Qatar Today November 2016 by Oryx Group of Magazines

inside this issue November 2016 / Vol. 42 / Issue 10

COVER STORY

32 HOSPITALITY AT THE CROSSROADS

Qatar Today examines the factors impacting the growth of the hospitality sector in Qatar and the larger GCC region. Industry experts share an insiderâ&#x20AC;&#x2122;s perspective on how the sector is tackling various uncertainties surrounding developments in the region while also evolving and innovating.

18 THE UBERISATION OF BANKING

Once seen as a threat, financial technology, or FinTech, companies are now increasingly becoming part and parcel of the banking industry in the GCC, where Internet and smartphone penetration have grown by leaps and bounds.

28 NOT JUST FOR SHOPAHOLICS

Due to be launched in February next year, Doha Festival City aims at providing world-class entertainment for its customers apart from delivering a complete retail experience.

46 IS QATAR ON TRACK?

At a conference held recently by HEC Paris in Qatar, we discover how far along Qatar is in its quest to move towards a knowledge-based economy and the pitfalls to avoid on the way forward.

52 NBAâ&#x20AC;&#x2122;S GLOBAL AMBITIONS

At a Josoor Institute workshop held last month, Qatar Today got an insight into how the National Basketball Association is working on building a global audience for their games through strategic marketing partnerships.

70 VOICES OF THE OPPRESSED

The exhibition that is currently open at Al Riwaq and Mathaf: Arab Museum of Modern Art takes the visitors on a historical expedition through the dark periods of wars that have ravaged Arab lands.

inside this issue November 2016 / Vol. 42 / Issue 10

12 QFC SWEETENS THE PIE

Qatar Today spoke with Qatar Financial Centre Authority’s Chief Commercial Officer, Raed Al Emadi about the MoU signed with Qatar Chamber which would allow QFC-registered companies access to a host of new services and events.

24 MAKING BANKING SAFER

Cybercriminals don’t discriminate when it comes to industry. Banks and other financial institutions have long understood that cybercriminals are targeting them and have taken steps to protect their data and systems.

26 A NEW REAL ESTATE BOOM

Bayt.com explores some of the benefits and obstacles facing entrepreneurs in the region.

Moving another step towards making Qatar the solar hub of the Middle East, the tiny Gulf nation, which has one of the highest solar irradiances in the region, has embarked on a mission to utilise solar power, which is abundantly available in the country.

55 INVESTING IN THE POST-BREXIT PROPERTY MARKET

Supply in Qatar’s commercial real estate market is predicted to more than double in the coming years.

40 ENTREPRENEURSHIP IN THE MIDDLE EAST

42 SUN-RICH QATAR LOOKS AT SOLAR POWER

Britain’s farewell to the EU has shaken up the property sector in the UK over the past months, causing diverse reactions. While some investors hurried to pull out of commercial deals, others, mostly foreigners, are eying an opportunity to purchase UK assets on the cheap. But how long can this shopping spree last?

58 CELLULOID STORIES

Documentaries are becoming increasing popular in the Arab region where young filmmakers are encouraged to own and create stories. It doesn’t necessarily need to be on a big silver screen but it hits the right notes with viewers choosing fact over fiction. Qatar Today speaks to three filmmakers about their ideas and passion projects.

and regulars 06

NEWS BITES

BANK NOTES

OIL & GAS REVIEW

REALTY CHECK

TECH TALK

A UTO NEWS

MARKET WATCH

DOHA DIARY

PUBLISHER & EDITOR IN CHIEF YOUSUF BIN JASSIM AL DARWISH MANAGING DIRECTOR & CEO JASSIM BIN YOUSUF AL DARWISH MANAGER DR FAISAL FOUAD EDITORIAL MANAGING EDITOR SINDHU NAIR DEPUTY EDITOR IZDIHAR IBRAHIM SENIOR CORRESPONDENTS AYSWARYA MURTHY UDAYAN NAG KARIM EMAM CORRESPONDENTS AARTHI MOHAN KEERTANA KODURU ART SENIOR ART DIRECTOR VENKAT REDDY DEPUTY ART DIRECTOR HANAN ABU SAIAM ASSISTANT ART DIRECTOR AYUSH INDRAJITH SENIOR GRAPHIC DESIGNER MAHESHWAR REDDY PHOTOGRAPHER ROBERT F ALTAMIRANO MARKETING & SALES MANAGER SAKALA A DEBRASS TEAM SONY VELLATT DENZITA SEQUIERA MATHEWS CHERIAN ANIS MANSOURI NISHAD N P EVENTS OFFICER GHAZALA MOHAMMED ACCOUNTANT PRATAP CHANDRAN DISTRIBUTION DEPARTMENT ESLAM ELMAHALAWY BIKRAM SHRESTHA ARJUN TIMILSINA BHIMAL RAI BASANTA POKHREL PRADEEP BHUSAL

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from the desk It’s a significant time for Qatar: the next National Development Strategy 2017-2022 is due to be announced in a few weeks... the final push before the World Cup. The Qatar of 2017 is in many ways unrecognisable from the Qatar of 2011, when the previous five-year plan was announced. The optimism and confidence that came with $130-oil have been heavily shaken and replaced with caution and urgency. It is in this climate that the government is preparing to unveil the NDS, with individual ministries sure to follow soon with their own strategies. How will Qatar walk the delicate tightrope to balance budget deficits, diversification and the World Cup? It will be interesting to watch, to say the least. At the HEC Paris in Qatar’s conference on building a knowledge-based economy, we were able to piece together a picture of what the next five years might look like. Read our coverage of the conference that features some exclusive interviews and insightful talks on how we can brace for the change that is coming, and coming fast. And on the topic of change, our cover story this issue talks about how the hospitality sector in Qatar is faring, with the drop in tourism and the tumultuous political and economic climate in the region. Financial technology and cybersecurity in the financial sector also emerged as hot topics this month, thanks to Milipol and ISFS 2016. Is Qatar’s financial sector prepared for the challenge? We also have some less ‘stressful’ reads like the NBA’s expansion plans for the Middle East, an inside look at the upcoming Doha Festival City and also our take on Qatar Museum’s massive exhibition showcasing the best works of iconic artist Dia Al Azzawi. We are excited to bring our readers all this and more in our penultimate issue of 2016. And finally, we’d like to take a moment to reflect on the life of the late former Emir HH Sheikh Khalifa bin Hamad Al Thani, who passed away last month at the age of 84. Considered by many as the father of modern Qatar, much of the fundamental framework of the country as we know it today was established during his reign. From Qatar Petroleum to Qatar University, the late ruler leaves his mark to each and every national institution. As the Arabic prayer goes: "To Allah we belong and to Him we shall return." Happy reading...

