform environment — and, second, a Morneau said the Trans Doha was QR172 per sqm, fell by 9.5 percent Y-o-Y. When com- Transport and Communications Qatar into a vital commercial and keener perception of the impact Mountain pipeline project, pared on quarterly basis, the remained unchanged in Q4 com- and organized jointly between logistical hub in the region. of next-generation technologies which was nationalized in 2018 pared to Q3, 2019. The shops located outside Doha such as in Al Mwani Qatar as a strategic partner In its first edition, the Qatar on the world of work, particu- to prevent its collapse, was still Khor and Salwa Road registered the highest fall in quarterly asking and Lloyd’s List, The Qatar Maritime and Logistics Summit larly related to transportation. “commercially viable.” rents of up to 15 percent. NBK Automobiles introduces Mercedes-AMG GT 4-Door Coupe in Qatar

Mercedes-AMG GT 4-Door Coupe

THE PENINSULA — DOHA comfort with diverse individ- LED tail lights define the ualisation options and the latest hallmark boot sill line, the rear Nasser Bin Khaled (NBK) Auto- sports car engineering. aerofoil extendable in several mobiles, the authorised general The interior of the first stages not only underscores the distributor of Mercedes-Benz four-door AMG GT model is family affiliation; it is also an in Qatar, introduces the characterised by elegant important element of the active Mercedes-AMG GT 4-Door coolness and also the latest fea- aerodynamics. Coupe, the first four-door tures: innovative control panels The exciting AMG 4.0-litre sports car to Qatar, which is can be intuitively operated and V8 biturbo engine is already now available at the Mercedes- configured as required. The used in numerous AMG models. Benz showroom on Salwa blend of high individualisation Its output has been enhanced Road. and sports car technology, yet further for the new Mer- The new coupé is the first placing yet more focus on the cedes AMG GT 63 S 4MATIC+ four-door sports car from requirements of discerning (fuel consumption combined Affalterbach and draws directly customers, is also clear from 11.2 l/100 km, CO2 emissions on the legendary SLS and AMG the wealth of equipment combined 257 g/km) and GT models of success. As packages and individual ensures superior performance another vehicle developed options. The latest coup from on a par with a sports car. It autonomously by Mercedes- Affalterbach also lives up to the delivers 470 kW (639 hp) and AMG it combines unique Mercedes-AMG brand pledge a maximum torque of 900 Nm, design, high comfort and out- about its high driving dynamics which is available over a wide standing sports car engineering and sets the benchmark in its engine speed range from 2500 with an athletic, four-door segment on the racetrack too. to 4500 rpm. The top engine fastback layout. It thus offers With frameless side of the new four-door AMG GT more space and more potential windows and a flat windscreen thus exudes effortless superi- uses. Systematic expansion of inclined far to the rear, features ority in every engine speed the AMG GT family with the of the classic coupé archi- range. Acceleration from 0 to 4-door Coupé opens up the tecture are also cited. With the 100 km/h in 3.2 seconds clearly sports car segment to those additional seat row in the rear illustrates this, as does the looking for a vehicle for day- the characteristic lines of the maximum speed of 315 km/h. to-day use, but unwilling to go AMG GT models are not com- The AMG 4.0-litre V8 without the unparalleled per- promised. The tailored upper engine works with the proven formance of Mercedes-AMG. contours and broad shoulders biturbocharging, where the The expressive design with point to the athletic, sporty ori- two exhaust-gas turbo- the low bonnet, dominant front entation of the car, which is chargers are arranged not on and muscular body language additionally emphasised by the exterior, but between the emphasises the sporty genes of very pronounced rear wheel cylinder banks. The advan- the four-door coupé, which sets arches. tages of the “hot inner V” are new standards as the youngest The rear view of the new in the compact engine design model in the AMG family: as the 4-door coupé picks up on and the immediate response first four-door AMG GT model familiar features of the AMG GT of the exhaust-gas combines high everyday design idiom: extremely slim turbochargers. MONDAY 10 FEBRUARY 2020 BUSINESS 03 04 BUSINESS MONDAY 10 FEBRUARY 2020

Known to be one of the largest mixed-use Two new startup incubators to be business incubators in the Mena region, the QBIC has supported launched in Qatar this year: QBIC official over 500 lean startup

