On behalf of myself and the Members of the Board of Directors (BOD), I would like to thank you all on this occasion for attending this meeting. I would also like to extend my thanks to the BOD and the Executive Management Team for the achievements realized during the past year in the midst of the fierce competition in the market and the continuing effects of the global financial crisis that rocked the capital markets worldwide.
As you are all aware, the implications of the global financial crisis which began in 2008 still exist, and the economies of the European Union countries are still facing great difficulties threatening some of these countries with the danger of entire collapse. In addition, the political events experienced in the Middle East led to a slowdown in the economies of various countries across the Globe including the economies of the developed countries, forcing some of those countries to make unprecedented reforms to exit from crisis.
We, as bankers must be very cautious because the financial markets in this region would be unpredictable if other disasters occurred in due course. However, despite of all these events and due to the wise leadership of His Highness, Sheikh Hamad Bin Khalifa Al-Thani, The Emir of Qatar, and the strength and durability of Qatar’s economy, in addition to Qatar being the hosting nation for FIFA World Cup in the year 2022, we are being optimistic about the future where we anticipate that Qatar will witness exceptional booming in all economic sectors and subsequently launching of many development projects in the coming years that will reflect positively on the performance of the banking industry in Qatar in general and of Doha Bank’s in particular.
By the end of year 2011, we achieved high growth rates in all financial indicators. The total assets rose by 11% reaching to QR 52.4 billion, total portfolio of loans and advances rose by 15.7%, total customers’ deposits rose by 2.8% and the total shareholders’ equity rose by 17.3% reaching to QR 7.1 billion. We also achieved a growth rate of 17.7% in net profit whereas the net profit realized by the end of the year was QR 1.24 billion compared to QR 1.05 billion in 2010 in addition to a growth rate equivalent to 11.4% in total operational income. These robust results were reflected into strong performance ratios particularly the return on average shareholders’ equity which was 22% and the return on average assets that was 2.49%.
In the same year, we carried out few amendments on the bank’s business strategy especially with regards to the activities of Doha Islamic Bank and overseas branches. Doha Islamic and New York branch activities were ceased. We have already started the process of obtaining the necessary license for the incorporation of a representative office for the bank in New York and incorporation of another full fledged branch in the Emirate of Abu Dhabi. The future plan of the bank also includes implementation of an effective Risk Management, recruiting Qatari Nationals, enhancing the levels of staff performance and banking channels’ services in addition to diversifying the bank’s income sources and strengthening its financial position towards achieving the highest effective levels of operational performance.
We also improved the bank’s Corporate Governance system whereby we approved a number of policies and procedures such as terms of reference for the Board, BOD committees, Executive Management’s committees as well as code of ethics and the roles and responsibilities of Directors. This is a part of promoting the concepts of internal control, transparency, disclosures, shareholders relations and the rights of shareholders.
Finally, on behalf of myself and the Board of Directors of Doha Bank, I would like to extend my sincere thanks and gratitude to H. H. The Emir, Sheikh Hamad Bin Khalifa Al-Thani, H. H. The Heir Apparent, Sheikh Tamim Bin Hamad Al-Thani, H. E. The Prime Minister and Foreign Minister, H.E. Sheikh Hamad Bin Jassim Al-Thani, H. E. Minister of Economy and Finance, Mr. Yousef Hussain Kamal, The Minister of Business & Trade, H.E. Sheikh Jassim Bin Abdul Aziz Bin Jassim Bin Hamad Al-Thani, , and H. E. The QCB Governor, Sheikh Abdullah Bin Saud Al-Thani, H. E. The Deputy QCB Governor, Sheikh Fahad Bin Faisal Al-Thani, and to all supervisors of Qatar Central Bank, Ministry of Business and Trade, Qatar Financial Markets Authority and Qatar Exchange for their continued cooperation and support.
My thanks and appreciation are also extended to the Shareholders, Customers, members of the Sharia’a Board of Doha Islamic, Executive Management team and all staff of the bank for their exerted efforts in achieving impressive results for Doha Bank.
Fahad Bin Mohammed Bin Jabor Al-Thani