HH EMIR ADDRESSES SHURA

At the opening session of the Advisory Council (Shura), HH the Emir made a compelling case for elimination of extravagance and waste, and increased participation of Qatari youth in the economy.

ith Qatar facing its first budget deficit in 15 years, HH the Emir Sheikh Tamim bin Hamad Al Thani’s address conveyed a strong call to action that was urgent without being alarmist. Qatar would complete all infrastructure projects connected with the 2022 World Cup, he said, but would also strive for greater efficiency in government

Picture Courtesy: QNA

affairs > local

spending in a new development plan to be launched next year. “There are challenges that we should tackle, which are related to the goals and values of young people and the impact of the culture of consumption on these goals and values,” the official Qatar News Agency quoted the emir as saying. “Without that we cannot move forward – wealth alone is not sufficient.”

AL JAZEERA TURNS 20

The media network marked their 20th anniversary at a gala event at their headquarters in Doha that was attended by HH the Emir, HH the Father Emir, HH Sheikha Moza and HE the Prime Minister.

ounded two decades ago in Doha, Al Jazeera Network quickly rose to prominence in the vacuum in the Arab world that existed due to news being delivered exclusively through government propaganda machines. Over 20 years of tumultuous change in the region, Al Jazeera have as much impacted the developments as they have reported on them.

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HH the Father Emir Sheikh Hamad bin Khalifa Al Thani delivered a speech during the occasion, praising the network’s credibility and commitment to tell the truth since its inception. He spoke about the importance of Al Jazeera in reporting on the Arab world with Arab perspectives, which was lacking in other Western media outlets that were largely biased against Arab interests and aspirations.

He said that this was a good opportunity to reflect with pride on the result of these twenty years, stressing that Al Jazeera marked the birth of the greatest Arab media outlet yet. The ruling family also visited an exhibition that accompanied these celebrations which showcased the highlights and low points in the network’s 20-year history, including global awards and tragic deaths of their reporters.

SECURITY INDUSTRY GATHERS AT MILIPOL HE the Prime Minister and Interior Minister Sheikh Abdullah bin Nasser bin Khalifa Al Thani opened the 11th edition of the International Exhibition of Homeland Security (Milipol Qatar 2016), which is held in Doha every two years.

ilipol Qatar is a leading international exhibition dedicated to homeland security in the Middle East and provides access to security markets in the entire region and enables key international industry players to meet in a fast-developing environment with medium- to long-term economic and strategic projects. The massive exhibition featured latest equipment and devices, and innovative services in the field of homeland security and civil defence. More than 230 companies from 35 countries around the world took part in the three-day exhibition established on 7,700 square meters at the Doha Exhibition and Conference Centre. It also included five international pavilions from France, Germany, the United States, China and Britain, along with new participating countries, namely Algeria, Uganda, Lithuania, Cyprus, Luxembourg, Pakistan, Belize and Jordan, as well as an active and large presence of local companies.

FUEL PRICES RISE IN NOVEMBER PETROL PRICES IN QATAR WENT UP BY QR0.10 PER LITRE IN NOVEMBER. THE 91-OCTANE PREMIUM PETROL NOW COSTS QR1.35/LITRE AND SUPER COSTS QR1.45/LITRE. Diesel prices remained the same. The November increase follows two months of price drop by QR0.5 per litre across the board brought on by the tentative deal by OPEC to cut production and pull prices out of a two-year slump. But rising uncertainty over the execution of the plan has seen oil prices fall again, impacting petrol prices in the country.

EXTEND YOUR TRANSIT IN DOHA

atar Airways announced the addition of a transit visa free-of-charge for passengers with lengthy layovers, applicable to all Qatar Airways passengers with a transit or stopover between five hours and four days in Doha. Passengers simply include the stopover in Doha to their Qatar Airways booking at no extra charge but the application for these transit visas will need to be done at least seven working days prior to departure. The visa will then be valid for 90 days from the date of issuance. 11 > QATAR TODAY > NOVEMBER 2016

affairs > local

FORMER EMIR PASSES AWAY

Qatar’s former Emir, HH Sheikh Khalifa bin Hamad Al Thani, died at the age of 84. Three days of national mourning were observed in honour of the late ruler, who is the grandfather of the current Emir. Special events were cancelled and flags were flown at half mast on public buildings. Hundreds of dignitaries and senior state officials joined the royal family to perform funeral prayers at the Imam Mohammed bin Abdel Wahab Mosque in Al Dafna.

efore becoming the Emir, HH Sheikh Khalifa Al Thani held several positions in the government including the Minister of Education, Finance Minister and Prime Minister. His reign began in 1972 with a government reorganisation process when the first foreign minister in the history of Qatar was appointed. He ordered the establishment of Qatar University in 1973 and in the first year of his rule the Ministry of Municipality, Information and Qatar Petroleum were all

established. Qatari citizens were provided a number of benefits in wages and housing for the first time. The following years saw signs of the administrative reform taking shape in the establishment of Qatar Monetary Agency (now Qatar Central Bank), the Audit Bureau and the Civil Aviation Authority. The former Emir reigned for 23 years, before he was deposed in a bloodless coup in 1995 while on vacation in France. He soon returned to Qatar and had been living here for 12 years before his death.