LANI ROSE R DIZON establishing two specialised startups to work in Doha. All entrepreneurship in Qatar. graduates. THE PENINSULA incubators which will be three programmes will be We’re also developing a huge launched soon, likely in March. launched in Qatar this year,” Angel investor network that percent of the startup equity,” With Qatar’s startup ecosystem Both incubators will really serve added Al Khulaifi. we’re trying to support. We’re he added. rapidly growing, the demand for the Qatar National Vision 2030,” Known to be one of the now seeing more Qatari The concept of entrepre- more incubators, accelerators, Majed Abdulaziz Al Khulaifi, largest mixed-use business incu- investors and Angel investors in neurship and incubation is as well as investment funds is Head of Incubation at QBIC said, bators in the Mena region, the Qatar,” Al Khulaifi said earlier still relatively new in Qatar currently taking centre stage in without specifying which indus- QBIC has supported over 500 during the panel discussion. despite the rapid growth in the country’s business sector. To tries the new incubators will be lean startup graduates, and incu- He added that QBIC, which the startup ecosystem, which meet the needs of the growing catering to, while talking to The bated as many as 180 startup previously required a Qatari proves challenging, said Al number of startup entrepreneurs Peninsula on the sidelines of companies since its estab- partner for every startup Khulaifi. He added: “We here, the Qatar Development Startup Grind’s forum in Doha lishment in 2014. The centre has company, will now accept learned that we also have to Bank (QDB) is in the process of recently. witnessed countless success startups without a Qatari partner focus on the investors. At the establishing two new industry- He added that QBIC will also stories of its incubated startup in its programme. “From the beginning, we were focusing specific startup incubators which launch three new investment- Majed Abdulaziz Al Khulaifi, companies, with several com- next wave of lean startup pro- on the entrepreneurs them- are expected to be launched in related programmes in Qatar Head of Incubation at Qatar panies further expanding into gramme, it will no longer be selves. But now, we have to March, an official from QDB’s this year, to address the Business Incubation Centre foreign markets. According to mandatory for startups to have let the entrepreneurs explore Qatar Business Incubation investment gap in the country’s QBIC website, QBIC has invested a Qatari partner. Expatriate the market. There are still Centre (QBIC) has said. startup ecosystem. “There is a about QR4.7m into the startups entrepreneurs can just go and challenges, but you cannot be “Looking at the current sit- huge investment gap in the Qataris and non-Qataris in Doha which have generated around apply in the programme. The an entrepreneur without the uation in the market, we see market. What we’ve done now, to start investing on the startups. QR60m of revenue. only difference is that we will challenges. And the regula- there’s a huge demand (for new is we’re launching three This will help the startups to “We’re now trying to push take startup equity. QBIC will tions in Doha, compared to incubators) for specific sectors. investment-related programmes grow faster, and this will also towards investment opportu- now be their partner, which will other countries, are much The QDB is in the process of where we will try to encourage help in attracting international nities to enhance the startup take between 3 percent and 6 better (for the startups)”. Gulf Exchange launches Sinhala website to mark 72nd Sri Lankan Independence Day Lexus announces 6 finalists THE PENINSULA — DOHA attended by Sri Lanka’s Deputy During the event, Jaafar Ali for 2020 Design Award Ambassador to Qatar Ratnas- Al Sarraf, General Manager of Gulf Exchange has launched its ingam Kohularangan, Kenya’s Gulf Exchange, said that the Sinhala website (www.gulfex- Ambassador to Qatar Patrick Sinhala website resembles Gulf change.com.qa/si) in celebration Cornel Odero Ahenda, company Exchange’s commitment to of the Sri Lankan Independence senior management, staff, and support the community Day. The website launch was distinguished guests in Doha members in both countries as held at a ceremony which was recently. more than 120,000 community members are living in Qatar, speaking Sinhala language. Ahmad Ali Al Sarraf, Deputy General Manager of Gulf Exchange, unveiled the updated Lexus LC 500h corporate profile of Gulf Exchange and highlighted the THE PENINSULA — DOHA open-source home plans; and together with our loyal customers milestones achieved by the Pursewit, by Aqsa Ajmal whose continuous support fuels company in 2019. He praised Lexus has announced the six (Pakistan): An accessible sewing our passion to reach beyond the the support and commitment of finalists for