Qatar Development Bank (QDB) has updated its National Guarantee Program by which beneficiaries will now be able to request to transfer their credit facilities from current banks to QDB’s financing portfolio.
QDB’s latest move aims to stimulate the private sector’s economic sustainability, grow and develop the business sector, and support Qatari companies.
QDB will provide current beneficiaries of the program, launched in 2020 to address the COVID-19 pandemic, the opportunity to refinance the remainder of their credit facilities granted by partner banks and to transfer them to QDB’s financing portfolio with easy and under flexible terms and conditions to be repaid to ensure the continuity of beneficiaries’ business and improve their financial flows.
Current beneficiaries will be able to submit a transfer request to their current banks according to the announced conditions from October 10 until February 10, during which the transfer process will take place, creating their new QDB accounts with a payment plan of up to 5 years, including a grace period of up to one year, and a profit rate of one percent.
QDB’s CEO Mr. Abdulrahman Hesham Al Sowaidi said that the objective behind refinancing the National Guarantee Program’s credit facilities with ease and flexibility is primarily to support the private sector, enhance the sector’s businesses, and strengthen companies’ financial sustainability by enabling them to transfer to QDB’s financial portfolio.
Mr. Al Sowaidi added that this move is to reaffirm the continuous support for the private sector and entrepreneurs, reflecting the State of Qatar’s attention and diligent follow-up to develop the national economy and ensure its sustainability.
QDB has worked to develop and update the National Guarantee Program several times since its launch, taking into account the changing needs of the private sector and the nature of continuous change in the national and global economic landscape.
The program has proven its success in providing its services to more than 4,200 companies, with the total value of guarantees issued reaching $988 million.