PREPARING FOR THE NEW LABOUR LAW

ith two months to go before a new sponsorship law comes into effect in Qatar, officials are beginning to hold workshops to educate people about its implications. “The organisation of these workshops represents another concrete commitment towards reforming Qatar’s labour system. By engaging with these key stakeholders, our aim is to increase transparency. This work is vital for raising awareness among employers of Qatar’s labour laws, and ensuring there are mechanisms in place for safeguarding employees rights,” the Minister of Administrative Development, Labour and Social Affairs, Dr Issa bin Saad Al Jafali Al Nuaimi said. According to QNA, workshops will be held over several weeks with members of the Qatar Chamber, embassy labour representatives, heads of labour communities and managers and representatives of private companies and institutions.

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DOHA WELCOMES MAIDEN CRUISE SHIP

HIA’S TRAINS BEGIN OPERATIONS

he world’s largest privately owned residential yacht, The World, docked in Doha Port, marking the beginning of Qatar’s cruise season. The luxury cruise ship spent two days in Doha before heading to Muscat. This cruise season, which will last until April 2017, has 32 ships registered to arrive at Qatar’s shores, representing a three-fold increase on last season’s figures. Over 50,000 passengers are expected to arrive aboard these ships. The luxury cruise ship’s passengers will be the first to avail of Qatar’s new entry procedure, which quickens the disembarkation of tourists arriving on board cruise ships. Cruise passengers can now disembark within minutes of arriving and immediately begin enjoying their on-shore excursions.

WOQOD EASES CONGESTIONS AT FUEL STATIONS

The passenger trains at Hamad International Airport were officially inaugurated by Qatar Airways Group Chief Executive officer Akbar Al Baker and HIA Chief Operating Officer Eng. Badr Mohammed Al Meer. The two passenger trains are designed to shuttle between the south and north nodes of the terminal, significantly reducing travel time through the airport for both arriving and departing passengers, which includes transferring passengers. Passengers departing from HIA can board from the south station, located behind the iconic Lamp Bear, which will take them towards the north station located near concourses D and E. Passengers arriving at HIA can board the north station which will take them towards the transfers hall and arrivals immigration located near the south station.

Each passenger train has five carriages, which allows each train to transport up to 190 passengers at a time. The two passenger trains will be operated simultaneously in a synchronised manner with the train system remaining operational 24 hours a day. Each trip between the two stations takes 90 seconds, with a 44-second waiting time at each station. The approximate walking time for the same distance is nine minutes. Passengers with reduced mobility have easy access to utilise the facility and emotional support animals escorted by owners will also be able to use the service.

QA INKS DEAL WITH BOEING WOQOD introduced longer fuel hoses at most of their stations with an aim to significantly reduce congestion by allowing vehicles to fuel on either side of the pump, irrespective of where the fuel tank fillers caps are located. This had become a particularly serious problem in the past, further compounded by the closure of many private petrol stations in the city.

Qatar Airways announced a firm order from Boeing for 30 787-9 Dreamliners and 10 777-300ERs widebody jets and an additional letter of intent to order a further 60 single-aisle 737 MAX 8s. According to data from aircraft valuation firm Avitas, the full 100-jet order – which is valued at $18.6 billion at list prices, assuming the MAX order is finalised – is worth an estimated $8.8 billion after standard industry discounts, according to American daily, The Seattle Times. No timeline has been given for the delivery of the aircraft.

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affairs > local

QFC SWEETENS THE PIE QATAR TODAY SPOKE WITH QATAR FINANCIAL CENTRE AUTHORITYâ&#x20AC;&#x2122;S CHIEF COMMERCIAL OFFICER, RAED AL EMADI, ABOUT THE MOU SIGNED WITH QATAR CHAMBER WHICH WOULD ALLOW QFC-REGISTERED COMPANIES ACCESS TO A HOST OF NEW SERVICES AND EVENTS.

14 > QATAR TODAY >NOVEMBER 2016

n an interview with Qatar Today a few months earlier, QFC Authority’s CEO Yousuf Al Jaida hinted at an impending new strategic push in strengthening the private sector and the recent Memorandum of Understanding signed between QFC and Qatar Chamber is very likely the first of many such initiatives in this direction. The deal, inked between Al Jaida and the chamber’s Director General Saleh Al Sharqi, will enable around 300 QFC-licensed firms to benefit from the wide range of Qatar Chamber’s services. During the event, Al Jaidah said, “This agreement reflects our commitment to support the growth of our licensed firms by facilitating their integration within Qatar’s wider business community. At the QFC, we strongly believe in collaborating with key private and government entities in an effort to continuously grow Qatar’s private sector and provide our licensed-forms with new opportunities.” Under this memorandum QFC firms will be able to take advantage of some of the services provided by the Qatar Chamber. It will lead to more efforts to further promote participation in activities, events, knowledge-exchange, communication and logistics related to investments that, in turn, will increase the contribution of the private sector in Qatar’s GDP. Qatar Chamber will also contribute to the exchange of experiences in the areas of trade and investment as well as the coordination of joint activities for the purpose of enabling the QFC firms to take advantage of the opportunities available at the local level. QFC companies will be granted full access as members of the QC. The exact details will be made available once the registration mechanism is implemented, Al Emadi told us. Speaking about the MoU, he said, “Our intention is to build strong relationships with key stakeholders in the local market such as the Qatar Chamber which is a vital

QFC Authority’s CEO YOUSUF MOHAMED AL JAIDA and Qatar Chamber’s Director General SALEH AL SHARQI sign the Memorandum of Understanding

Qatar Chamber will also contribute to the exchange of experiences in the areas of trade and investment as well as the coordination of joint activities for the purpose of enabling the QFC firms to take advantage of the opportunities available at the local level.