the 2020 Lexus machine that incorporates sewing conventional and create amazing Bank of Ceylon and Commercial Design Award, each of whom will skills to assist in income gener- experiences.” Bank of Sri Lanka, where cus- receive mentorship from ation for the visually impaired. The six finalists traveled to tomers can now transfer renowned design leaders John Maeda, judge for 2020 New York City in January for a through any of Gulf Exchange together with funding of up to Lexus Design Award, said: “This life-changing workshop expe- branches as well as Ooredoo 3,000,000 yen (over $27,000) year’s Lexus Design Award rience with four acclaimed Mobile Money instantly to the to create prototypes of their finalists speak to two main mentors; Joe Doucet, Founder of The officials during the event. banks in Sri Lanka. projects. The finalists represent themes; consciousness and the Joe Doucet X Partners; Bethan the United States, China, Europe, environment, which are increas- Gray, Creative Director at Bethan Pakistan, and Kenya, and were ingly relevant as technological Gray Design; Philippe Malouin, selected from a record-setting progress impacts our world. As Director of Philippe Malouin group of 2,042 submissions from design projects, they go beyond Studio; and Shohei Shigematsu, 79 countries. just asking questions to provide Partner and Director of OMA Now in its eighth year, the concrete answers based on inno- New York. The workshop took Lexus Design Award provides a vative reasoning and practiced place at Intersect by Lexus-NYC, unique platform for young cre- opinions on engineering. Nar- the brand’s unique lifestyle space, ators to demonstrate and further rowing the massive list of entries and kicked-off an ongoing inter- develop their talents. The pro- down to the small set of repre- action between finalists and posals were selected based on sentative works was not a simple mentors that will continue in the their expression of three key task. In the end, I think we found lead-up to the judging session in principles of the Lexus brand; the right set of captivating Italy. Anticipate, Innovate, and Cap- projects to represent the themes The finalists will present their tivate, with an emphasis on of mind and body that are critical completed prototypes to the design that leads to a better to our future.” world during Milan Design Week tomorrow. Kei Fujita, Chief Represent- in April, with the winner to be The 2020 Lexus Design ative of Middle East & Central selected by the esteemed judging Award finalists are: Bio.Scales by Asia Representative Office for panel that includes Simon Hum- Sutherlin Santo (USA): A modular, Toyota Motor Corporation, phries, Head of Lexus Global carbon sequestering air filtration added: “We are excited to see that Design. Appointed to oversee system assembled from roboti- the Lexus Design Award, now in design in 2018, Humphries seeks cally 3D printed biopolymer its eighth year, is increasingly to define Lexus’ unique values in scales; Feltscape, by Théophile becoming recognised amongst the form of a brand philosophy Peju & Salvatore Cicero (France, creatives from around the world. that incorporates a clear cultural Italy / Based in the United The submissions this year were reference to Lexus’ Japanese her- Kingdom): A breathing cloud exceptional in terms of ideas, and itage and building a design made out of felt which interacts we set a new record of over direction that is relevant to users with people and space to enhance 2,000 entries from 79 countries. around the world. well-being; Flash Pak, by Yaokun Design and craftsmanship have He will be joined by fellow Wu (China / Based in the USA): A always been a fundamental part judges Paola Antonelli, Senior smart survival apparatus that pro- of the Lexus brand. The Lexus Curator of Architecture & Design tects young students and helps Design Award builds on this rich and founding Director of them stay together in flash floods; heritage by empowering the next Research & Development at The Lick, by Irina Samoilova (Russia): generation of creators by Museum of Modern Art in New A portable body cleaner for allowing them to develop unique York; Jeanne Gang, the founding humans with a unique surface ideas and work under the expert principal and partner of interna- similar to a cat’s tongue; Open guidance of distinguished tionally renowned architecture Source Communities, by Bell- mentors to showcase their and urban design practice Studio Tower (Kenya): A project designs to the world.” Gang; and John Maeda, a exploring the future of smart sus- He added: “I would like to renowned American technol- tainable communities in devel- thank everyone involved in the ogist, designer, engineer, artist, oping countries using success of this unique platform, investor, author, and teacher.

