DOHA, 15 March 2009
HE YOUSEF HUSSAIN KAMAL
Minister of Finance and Economy, State of Qatar
MultaQa Qatar 2009, Sharq Village & Spa
Keynote speech
Ladies and Gentlemen and esteemed attendees,
I would like to extend a very warm welcome to you. For the third consecutive year, MultaQa Qatar has attracted a large number of distinguished figures from regional and international insurance and reinsurance companies. We are proud to have successfully established MultaQa as a regional platform of international relevance, a forum for domestic and foreign executives to discuss and explore opportunities offered by the Qatari market and insurance markets in the wider region.
Admittedly, the global economic background to this year’s MultaQa is drastically different from last year’s. Credit markets all over the world remain paralysed. Virtually all asset classes have suffered severe losses.
Ladies and gentlemen, esteemed attendees,
Allow me to highlight the three main initiatives that form the basis of our aspirations.
First, the QFC has created Qatar Insurance Services (QIS). QIS is a technology-based insurance system delivering integrated processing between insurance and reinsurance trading partners.The key objective of this initiative is to develop a truly world class trading and transaction infrastructure. So far, no other international insurance hub offers such facilities. QIS, therefore, is a unique opportunity to differentiate Qatar and the region from other insurance centers in the world. I am convinced that with the support and guidance of its very experienced international Board, the establishment of QIS will advance the sophistication of Qatar’s insurance industry and will drive the development of insurance and reinsurance in the region.
A second major project on our agenda is the Qatar Finance and Business Academy (QFBA). The availability of talent is perhaps the biggest constraint on the development of insurance markets. Financial capital can be raised, physical infrastructures can be built, but the development of human capital such as actuaries and specialized underwriters is a challenge for all rapidly emerging economies. The QFBA is being established to promote the local development of junior, middle and senior ranking executives and specialists. I firmly believe that, over time, the QFBA will augment the attractiveness of Qatar, not just for doing insurance business locally but also as a springboard into the Middle East region as a whole.
A third priority is the regulatory and supervisory infrastructure. We are committed to bringing the highest international standards of regulation to Qatar. This is a necessary condition to ensuring the stability and security of insurance providers and to maintaining and further promoting the trust of individual and corporate policyholders. In due course, this commitment will also lead to a unified approach to regulation, covering both domestic and QFC-based insurers and consolidating the regulatory functions for insurers, banks and capital markets.
Ladies, gentlemen and esteemed attendees,
We still have a long way to go. GCC non-life insurance markets remain relatively small by international standards. With premiums of US$7 billion the GCC region accounts for less than 1% of the world’s total. But the potential for further growth is enormous. In our region, non-life premiums, on average, account for just one percent of GDP. This compares with 3% for the UK and 5% for the US. I am convinced that we will successfully narrow this gap as our economic diversification strategy progresses and public awareness of insurance improves.
This is a bold vision, but I believe it is a realistic and achievable one. I invite all of you to come on board and join us in making this vision happen – for the long-term benefit of the Gulf region and its partners.
Thank you for being part of MultaQa.
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