Doha Bank and Qatar Development Bank Sign Agreement to Support Small And Medium Enterprises (SMEs) In Qatar
Doha Bank announced today that it has entered into a Memorandum of Understanding (MOU) with Qatar Development Bank (QDB) to augment the Bank’s drive to strengthen the Small & Medium Enterprises (SME) sector in Qatar. Working in partnership with QDB, Doha Bank will utilize the specifically designed “Al Dhameen” Finance Assurance scheme to support and boost the activities of the SME segment in Qatar
The MOU was signed by Mr. R. Seetharaman, Group C.E.O from Doha Bank and Mr. Mansoor Bin Ibrahim Al-Mahmoud, Chief Executive Officer of QDB. The signing ceremony, held at the QDB headquarters in Doha, was attended by Mr. Dag Karl Hellmuth Reichel, Head of Wholesale Banking & Mr. Deepthie Yatiyawela,Head-SME Banking in addition to a number of officials representing both institutions.
“Al Dhameen” aims at supporting both new and existing projects in the SME sector, in line with Qatar National Vision 2030 and provides varied financing options by guaranteeing bank lending. The scheme primarily targets SMEs with an annual revenue turnover limited to QR 40 Mn. For new projects, the programme guarantees 85% of the facility upto QR 10 Mn. For existing eligible SMEs, the programme guarantees 75% of the principal with the maximum financing available capped at QR 8 Mn. The tenor for funding both new and existing SMEs has been fixed at five years for long-term and one year for short term funding.
Doha Bank is a front runner in the Banking Sector with a leading role in assisting the development of SME’s in Qatar. The new MOU further cements the Bank’s commitment to support and fuel the growth and development of the SME segment in Qatar
Speaking on the newly forged partnership, Doha Bank Group CEO Mr. R Seetharaman said “Doha Bank has led the drive in Qatar to identify growth opportunities in this Industry segment and over the past years we have taken up the challenge of supporting the development of this sector and has responded to the needs of SMEs by continually offering unique financing solutions designed specifically to meet the needs of SMEs. We are also committed to cultivate and promote the entrepreneurial spirit of Small and Medium sized businesses in Qatar via versatile financing options. Doha Bank has created systems and processes to assist, measure, and monitor SME business. These systems assist us to foster -not only the growth of the sector- but also to creatively expand its impact and galvanize the development of this key segment.”
Speaking on behalf of QDB Mr. Mansoor Bin Ibrahim Al-Mahmoud, Chief Executive Officer of QDB said “Our “Al Dhameen” programme was launched to help and encourage SMEs to overcome obstacles and challenges. QDB has designed this programme bearing in mind the specific requirements of financing to both new SME projects and existing ones intending to expand. We are pleased to say that this agreement with Doha Bank is a major step forward in providing tailor made financing solutions to SMEs. It will also help banks to develop the best solutions for many companies operating in this important segment by offering top quality specialized and customised products and services.”