The Lexus Design Award finalists & mentors. MONDAY 10 FEBRUARY 2020 BUSINESS 05 Credit Suisse Azerbaijan is likely to support this (oil output cuts by Opec and its chairman expects allies). At this stage, the effect of coronavirus is temporary and I do not see global threats, but I do not rule out that there may be further (oil output) cuts. We can meet earlier than March if necessary although to see out term there is no such need so far. after spy scandal Parviz Shahbazov, Azerbaijan’s Energy Minister

REUTERS — VIENNA Credit Suisse, which Bombardier’s shaky future puts Credit Suisse Chairman Urs is Switzerland’s Rohner does not expect to be voted out of office before his second-largest term ends after this week’s bank and among the Premier Francois in dicey deja vu departure of Chief Executive Tidjane Thiam over a spying biggest in Europe’s BLOOMBERG — QUEBEC “Public opinion has lost some years earlier in exchange for a scandal. largest, hopes of its sympathy for Bombardier,” 49 percent stake but saw its share “I am not afraid of being Thiam’s exit will As the debt-laden plane and train said Michel Nadeau, a former shrink to about 16 percent with voted out of office,” Rohner was maker Bombardier Inc explores deputy chief executive officer at the entry of Airbus. Investing quoted as saying by newspaper draw a line under selling one of its core businesses the Caisse de Depot et Placement directly in the plane rather than Schweiz am Wochenende, the scandal that and exiting a jetliner venture with du Quebec, the province’s influ- the company as a whole was a adding that the supervisory Airbus SE, its home province is ential pension fund manager. “serious mistake” by the Liberal board had acted unanimously hit its reputation feeling the need to get involved “The Legault government can’t government that now leaves little in deciding with Thiam that he and shocked the again – but not at any cost. step in with big amounts – if they say to its successor over asset should step down. Swiss financial Unwilling to add to the $1bn help, it has to be small.” sales, said Legault. Rohner also said he had his predecessor invested in the Bombardier said in a “We’re in a situation that’s HSBC offers received “clear responses” from community. plane program now known as statement it currently has no not easy,” Legault, a former busi- shareholders supporting the A220, Premier Francois Legault request for help before the nessman who co-founded leisure $3.9bn liquidity decision. is exploring alternative tools to Quebec government. airline Air Transat, told reporters Credit Suisse, which is Swit- conflict between Thiam and preserve thousands of jobs, in A Canadian industrial February 5. “We’re currently relief to Hong zerland’s second-largest bank Rohner over the surveillance what’s shaping out to be his champion with roots in snow- looking at ways to protect jobs and among the biggest in scandal. Credit Suisse’s board biggest economic test yet. mobiles before acquisitions without investing too much of Kong firms Europe’s largest, hopes Thiam’s said Rohner had its backing to He’s walking a fine line. A turned it into a major builder of Quebeckers’ money.” exit will draw a line under the complete his term until April self-described nationalist whose jets and subway cars, Bom- There’s no obvious solution. BLOOMBERG — scandal that hit its reputation 2021. Whether shareholders will Coalition Avenir Quebec party bardier has been a source of The company has received bil- HONG KONG and shocked the Swiss financial support him at this year’s annual rose to power for the first time pride and a major employer in lions in loans, tax credits and community. meeting remains to be seen. 16 months ago, Legault has Quebec. Yet its glory days are equity injections from federal Hong Kong businesses are But the move also runs the “You can never be certain. vowed to close the income gap now behind it as it focuses on and provincial governments over set to benefit from over risk of irking international But I have no indication that my with wealthier Ontario and keep reducing a $10bn debt load that the years, including C$596m in HK$30bn ($3.9bn) in shareholders who had backed re-election could be in danger,” corporate head offices in Quebec. can partly be traced back to the reimbursable loans that it says it liquidity relief offered by Thiam, not Rohner. Credit Rohner said. Choosing Gottstein, Yet he can’t been seen as too gen- C Series, a single-aisle jetliner has completely paid back. And HSBC Holdings Plc to Suisse and Thiam, CEO for the first Swiss citizen to run erous with Bombardier’s man- that ran into multiple delays and it’s trying to reduce debt. Short support firms as the almost five