member of the business community in Qatar. Members of the Qatar Chamber are recognised and fully integrated with the local market which helps in facilitating business needs. We believe that gaining access for QFC companies to the Qatar Chamber is important and critical in achieving greater integration with the local market.” It’s not just QFC that will benefit from this deal. Al Emadi explained, “The QFC as an established financial and business hub aims to attract leading international, regional, and domestic companies. Many international and regional companies bring significant Foreign Direct Investment to Qatar through capital investments, employment opportunities, and spending in the local market. These companies also seek to partner with local companies who bring much needed local market expertise and/ or specialised services. The partnership and collaboration opportunities between QFC and non-QFC companies is significant and will help to contribute to business spending

and economic growth that is not tied to the petroleum sector. Accordingly, the QC now has direct access to all QFC companies who can become members of QC and these companies will seek to actively engage with the local market.” Recently, QFC has renewed its focus on Qatari companies; over 30% of current QFC companies are Qatari and they intend to further grow this number. “Qatari companies can use the QFC as an excellent platform to export their services and to market their company as being regulated by international standards. The QFC constantly works to tweak its services to meet the needs of Qatari companies as the primary focus is on contributing to the diversification targets of the Qatar National Vision 2030,” Al Emadi said. “Private Qatari companies are best placed to lead the diversification of the economy and to bring export earnings back to Qatar through their business activities overseas. The QFC therefore does everything possible to facilitate the growth and expansion of Qatari companies to overseas markets.” Additionally, QFC is also studying ways to make their platform more appealing to the SME sector. “SMEs are the primary growth engine of thriving economies. They contribute the most to employment opportunities and in moving economies forward. Many well-known business successes such as Apple started as small enterprises in residential garages! The QFC recognises the immense economic potential of the SME sector to the diversification of an economy and at present, startups can establish in the QFC,” he said. For all these reasons and more, the MoU will prove to be a momentous step for QFC and its companies. With this announcement, QFC has reiterated its commitment towards integration with the local market, starting with the news of the relocation of their offices to the Doha’s new financial city is Msheireb Downtown Doha 15 > QATAR TODAY > NOVEMBER 2016

Business > Bank Notes “To combat today’s advanced attacks, financial firms need a threat-centric approach to security that provides continuous protection not just before an attack happens but also during and after an attacker or malware penetrates the network.” ZIAD SALAMEH Managing Director–West Region, Cisco Middle East

STANDING BY DEUTSCHE BANK

After Volkswagen, another of Qatar’s investments in Germany is facing a crisis, with Deutsche Bank’s stocks falling by more than 50% in 2016 (17% in the last month alone). But indications are that its Qatari investors won’t bail on them.

QCB SELLS MORE BONDS Qatar Central Bank sold QR1.5 billion ($412 million) of government bonds in October in its third domestic bond sale this year.

Q Q

atar bought into the struggling German lender back in 2014, when it injected 1.75 billion euros ($2 billion) in return for about 60 million shares. Those shares are now worth just 624 million euros, or about 1.13 billion euros ($1.3 billion) less than Qatar paid. Compounding its woes is a looming US fine for selling toxic mortgages a decade ago (which might amount to $14

billion). But the bank seems to be turning things around. It announced a surprise profit this quarter. Earlier last month, the bank’s stocks rose to a five-week high after rumours of a capital hike and that Qatar was looking to acquire as much as 25% of the new shares. Qatari investors, who centre around Sheikh Hamad bin Jassim Al Thani, already control a 10% stake in Deutsche Bank.

QFB LAUNCHES ‘IJARAH AVIATION-STRUCTURED NOTE’

o meet the increasing appetite of local and regional investors seeking innovative investment opportunities, Qatar First Bank launched the Ijarah Note, an investment in a relatively stable sector that provides predictable attractive returns over the medium to long term: an annual cash return of 9% to be paid to clients on a quarterly basis. QFB Chief Executive Officer, Ziad Makkawi, said, “We have seen an overwhelming response from the market as investors look to maximise returns by

16 > QATAR TODAY >NOVEMBER 2016

investing in sectors that historically have shown lower volatility in earnings and high asset mobility”. Further commenting on the success of the note, Ayman Zaidan, QFB’s Head of Treasury and Investment Management, said, “The demand for Ijarah structured notes in many sectors, such as real estate, aviation, equipment and other income-generating assets, has seen a stable increase due to growing appetite for yield at the current low profit rate environment in many of the world’s developed economies."

CB sold QR500 million of threeyear bonds at 2.25%, QR400 million of five-year debt at 2.75%, QR300 million of seven-year debt at 3.25%, and QR300 million of 10-year debt at 3.75%. The central bank had offered QR1.5 billion of three-year, QR1 billion of five-year, QR250 million of seven-year and QR250 million of 10-year debt. In last month’s sale, it sold 1.975 billion riyals of bonds.

QATAR BANKS WILL WEATHER CRISIS Banks in Saudi Arabia and Qatar are better placed than GCC peers to cope with an eventual deterioration in asset quality brought about by a prolonged period of weak oil prices, says Fitch Ratings. “In Qatar, we are not expecting any significant cuts to government spending and numerous government-sponsored projects continue to provide profitable, low-risk lending opportunities for banks,” they said in a recently released report.

CBQ TO SEEK APPROVAL FOR RIGHTS ISSUE Commercial Bank of Qatar (CBQ) will ask shareholders on November 16 to approve a QR1.5 billion ($412 million) rights issue.

he bank, which had announced that it would seek approval for a capital increase of up to 17%, said in its bourse filing that it intends to offer 58.8 million new shares at QR25.5 each. The proposed CBQ issue is the second time this year that the bank has sought to raise its capital reserves, having previously sold a QR2 billion bond.

BANKS POST MODEST THIRD QUARTER RESULTS

Qatar Islamic Bank Q3 PROFIT (QR)

Q1-Q3 PROFIT (QR)

550.0 million (+6.8%) 1.61 billion (+14%) Doha Bank

Q3 PROFIT (QR)

Q1-Q3 PROFIT (QR)

310.6 million (-8.8%) 1.02 billion (-7.2%) Commercial Bank

Q3 PROFIT (QR)

Q1-Q3 PROFIT (QR)

8.6 million (-97.2%) 491 million (-63.3%) Qatar National Bank

Q3 PROFIT (QR)

3.41 billion (+8.6%)

Q1-Q3 PROFIT (QR)

9.7 billion (+10.7%) Masraf Al Rayan

QATAR’S FIRST ETFS COMING SOON? Masraf Al Rayan and Doha Bank plan to launch Qatar’s first exchange-traded funds (ETFs) by the end of 2016, according to Reuters which quotes a Qatar Stock Exchange official.

he launch of ETFs – portfolios of stocks that track an index – could boost a market that has been pressured in recent months by low natural gas prices and limited liquidity. Also, since they involve low management costs and trade on exchanges, ETFs can give foreign investors a cheap, convenient route into emerging markets. Spokespeople for Doha Bank and Masraf Al Rayan confirmed that ETFs were being pursued but declined to comment on any specific time frame, according to the report.

