Page 20 - Annual Report 2017

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CEO’S STATEMENT

Macroprudential analysis was a critical area of focus and provided In addition to this recognition, the Regulatory Authority, with the
The launch of the Second Strategy for Financial Sector Regulation Strong supervision is underpinned by high quality data and the
2017-2022 continues the journey that began with our First Strategic Regulatory Authority is in the fourth year of implementing new key insights to microprudential supervisory staff, senior manage- Qatar Central Bank and the Qatar Financial Markets Authority,
Plan in 2011. It recognises the important role the financial sector can prudential returns and management information which provided ment and the Board of Directors. Research and analysis produced launched a customised master’s degree programme with HEC Paris
play by creating jobs, by acting as a catalyst to drive economic essential and detailed information on the impact of the blockade at the macro level have continued to foster the position of the in Qatar to develop employees of the three organisations. The first
diversification in other sectors of the economy, and by recognis- on QFC firms. Thematic reviews across asset management, insur- Regulatory Authority to carry out its functions effectively and to day of classes commenced 5 November 2017. The inaugural Class
ing that, as a sector, it contributes significantly to a well-diversified ance and AML/CFT provided useful insights into the nature of fees contribute proactively to the work of Qatar’s Financial Stability and of 2019 includes three Regulatory Authority employees, in Insurance
economy. earned by firms, the performance of medical and motor insurance Risk Control Committee. Supervision and Bank Supervision.
business lines and AML/CFT risks arising from DNFBPs. The Regulatory Authority continues to build its international co-op- In a memorable year, one where Qatar’s financial sector regula-
The Regulatory Authority remains committed to achieving our
objectives under the strategy and to making the plan a success. Insurance supervision closely monitored the implementation of eration and I was pleased that in 2017 the Alternative Investment tors demonstrated steadiness and considerable achievement in a
Our mission is to deliver a robust and efficient financial regulatory Own Risk and Solvency Assessment (ORSA) for insurers with firms Fund Managers Directive (AIFMD) Memorandum of Understand- challenging regional environment, I would like to thank our Board
framework that supports economic prosperity, financial stability generally making good progress in their ORSA implementation. ing (MoU) between the Regulatory Authority and the European of Directors, our Chairman, and our partners at the Qatar Central
and is aligned with international best practice. With the goal of the sharing of expertise and best practice, four National Competent Authorities was negotiated and approved Bank and the Qatar Financial Markets Authority. Last, but not least,
of our staff were seconded to the Qatar Central Bank Insurance by the European Securities and Markets Authority. The AIFMD MoU I commend the staff of the Regulatory Authority for their dedication
In 2017, we finalised the prudential securitisation and sukuk (Islamic allows QFC fund managers to manage and market alternative and hard work.
bonds) rules for QFC banks. We also initiated an extensive review of Supervision department in 2017, with both organisations benefiting investments funds to professional investors in Europe.
our prudential liquidity risk framework for conventional and Islamic from this exchange.
banks, undertaking two public consultations and a three-phase Our commitment to implement the standards to combat money Developing human capital has been and continues to be a key Michael G. Ryan
quantitative impact study. This open and transparent public pro- laundering and the financing of terrorism (ML/CFT) both within the priority of our Strategic Plans for Financial Sector Regulation, as well Chief Executive Officer
cess ensured an appropriate balance between managing liquidity QFC and in our broader partnership with the National Anti-Money as of the Qatar National Vision 2030, and the Regulatory Authority
risk and achieving proportionality for QFC banks. Public consulta- Laundering and Terrorism Financing Committee, continues to be made considerable progress in this area. Our learning and devel-
tion was also part of the process to strengthen the existing QFC a high priority. Our dedicated AML/CFT team made significant opment programme, Al Masar (The Path), was the recipient of the
whistle-blowing framework, which will assist our firms and the Reg- enhancements to the risk rating models to assess AML/CFT risks, “Best Nationalisation Initiative” at the HR MENA Excellence Awards
ulatory Authority in the early identification of risks and potential facilitating more informed peer analyses and better insight into the in May 2017. This honour confirmed the leading-edge strategy and
wrongdoing and lead to final rules in 2018. aggregate AML/CFT risks that our firms face. innovative, comprehensive approach to nationalisation driving the
development of Qataris at the Regulatory Authority.