years, say he was not Credit Suisse in almost 20 years, agement, whose image has been overruns. of a massive cash injection -- deadly coronavirus aware it was spying on former to replace French-Ivorian tarnished after awarding itself Airbus gained control of the which Economy Minister Pierre weighs on the economy. executives including wealth Thiam was not a knee-jerk generous pay bumps while program in 2018 at no cost, Fitzgibbon ruled out as “not Measures include a manager Iqbal Khan, who reaction, he added. cutting jobs, receiving gov- renamed it the A220 and now appropriate”-- Bombardier has principal repayment mor- defected to rival UBS. “We assessed various can- ernment aid, and failing to turn employs 2,700 workers at the little choice but to downsize. atorium for borrowers Thomas Gottstein, who didates. We do that regularly, the company around. Mirabel plant, 53 kilometers (33 The company has already with commercial loans heads the Swiss business at twice a year, in fact... That “Bombardier: their failure, miles) outside Montreal. sold assets in recent years, secured by property, as Credit Suisse, will take over enabled us now to reach a your bill,” an editorial at Mon- The deal took power away including in a pending deal for well as those with taxi and from Thiam, the Zurich-based decision quickly,” Rohner was treal-based La Presse editorial from Quebec, which had poured its CRJ jet unit with Mitsubishi public minibus loans, lender said on Friday, ending a quoted as saying. read last month. $1bn into the program just two Heavy Industries Ltd. according to a statement from HSBC yesterday. Trade finance customers can also apply for access China offers $43bn boost to an overdraft of up to HK$10m for six months to help with daily opera- to firms fighting virus tional needs like employee payrolls and AFP — BEIJING cities, qualify for the special rent. funding, according to a speech “We are committed to China’s central bank said posted on the bank’s website supporting our customers yesterday it will offer a 300 yesterday. and will introduce more billion yuan ($43bn) boost next These 10 areas include initiatives that will week to help businesses Hubei province – the epicentre provide near-term relief,” involved in fighting the virus of the virus outbreak -- as well Diana Cesar (pictured), epidemic which has swept as Zhejiang, Guangdong, the the bank’s local chief China and infected thousands. capital city of Beijing and executive, said in the The outbreak, which financial hub Shanghai. statement. started in the central city of The financial boost is Banks across the city Wuhan, has brought large aimed at helping companies at are considering loan swathes of the country to a halt both national and local level, relief to help struggling and threatens to dampen the Liu said. customers and businesses country’s already slowing He stressed that “financial as the outbreak crimps economy. institutions need to review and spending and travel, The People’s Bank of China issue loans quickly”, and that while Hong Kong’s (PBOC) said it will offer the first they should also release funds finance chief has urged tranch of special re-lending within two days. landlords to provide funds on Monday, which it said The deputy governor rental relief to struggling Swedish tech start-up Karma fast expanding will support financial institu- added that the central bank will firms. A Karma app user collects his food, ordered through the food-sharing app, from a Coco Di Mama food tions to give loans to key enter- track the use of the funds and The Hong Kong Mon- outlet – a store partnered with the Karma app. Swedish start-up Karma was founded in Stockholm prises involved in the pre- any found to flout the rules will etary Authority said in 2016 and its app now helps serve 1.0 million users in Britain, France and home market Sweden. vention and control of the be penalised. He also said the Thursday that lenders In the UK alone, it offers 2,000 outlets. “We do not plan for the day to end with zero waste, because epidemic. scope of key enterprises had informed it of plans at the end of every day we want to have some stock on our shelves” for customers not using the PBOC deputy governor Liu “should not be too wide”. The to “roll out temporary apps, says Sara McCraight, head of branding at Coco di Mama. “When we give to charity partners, Guoqiang said that nine major deadly coronavirus has claimed relief measures to help that’s great. But with Karma we get some money recovered; (it) doesn’t cover costs but it helps.” national banks, as well as local over 800 lives in China and tide their customers over banks in 10 provinces and spread around the world. during this difficult time.”