Q3 PROFIT (QR)

Q1-Q3 PROFIT (QR)

508 million (+9.5%) 1.56 billion (+4.2%) Al Ahli Bank

Q3 PROFIT (QR)

Q1-Q3 PROFIT (QR)

170.7 million (+2.5%) 503.4 million (-0.4%) Al Khaliji

Q3 PROFIT (QR)

Q1-Q3 PROFIT (QR)

104 million (-36%) 425 million (-9%) 17 > QATAR TODAY > NOVEMBER 2016

business> oil&gas PROFOUND CHANGE

“The industry is going through profound change – but it is change for the better. At $100 oil, industry costs drifted up and all kinds of projects looked attractive. Now, we have to maximise efficiency and minimise costs. We have to focus on the highest-quality projects and develop them with great capital discipline. Every dollar we have is scarce and we must invest it wisely and carefully. The world is now hyper competitive for capital. This is driving a lot of innovation and reform in our industry. And there will be a good future for the most competitive businesses.” BOB DUDLEY

Group Chief Executive of British Petroleum at the 23rd World Energy Congress at Istanbul Congress Center in Turkey on October 11, 2016.

SAUDI ARABIA

TOUGH TIMES AHEAD QATARGAS DELIVERS 2,500 CARGOES TO JAPAN Qatargas has “successfully” delivered more than 2,500 LNG cargoes to its Japanese customers, according to Saad Sherida Al Kaabi, Chairman of Qatar Petroleum.

ddressing the annual reception hosted by Qatargas for its Japanese partners and customers in Tokyo recently, Al Kaabi said, “1997 was the beginning of our historic journey in Japan with Chubu Electric and the seven founding Japanese buyers. The friendship and commitment of Qatar Petroleum and Qatargas towards our partners remain just as strong as it was then – if not stronger. I am proud to announce that we have successfully delivered more than 2,500 cargoes to our esteemed Japanese LNG buyers. This achievement could not have been possible without the confidence of our customers and the cooperation of all our partners in Japan.” “For us in Qatar, we have watched the volatility that has characterised the energy market in the past two years. And, throughout this time, we have never lost sight of the need to maintain and enhance our longstanding relationships with our valued customers and partners.” Al Kaabi expressed gratitude to all Qatar’s business partners in Japan for their continued support and friendship, stressing that “Qatar places great value on its relationship with its clients in Japan, and we will work towards better and stronger relations.” 18 > QATAR TODAY >NOVEMBER 2016

The average oil price that Saudi Arabia needs to balance its budget will fall this year by only half as much as forecast six months ago, according to the International Monetary Fund.

he country’s fiscal break-even price will drop to $79.70 a barrel this year from $92.90 in 2015, the IMF said recently, a fall of 14%. In April, the IMF projected that the Saudi break-even price would decrease by 30% this year, to $66.70 a barrel from $94.80. The new numbers, released ahead of Saudi Arabia’s first-ever international bond sale, suggest that the government’s efforts to cut costs and diversify its economy away from petroleum are having less of an effect than the IMF forecast previously. Saudi Arabia generates more than 80% of its official revenue from oil, according to a World Bank report in July.

IRAN PUMPS MORE OIL Iran, OPEC’s third-biggest member, plans to boost its oil output to four million barrels a day this year, potentially complicating the producer group’s plan to cut supply in an effort to prop up prices.

il Minister Bijan Namdar Zanganeh said he hopes the Organisation of Petroleum Exporting Countries will agree next month at a meeting in Vienna to limit output. Iran is seeking about $200 billion of investment in its oil, natural gas and petrochemicals industries to raise production and sales, according to Zanganeh in Tehran. The country is targeting an average daily output of 4.28 million barrels of crude and one million barrels of condensate within four years, he said. OPEC members will meet in November to seek agreement on how to put into effect a planned cut in the group’s output after they decided in September to reduce its collective production to between 32.5 million and 33 million bpd to rein in a global glut and support prices.

business > realty check RENTS DECREASE IN CENTRAL DOHA “The increasing provision of ‘affordable housing’ on the outskirts of Doha is putting pressure on landlords in more central locations to provide more flexible lease terms for vacant units. Many (are) offering apartments and villas at rents that are between 5% and 10% below what would have been achieved in 2015.” DTZ’s Property Times report

QATAR REAL ESTATE DEALS SKYROCKET The country witnessed a 111% increase in its real estate deals as the total number of transactions stood at 76 in the fourth week of September, according to the Ezdan Weekly Report.

he number of transactions in the previous week was 36. The value of transactions was QR724.1 million compared to QR182.9 million the previous week, reflecting an increase of 296%, further added the report. Doha Municipality witnessed the maximum number of transactions during the week, its 23 deals having a value of QR536.1 million. It made up 74% of the total transactions. It also notched up the largest deal worth QR190 million. In other deals, Al Rayan municipality netted 15 transactions at a value of QR77 million, while Al Wakra Municipality recorded eight transactions worth QR33.6 million. Umm Salal municipality registered 11 transactions worth QR28.1 million, while Al Khor and Dhekra Municipality got 12 deals with a value of QR27.9 million.

THE PEARL-QATAR:

UDC’S PRIZED POSSESSION

United Development Company (UDC) won two prestigious awards – Best Commercial High-Rise Development for its Abraj Quartier office towers, and Highly Commended MixedUse Development for The Pearl – at the Arabian Property Awards 2016 held recently in Dubai.

braj Quartier was also nominated for the international property awards to be organised in London later this year. The event will see UDC compete against other successful companies from Asia Pacific, the UK, the Americas, Europe and Africa to find the ultimate "World’s Best" in the category of High-Rise Commercial Development. In other news concerning the company, UDC announced that Navayuga Engineering Company would carry out its piling works at Al Mutahidah Towers in Viva Bahriya at The Pearl. Comprising approximately 450 apartments in the relaxed beachfront precinct, the project is expected to be completed in the fourth quarter of 2019.

