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Posted On: 28 March 2020 05:26 pm
Updated On: 12 November 2020 09:11 am

Personal loans not included in loan postponement due to COVID-19 outbreak

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During the fifth press conference for the Supreme Committee for Crisis Management held last March 24, it was clarified that personal granted with a salary guarantee is not included in the Qatar Central Bank circular issued regarding postponing outstanding loan installments and the interests or returns resulting therefrom.

According to H.E. Lolwah Al Khater, Official Spokesperson for the Supreme Committee for Crisis Management, the loan postponement is part of the directives of H.H. the Amir, which was announced during the first press conference. This applies to any of those from the affected sectors that were included in the decisions of the Supreme Committee for Crisis Management, for a period of six months, as of 16 March 2020.

H.H. the Amir directed the following financial and economic packages during the press conference held on March 15.

  • to support and provide financial and economic incentives amounting to 75 billion Qatari riyals to the private sector.
  • the Central Bank to put in place the appropriate mechanism to encourage banks to postpone loan installments and obligations of the private sector with a grace period of six months.
  • directing the Qatar Development Bank to postpone the installments of all borrowers for a period of six months.
  • Directing government funds to increase their investments in the stock exchange by 10 billion riyals.
  • The Central Bank to provide additional liquidity to banks operating in the country
  • Exempting food and medical goods from customs duties for a period of six months, provided that this is reflected in the selling price to the consumer.
  • 6-month of rent relief for industrial facilities
  • Exempting the following sectors from electricity and water fees for a period of six months: Hospitality and tourism sector, Retail sector, Small and medium industries sector, Commercial complexes in exchange for providing services and exemptions to tenants, Logistics areas

In line with H.H. the Amir's directives, banks have announced their support through their official social media accounts.

Commercial Bank

Commercial Bank has announced through their Twitter that they are postponing SME loan installments and documentary credit dues for 6 months at no extra fees.

Qatar Development Bank

According to the directives of His Highness Sheikh Tamim bin Hamad Al Thani, the Emir of the country, and in light of the current conditions the country is witnessing in the face of coronavirus, Qatar Development Bank will postpone the loans of small and medium companies for a period of 6 months, as part of the private sector support package amounting to 75 billion riyals

In support of Qatari entrepreneurs and owners of small and medium-sized companies, Qatar Development Bank announces the exemption of all tenants in the Al-Furjan Markets, Jahiz 1, Jahiz 2, and Qatar Business Incubation Center for a period of 6 months, starting from March 17, 2020.

Doha Bank

H.E. Lolwah Al Khater also mentioned that the circular stipulated the allocation of a repurchase window (repo), with a zero percent rate, to be used by banks to postpone loan installments or grant new loans, as well as to cancel fees on points of sale (POS) and withdrawal fees via ATMs.

Source: Government Communications Office