The virus outbreak Powell to confront ‘new risk’ to US economy from China virus occurs against a BLOOMBERG — WASHINGTON panel the next day. about the Fed’s intentions. But against a backdrop of what is backdrop of what Lawmakers will also likely he’s just as unlikely to dismiss mostly a healthy US economy. is mostly a healthy Federal Reserve Chairman press Powell for the rationale the threat and rule out any US employers boosted payrolls Jerome Powell (pictured) has behind the big run-up in the response.”There’s little upside by a higher-than-expected US economy. US confessed that it’s “very hard” Fed’s balance sheet that’s to trying to sound too confident,” 225,000 in January as wage employers boosted to understand China’s economy. occurred since September’s said former Fed researcher gains also rebounded. The outbreak of the coronavirus turmoil in the money markets. Michael Feroli, who is now chief The global outlook also payrolls by a higher- has made that exponentially Coming on the heels of Pres- US economist at JPMorgan appears a bit brighter thanks in than-expected more difficult.Yet it’s something ident Donald Trump’s acquittal Chase & Co. “At least when I was part to the US-China phase one 225,000 in January that he can hardly afford to on impeachment charges last there, there weren’t any virolo- trade deal and fading of fears of ignore when he adddresses week and ahead of November gists on the board.” a disruptive, no-deal Brexit. as wage gains also lawmakers this week. The sheer elections, the hearings could “The underlying hiring trend What’s more, the turbulence in rebounded. size of China’s economy means well be politically contentious is robust, providing a sturdy the money markets has also that any hit to its growth from as lawmakers from both parties foundation for domestic growth. subsided, thanks to hundreds of the epidemic will have a pepper Powell with However, this is due to be chal- billions of dollars the Fed a success.He’s also sounded knock-on impact for the rest of questions.” lenged in the relatively near you understand how the pumped into the financial satisfied with the stance of the world and the US. He is going to have his term by weak global growth in economy works,” Powell told system. monetary policy, after three “The effects of the corona- Kevlar on,” said Ward McCarthy, general and coronavirus supply- lawmakers in November.Private In a February 6 letter to interest rate cuts last year. And virus in China have presented a chief financial economist at Jef- chain disruptions in sector economists have started Powell, Democrat Senators he’s suggested that he’s likely new risk to the outlook,” the US feries LLC. “All of the questions particular.” to shave their estimates of US pressed him for an explanation to stay that way unless there’s central bank wrote in its semi- will have some political The uncertainties are com- growth due to the coronavirus. of what lay behind last year’s a material change to the annual report to Congress connotations.”Ahead of the pounded by the difficulties Feroli cut his first-quarter agitation in the money markets outlook for the U.S. economy. released recently. Just how big hearings, traders in the federal outside observers confront forecast to 1 percent, though he and the Fed’s response.The Whether the coronavirus will of a risk it is – and what’s the funds futures market are betting when trying to understand expects activity to bounce back lawmakers, including presi- eventually force such a reas- likely Fed response – probably that Powell and his colleagues China’s economy through the in the second quarter. Oxford dential candidate Elizabeth sessment is unclear at this will be front and center when will respond to the virus with a prism of what many see as doc- Economics is more pessimistic. Warren, raised questions about point.”The set of possible out- Powell kicks off two days of cut in interest rates later this tored government statistics.” It reduced its first-quarter whether the banks had gamed comes is pretty broad right Congressional testimony on year. You can read all you want, you growth prediction to 0.6 percent the market in hopes of winning now,” said Nathan Sheets, a Tuesday before the House Given all the unknowns can visit it all the time, but none- from 1 percent with some some regulatory relief.Powell, former Fed official who is now Financial Services Committtee. involved, Fed watchers say theless it’s still very hard, I think, spillover into the second quarter. for his part, has depicted the chief economist for PGIM Fixed He speaks to the Senate Banking Powell is unlikely to be that clear for me anyway, to really feel like The virus outbreak occurs money market interventions as Income. 06 BUSINESS MONDAY 10 FEBRUARY 2020

China’s Shenzhen Covea in talks to buy Agnellis’ PartnerRe for $9bn says Foxconn to resume BLOOMBERG — LONDON in 2015 to diversify its assets in 2018 for $15.3bn. Covea aban- outside the capital-intensive doned efforts to buy its French It would be operations after French insurer Covea is in automotive industry. A sale for rival Scor in 2019, ending one of biggest deal in the advanced talks with the Agnelli $9bn in cash would mark a sig- the country’s most acrimonious inspections family’s Exor NV to buy the nificant gain for the Italian bil- takeover attempts in recent industry since Axa Italian company’s reinsurance lionaire clan. years. Reinsurers insure risks of SA bought XL in REUTERS — BEIJING business PartnerRe for about The acquisition of PartnerRe primary insurers such as Covea $9bn in cash, according to would help Covea diversify its and have themselves been 2018 for $15.3bn. The local government of the people familiar with the discus- business beyond home, auto, life subject to pricing pressure and Covea abandoned city of Shenzhen in south- sions. and health insurance coverage. consolidation