AL MEERA PLANS FIVE NEW RETAIL OUTLETS

In an effort to extend its reach to more popular locations in the country, Al Meera Consumer Goods Company (Al Meera) is gearing up to launch five new shopping facilities. The retail major said it was in the “final stages of preparations” for five of its upcoming stores in Qatar. “At Al Meera, we are truly excited to be introducing our seamless shopping experience and make a difference in the daily lives of consumers in new territories with lacklustre shopping services,” said the company’s deputy CEO Dr Mohamed Nasser Al Qahtani. “Our state-of-the-art stores are designed to provide citizens and residents, in five key suburbs out of the 14 announced last year that are witnessing a population boom, unmatched shopping convenience, a vast range of competitively priced, high-quality products and best-in-class services and facilities,” he added. 19 > QATAR TODAY > NOVEMBER 2016

innovation > bank notes

THE UBERISATION OF BANKING

20 > QATAR TODAY >NOVEMBER 2016

Once seen as a threat, financial technology, or FinTech, companies are now increasingly becoming part and parcel of the banking industry in the GCC, where internet and smartphone penetration has grown by leaps and bounds. By Illak Gan

esterday’s perceived threats have become today’s potentialities in that the disruptive technologies are now pushing Gulf banks to come out of their traditional comfort zone and perceptions on risks, and instead think out of the box in remodeling their businesses in view of fast changing customer attitudes influenced by increasing youth population. “Middle East businesses will soon reach the tipping point in disrupting themselves to create new business models,” Mike Sutcliff, Group Chief Executive Officer of Accenture Digital, told the GITEX in Dubai recently. In an era of exponential growth in technology, digitally challenged banking structures could see profits decline by 1530% vis-à-vis their advanced institutions and some can even go bust, whose classic example has been Kodak, which had a market capitalisation of $20 billion in 1996 but went bankrupt by 2012, although it was the one that actually invented the digital camera. Its eventual demise came because it did not understand the disruption that was dawning upon its core business model or, if it did, it failed to accept it, according to Qatar Financial Centre Regulatory Authority’s Chief Executive Officer, Michael Ryan. “As history teaches us, you will always be

better off disrupting yourself, than having it happen to you,” he said, speaking at the New Age Banking Summit. He reminded financial services that they are not immune to innovation, and indeed are vulnerable to the same level of disruption. Tech-savvy millennials, who represent about 40% of the market in the Gulf and the Middle East region, are helping shape the future of digital banking in the GCC, said Pedro S Cardoso, Emirates NBD's Head of Multichannel and CRM Retail Banking. A recent study by Visa said virtual trade, or e-commerce, generated $2.5 billion in payment volume on its cards alone last year in the Gulf and is expected to grow by 25% this year, led by millennials who are now more conversant and comfortable with icons and apps on their smart devices. Customer interface rules the roost, going by the explosive growth graph of Uber, Facebook, Alibaba and Airbnb, which don’t own assets or inventories. Simon Williams, an internationally celebrated digital strategist, had once termed it as ‘Uberization of banking’, as he said the (global) financial services industry must rise to the challenge of disruptive technology and the expectations of enhanced digital experience models to remain competitive as the primary consumer interface for banking services. “Digital does not mean that you can check your balance on your mobile. It means all types of banking transactions on 21 > QATAR TODAY > NOVEMBER 2016

innovation > bank notes

“GCC governments can play the role of a facilitator in terms of policy and regulation and in providing the right environment for innovation to flourish and to enable the private sector to come up with solutions.” DR RAGHAVAN SEETHARAMAN Group Chief Executive Officer Doha Bank

22 > QATAR TODAY >NOVEMBER 2016

your mobile on near-real time and having that transparency by being able to know what’s happening with your request,” according to Nihal Abughattas, Regional Marketing Manager Middle East and Africa for Temenos, which recently tied up with Qatar Islamic Bank for the latter’s core banking solutions. The International Data Corporation (IDC) expects the GCC’s mobile connected devices market to continue growing, with shipments forecast to increase from 35 million units in 2015 to 45 million in 2019, a compound annual growth rate of 7.6%. Qatar’s Ministry of Information and Communications Technology had last year said smartphone penetration had reached 65% and mobile broadband penetration stood at 61%. The omnipotent FinTech revolution is a win-win for all the stakeholders and the GCC banking industry just can’t afford to blink over this new economic order in view of rapidly changing needs of the rising upwardly mobile population in the region, where e-commerce is fast gaining inroads thanks to tech-savvy governments for their effective customer interface. A recent study by the IDC is a clear signal on these changing dynamics in the Middle East, where spending on Internet of Things (IoT) is expected to be $1.8 billion this year and reach $3.2 billion in 2019, indicating the future of the financial sector to which

customers look for seamless multichannel services at lower costs. “Connectivity is replacing assets in generating value,” Ryan told the recently concluded Middle East and North Africa New Age Banking Summit in Doha where he cited a study by Citibank which said over the course of the last decade investment by FinTech has increased from $1.8 billion in 2010 to $19 billion in 2015, with some other estimates predicting up to $50 billion of investment by 2020. Highlighting that banks in GCC countries are leading in the Middle East region in terms of investments in digitisation; Abughattas said “to keep up with the pace of technology and to cater to tech-savvy customers looking for a more enriched digital customer experience, GCC banks are investing in digital transformation.” According to a report by BCG Middle East, FinTech companies in the GCC now account for 7% of all FinTech business in the Middle East and Africa region, where mobile banking users are expected to exceed 80 million by 2017, and payment solutions account for approximately 40% of all FinTech business in the GCC. “We are witnessing growing innovation throughout the Middle East, and that is reflected in the gradual development of the FinTech sector across the region. Emerging start-ups are utilizing leading-edge technologies to sidestep the constraints

