The local currency time and savings deposits of public sector in Qatar’s commercial lenders registered a huge 41% year-on-year expansion in July 2019, substantially outpacing the marginal 0.06% overall deposit growth in the banking system, according to the Qatar Central Bank (QCB) data.
The local currency time and savings deposits of sovereign and government institutions were on the rise; whereas those of semi-government institutions were on the decline in the review period.
The public sector time and savings deposits (in local denomination) increased to QR124.19bn in July 2019 compared to QR88.1bn in the previous year period; while their local currency demand deposits plunged more than 16% year-on-year to QR25.34bn.
The overall deposit was up mere 0.06% to QR814.01bn in the review period on a yearly basis despite robust deposits by public sector.
In the case of public sector, foreign currency time and savings deposits however registered a 42% year-on-year plunge to QR90.88bn in July this and similarly demand deposits (in foreign currency terms) declined about 32% to QR11.47bn.
In the case of foreign currency deposits, the government saw more than 29% plunge in such deposits to QR29.31bn, government institutions by more than 47% to QR64.3bn and semi-government institutions by 8% to QR24.77bn in July 2019.
Fast expansion in the local currency time and savings deposits thus helped the banking sector to witness a double-digit growth in public sector deposits in July this year.
The private sector saw more than 3% year-on-year growth in local currency demand deposits to QR96.42bn and more than 2% in time and savings deposits to QR191.25bn in July 2019.
The private sector foreign currency demand deposits witnessed more than 15% year-on-year accretion to QR18.14bn; whereas foreign currency time and savings deposits shrank more than 9% to QR59.74bn.
In the case of government, total deposits were down more than 3% year-on-year to QR75.12bn; whereas its local currency time and savings deposits soared about 32% to QR38.89bn and demand deposits by 6% to QR6.92bn in July 2019.
The government institutions’ total deposits recorded about 19% decline year-on-year to QR151.98bn in July 2019. However, their local currency time and saving deposits shot up more than 63% to QR71.46bn; whereas demand deposits shrank about 23% to QR16.22bn.
In the case of semi-government institutions, their total deposits witnessed about 8% year-on-year fall to QR24.77bn. Both time and savings and demand deposits (in local currency terms) declined 7% and 19% to QR13.83bn and QR2.19bn respectively in July this year.
Within the private sector, local currency time and savings personal deposits grew about 9% year-on-year to QR121.11bn and demand deposits by 3% to QR51.85bn in July 2019.
The local currency time and saving deposits of companies and institutions saw 8% shrinkage to QR71.14bn; while demand deposits jumped more than 3% to QR44.57bn.