in the industry. eastern China said on Sunday Covea approached Exor with Insurers and reinsurers are Exor won a hostile takeover efforts to buy its it had not blocked plans by an offer for the Bermuda-based under pressure from the low to battle for PartnerRe in 2015, French rival Scor in Apple supplier Foxconn to reinsurer and is in exclusive negative interest rates at which breaking up a merger agreement resume production, adding talks with the holding company declined to comment. A repre- they have to invest a large chunk between the reinsurer and Axis 2019, ending one that the company would that also controls Fiat Chrysler sentative for Covea didn’t imme- of their premiums. Insurers thus Capital Holdings Ltd. A sale of of the country’s restart once inspections were NV and Ferrari NV, said the diately respond to request for have turned to dealmaking and the company would mark completed. people, who asked not to be comment outside business ways of diversifying their another major deal for Elkann most acrimonious The Nikkei Business Daily identified as the discussions are working hours. revenue streams, including just a few months after Fiat takeover attempts reported on Saturday that private. Talks are advanced but Exor, led by the Agnelli scion moves into reinsurance and Chrysler agreed to combine with China had blocked the com- may still not produce a deal, they John Elkann (pictured) – who is asset management. PSA Group in December to in recent years. pany’s plans to resume pro- added. also chairman of Fiat and Ferrari It would be biggest deal in the create the world’s fourth- duction amid concerns about A spokesman for Exor –bought PartnerRe for $6.9bn industry since Axa SA bought XL biggest carmaker. the coronavirus. Energy markets need winter and climate change is taking it away

BLOOMBERG — NEW YORK a disaster-and as the world con- hit. “The oversupply keeps collapsed globally as the weather government treasuries. Russia, tinues to get hotter it’s something The industry relies coming and winter so far hasn’t crimped the need for heating. US for example, relies on its oil and Even before the deadly virus producers, traders and gov- on cold weather really showed up,” said Ron Ozer, futures are trading at the lowest gas companies for around 40 struck, another menace ernment treasuries will have to chief investment officer of Statar levels for this time of the year percent of budget revenues. confronted the global energy live with long after the acute dis- across the northern Capital LLC, an energy-focused since the 1990s. Asian spot prices Oil exports have been holding industry: the warmest winter location of the coronavirus has hemisphere to drive hedge fund in New York. for liquefied natural gas have steady, but gas exports are anyone can remember. passed. The industry relies on Last month was the hottest crashed to a record low as dropping. Sergei Kapitonov, gas Russia’s winter was so balmy cold weather across the northern demand for oil and January ever in Europe, the demand slumps in the world’s analyst at Moscow-based that snow was trucked into hemisphere to drive demand for gas to heat homes Copernicus Climate Change three biggest importers-Japan, Skolkovo Energy Center, esti- downtown Moscow for New oil and gas to heat homes and Service reported. Surface tem- South Korea and China. mates Gazprom’s exports to Year, and bears came out of workplaces in the world’s most and workplaces peratures were 3.1 degrees Based on weather-driven Europe and Turkey fell in January hibernation. In Japan, ski com- advanced economies. in the world’s Celsius (5.6 degrees Fahrenheit) demand data, the US and Asia are by about a quarter from a year petitions were canceled and the Climate activists might find a most advanced warmer than average. having their warmest winters on earlier. Gazprom stock is down Sapporo Snow Festival had to certain poetic justice in energy Northern Europe was partic- record and Europe is having its 11 percent this year. borrow snow. markets suffering from the global economies. ularly hot, with some areas from second warmest, according to Joe The collapse in oil prices- On the shores of Lake warming caused by fossil fuels. Norway to Russia more than 6 Woznicki, a meteorologist for spurred by the coronavirus but Michigan, Chicago residents Burning natural gas, oil and other degrees above the 1981-2010 Commodity Weather Group LLC. pushed along by the warm watched playgrounds and fuels to heat homes and busi- a day in January, according to January average. Temperatures A key measure of heating weather-prompted Saudi Arabia beaches disappear under the nesses accounts for as much as Gary Ross, chief investment in Tokyo took until Feb. 6 to hit demand, known as heating to press its OPEC+ allies for a pro- waves as warm weather swelled 12 percent of the greenhouse-gas officer of Black Gold Investors freezing point, the latest date on degree days, is 12 percent below duction curb this week. Three the water level. Norwegians emissions blamed for raising the LLC and founder of oil consultant record. Globally, the last five the 10-year average in the US, 14 days of wrangling in Vienna basked in T-shirts in January. world’s temperatures. PIRA Energy. That’s the equiv- years have been the hottest for percent lower in Asia and 13 didn’t produce a clear result, but London’s spring daffodils have The loss in global oil demand alent of knocking out Turkey’s centuries, as greenhouse gases percent in Europe. it’s a reminder that the kingdom already flowered. due to mild temperatures is entire consumption. The natural change the Earth’s ecosystem. And it’s not just markets that can’t run its state finances with For global energy markets it’s probably about 800,000 barrels gas market has taken a similar Natural gas prices have are reeling. It’s also an issue for oil prices in freefall.