MICHAEL RYAN Chief Executive Officer Qatar Financial Centre Regulatory Authority

oil and petrochemicals. Qatar’s Silatech teamed up in 2013 with Qatar Charity for their crowdfunding platform Narwi.com, dedicated to funding young Arab entrepreneurs. The disruptive block-chain technology – which could potentially reduce duplicative recordkeeping, minimize error rates and eliminate reconciliation – has become the buzzword and is fast making inroads into the GCC remittances sector, whose potentiality is directly proportional to the growing expatriate population. Customers want convenience, personalisation, accessibility and ease of use; and to live up to these expectations, banks and FinTechs should focus on opportunities that leverage each other’s strengths, whether in product design and development by start-ups, or distribution and infrastructure capabilities by banks, according to Manoj Kashyap, PwC’s Global FinTech Leader. Regulators are also increasingly approaching FinTech with an open mind to finding equilibrium between enabling innovation and at the same time protecting consumers, markets and market participants, said Ryan. He also highlighted the need to create the data governance, risk management and compliance infrastructure that will protect the value created, and also ensure that as new models develop, the financial industry is not left open to new cybersecurity risks, which, according to G7 finance ministers and central bankers, are “growing more dangerous and diverse, threatening to disrupt our interconnected global financial systems.”

Picture Courtesy: New Age Banking Summit

of legacy cost structures,” said Godfrey Sullivan, Partner & Managing Director of BCG Middle East. Although the GCC has the necessary and sufficient conditions to support a digital ecosystem, according to Strategy&, the region has seen little investment in the FinTech industry, said Raghavan Seetharaman Doha Bank Group Chief Executive. Expecting this trend to change in due course, he said “the GCC governments can play the role of a facilitator in terms of policy and regulation and in providing the right environment for innovation to flourish to enable the private sector to come up with solutions.” This was also echoed by Strategy&, which said the GCC governments will have to play a more significant role than those in the established markets. Abughattas noted that a bank’s digitisation journey requires an overhaul of its traditional banking services to keep up with others that have already invested in innovation. An Ernst and Young report said 47% of the banks in the GCC have planned a budget of $5 million to $20 million each over the next five years for enhancing their digital capabilities, with some larger entities even ready to shell more. Although alternative financial platforms, such as crowdfunding sites and peer-topeer lending, have become the norm in the world’s FinTech hubs, such as the UK, US, China and Southeast Asia, this global trend has yet to trickle into the Middle East where financial services is the biggest and most prominent sector in the region after

“Regulators are also increasingly approaching FinTech with an open mind to finding equilibrium between enabling innovation and at the same time protecting consumers, markets and market participants.”

“Tech-savvy millennials, who represent about 40% of the market in the Gulf and the Middle East region, are helping shape the future of digital banking in the GCC.” PEDRO S CARDOSO Head of Multichannel and CRM Retail Banking Emirates NBD

23 > QATAR TODAY > NOVEMBER 2016

affairs > worldview

24 > QATAR TODAY >NOVEMBER 2016

T H A I L A N D M O U R N S FO R I TS K I N G

Thailand's long-reigning and much beloved monarch, King Bhumibol Adulyadej, passed away at the age of 89. Revered as the "father of the nation" among the 67 million Thais, the late king ruled for 70 years during which he introduced several initiatives and reforms to improve the lives of rural citizens.

25 > QATAR TODAY > NOVEMBER 2016

technology > viewpoint

MAKING BANKING SAFER

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espite this cyberattacks on financial institutions are growing every day in strength and velocity across the globe, and the ramifications are costly. According to the Ponemon 2014 Cost of Data Breach Study: Global Analysis, the financial services industry bears one of the highest per capita data breach costs per company at $206 million – well over the mean value of $145 million. While a great number of industries have rushed to digitally engage consumers, the financial sector has lagged behind. Online banking platforms are built on top of an infrastructure that is still heavily reliant on paper and human interaction, leaving it prone to loss, error and social engineering techniques. A recent research report “Roadmap to Digital Value in the Retail Banking Industry” revealed that retail banks have the potential

to realize $405.3 billion from 2015 to 2017 as the Digital Value at Stake (VaS). Yet, in 2015, financial services as a whole captured just 29% of that opportunity. One of the main concerns that has prevented retail banks from adopting digital technologies and business models is cybersecurity. Cybersecurity must be perceived as – and become – a strength rather than a source of uncertainty. It must be a foundational element of any digitisation effort. When it comes to digital transformation, the real cost lies in not digitising. The 71% of financial services value that was left on the table in 2015 will be captured by fintechs, by large technology companies, or by retail banks that innovate the fastest. In such a competitive climate, success may well be determined by who wins the race to fully integrate analytics, video, personalized anywhere-anytime advice, and other digital capabilities – and to use those technologies

to empower their workers and provide great service to customers. In order to innovate new customer solutions and create deeper operational efficiencies, retail banks must be confident in the security of their analytics, Internet of Things, and cloud solutions. However, only 38% of financial services respondents believe their institutions have highly mature cybersecurity solutions. One problem is that long-held tenets of security, such as the firewall or a walled-garden approach, are no longer relevant. Perimeter-based defences are irrelevant at a time when the very idea of a perimeter – with mobile devices, partner organizations, and third-party vendors – is outmoded. Security limited to, for example, a central switch in a bank’s data centre will not ensure protection. Security must reach throughout the network and into the field, including local branch routers, security cameras, mobile devices, automated tellers, kiosks, and so forth. In addition, confidence in cybersecurity enables companies to drive critical digital initiatives. These initiatives will be essential differentiators in an increasingly competitive economy. Without that trust and confidence, growth suffers. Financial institutions around the world are subject to malware, phishing, ATM skimming, and distributed-denial-of-service attacks, with the most serious information losses coming from targeted attacks. Today’s threats change with time, evading detection by point-in-time solutions. To combat today’s advanced attacks, financial firms need a threat-centric approach to security that provides continuous protection not just before an attack happens but also during and after an attacker or malware penetrates the network. For an attacker, privileged account access is the proverbial payload. Account access provides powerful controls to IT administrators and restricted user groups. According to the top global threat investigation firms that contributed to a Federal Bureau of Investigation report, at least 80% of all serious security incidents investigated include compromises and misused privileged accounts at some point in the attack life cycle. With privileged access, attackers can move laterally to other systems faster and easier and with little risk of detection, persisting for months or even years. Gaining access to privileged accounts can be accomplished in a number of ways,

