Moody's has kept its outlook for Qatari banks at stable levels, predicting that banks' profitability will stabilize with high operational efficiency and private sector credit growth of up to 4 percent in 2024.
According to Moody's, Qatari banks are exposed to the risks of default and poor loan performance in the real estate, contracting, and hospitality sectors, which is likely to increase the level of non-performing loans by 3.5 percent of the total loan portfolio of the local banking sector by the end of 2024.
Moody's explained that Qatari banks' loan books benefit from low-risk loans granted to the public sector as well as personal loans, which account for a 14 percent share of total loans.
Source (CNBC Arabia website, Edited)