QATAR STOCK EXCHANGE

QE INDICES SUMMARY QE MARKET SUMMARY COMPARISON WORLD STOCK INDICES EXCHANGE RATE

QE Index 10,149.03 -0.54 % 09-02-2020 Index Day’s Close Pt Chg % Chg Year High Year Low Currency Buying (QAR) Selling (QAR) QE Total Return Index 18,675.08 -0.54 % Index 10,149.03 All Ordinaries 4207.354 110.624 2.7 5069.5 3829.4 US$ 3.6305 3.6500 QE Al Rayan Islamic Change -55.59 CAC 40 Index/D 3176.13 -0.06 0 4169.87 2979.87 Pound Sterlig 4.7274 4.7938 Index - Price 2,212.46 -0.98 % % -0.54 DAX - Composit/D 531.14 8.71 1.67 667.98 485.74 Swiss Frnac 3.725 3.7769 DJ Indu Average 0 0 0 12876 9936.39 QE Al Rayan Islamic Index 3,771.05 -0.98 % YTD% -2.65 Japanese yen 0.03294 0.03358 Volume 92,822,607 Egypt Cma Gn Idx 675.91 13.3 0.95 1567.23 143.08 QE All Share Index 3,023.23 -0.37 % Australian Dollar 2.4396 2.4877 Value (QAR) 159,720,352.07 Hang Seng Inde/D 19783.67 452.97 2.34 24468.64 18868.11 QE All Share Banks & Canadian Dollar 2.7184 2.7713 Trades 4,149 ISEG Overall/D 2510.71 44.36 1.8 3037.89 2333.35 Financial Services 4,239.19 -0.12 % Indian Rupee 0.0507 0.0517 QE All Share Industrials 2,733.80 -0.62 % Up 21 | Down 19 | Unchanged 06 Karachi 100 In/D 11311.29 276.37 2.5 12768.4 11032.2 Nikkei 225 Index 9038.74 94.26 1.05 10891.6 8227.63 Pakistan Rupee 0.0233 0.0239 QE All Share Transportation 2,375.48 -1.11 % 06-02-2020 S&P 500 Index/D 0 0 0 1370.58 1039.7 Philipine Peso 0.0711 0.0725 QE All Share Real Estate 1,438.43 -2.87 % Index 10,204.5.62 Straits Times/D 2821.09 -62.91 -2.18 3280.77 2847 Bangala Takka 0.0425 0.0433 QE All Share Insurance 2,647.17 -0.18 % Change 1.27 % 0.18 Sri lanka Rupee 0.0199 0.0203 QE All Share Telecoms 861.86 -0.19 % GOLD AND SILVER QE All Share Consumer YTD% 2.12 Nepalese Rupee 0.0317 0.0323 Volume 79,902,783 South African Rand 0.2453 0.2502 Goods & Services 8,165.13 +0.03 % GOLD QR182.4707 gramme Value (QAR) 276,182,033.71 Euro 3.9903 4.0469 Trades 7,073 SILVER QR2.0645 per gramme