Qatar International Islamic Bank mulls 100% foreign ownership

Move needs regulatory and shareholder approval, says board

  
Qatar's traders look at share prices on an electronic display at the Doha Stock Exchange in Doha, Qatar January 8, 2020.

Qatar's traders look at share prices on an electronic display at the Doha Stock Exchange in Doha, Qatar January 8, 2020.

REUTERS/Naseem Zeitoon

Qatar International Islamic Bank's (QIIB) board of directors has recommended allowing foreign investors to own up 100 percent of the bank's capital instead of 49 percent previously allowed. 

In a statement to the Qatar stock exchange, where its shares are traded, the bank said the amendment would need the approval of the supervisory and regulatory authorities and would then be submitted to the shareholders for their approval. 

QIIB shares were slightly lower at 9.39 Qatari riyals shortly after trading opened Monday.  

QIIB is the smallest of four Islamic banks in Qatar, with about a 14 percent market share of Islamic banks' assets, according to Fitch Ratings. 

In April 2021, the Qatari cabinet approved a draft law to allow foreign investors to fully own companies listed on the exchange. The move, if approved into a law, is expected to bring in overseas funds. 

Last year Qatar eased rules on foreign property ownership to make the sector more attractive to expatriates, foreign investors and real estate funds. 

(Writing by Brinda Darasha; editing by Daniel Luiz) 

brinda.darasha@refinitiv.com

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© ZAWYA 2021


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