including malvertising, watering holes, and phishing. ♦ In malvertising, online advertising is used to spread malware. Victims are infected with malware in the course of their normal Internet browsing: for example, reading a trusted news source online. Malware can be downloaded without the user even clicking the advertisement. ♦ In the case of watering hole attacks, attackers use specific industry-related websites to deliver malware. For financial services firms these could be websites that employees check frequently for financial or regulatory data. ♦ Phishing attacks combine spam and social engineering to create emails that appear to be legitimate in an attempt to gather personal or financial information from the recipient. An example of a phishing attack could involve an executive who delivers a keynote address at a conference. A savvy attacker sends the executive an email claiming to have a video of the address and to click the link to view it. When the link doesn’t work, it directs the executive to update a driver that appears to be benign but in reality contains malware. To ensure that cybersecurity is a true differentiator that supports agility, innovation and growth, firms need to begin viewing it differently – beyond its traditional “defensive” role. The key to turning cybersecurity into a growth advantage for banks is building in holistic and pervasive security throughout the network, along with the necessary culture change. Bottom line: cybersecurity concerns do not need to be a hindrance to digital innovation. Retail banks can transform cybersecurity from a liability into an asset that supports customer trust, innovation and growth. All of these digital solutions depend on a robust cybersecurity foundation. At the Information Security in Financial Institutions 2016 conference held in Doha, Scott Manson, in his keynote titled “Cybersecurity in the Digital Economy”, addressed issues related to digital transformation and how in the pursuit of sustainable differentiation and new sources of growth, enterprises are exposed to increased risks in the cyber domain which require a highly robust and secure network infrastructure that is simple, automated and open

BY SCOTT MANSON Cyber Security Leader for Middle East and Turkey Cisco

Financial institutions around the world are subject to malware, phishing, ATM skimming, and distributed-denialof-service attacks, with the most serious information losses coming from targeted attacks.

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development > viewpoint

A NEW REAL ESTATE BOOM Alhazm Mall on Markhiya Street which is expected to open by end of 2016

Supply in Qatar’s commercial real estate market is predicted to more than double in the coming years.

he increase in supply of commercial properties is largely driven by the 2022 FIFA World Cup, with developers investing in new infrastructure and real estate projects ahead of the event, as well as an anticipated rebound in tourist numbers. However, supply is outpacing demand, with overcapacity in the market leading to lower occupancy rates across the office and hotel segments, while the effects on the retail segment are expected to be felt more in the long term. Project pipeline In the first half of the year, Qatar saw total office stock reach 5.3 million sq. metres

28 > QATAR TODAY >NOVEMBER 2016

of gross leasable area (GLA). Supply in the segment is projected to surpass seven million sq. metres of GLA by end-2018, according to real estate consultancy CBRE. The majority of Qatar’s new office area will be located in West Bay’s Diplomatic District, Msheireb Downtown Doha, and the Marina District and Energy City in Lusail City. In June the Al Asmakh Real Estate Development Company (AREDC) also reported that the number of hotel rooms in Qatar is expected to double over the next five years. Currently, the country has some 115 hotels, totalling nearly 20,700 rooms, with 105 new hotels and a further 21,000 rooms in the pipeline. According to the AREDC, the majority of this new supply is

expected to come online before 2021. Qatar’s retail space is expected to grow even faster, expanding by 220% by 2019, real estate firm DTZ stated in its “Qatar Q2 2016” report. The current stock of 643,000 sq. metres of purpose-built mall space – of which Villaggio Mall and City Centre Mall account for a combined 39% – could see a further 1.3 million sq. metres added within three years. The QR3 billion ($823.3 million) Alhazm Mall on Markhiya Street is expected to open its doors before year-end, with a number of other developments also set to come online in the near term, including the QR5.4 billion ($1.5 billion) Mall of Qatar in December and the QR6 billion ($1.6 billion) Doha Festival City in February. A supply glut Although increased supply is likely to lower prices for tenants and buyers, the glut in the market comes at a time when government spending cuts and low commodity prices are already putting downward pressure on demand. The current economic environment has led to a drop in demand for office space, particularly from energy companies and state institutions, which traditionally account for a large percentage of demand, occupying some 65% of grade-A office buildings in West Bay between 2009 and 2014. As a result, grade-A office rents fell by between 10% and 15% since the beginning

of the year, according to DTZ. The hotel segment also saw a drop in average occupancy rates, from 77% in the first half of 2015 to 64% in the same period this year, according to the Qatar Tourism Authority (QTA). The decline was attributed in part to a 10% increase in the supply of rooms, with a number of new properties opening their doors last year. The hotel segment was also impacted by a 6% y-o-y decrease in tourist arrivals to 1.6 million in the first half of the year. “The overall declines in visitor arrivals and occupancy are consistent with trends seen across the region,” Hassan Al Ibrahim, Chief Tourism Development Officer at the QTA, told media in August. “As economic conditions improve and the number of travellers rises again, we are determined to be ready with tourism products that can retain leisure visitors and increase the average length of stay of business visitors.” Within the commercial real estate sphere, the retail segment appears to be the most resilient, with high occupancy rates and monthly rental prices stable at between QR260 ($71) and QR300 ($82) per sq. metre as of the first quarter of this year. Although retail spending has fallen by between 10% to 15% in June year-to-date, most leases are for a period of five years, and therefore, the effects on the segment will likely be felt more in the long term, according to DTZ

BY OLIVER CORNOCK Managing Editor, Middle East Oxford Business Group

Within the commercial real estate sphere, the retail segment appears to be the most resilient, with high occupancy rates and monthly rental prices stable at between

QR260 ($71) and QR300 ($82)

per sq. metre as of the first quarter of this year. 29 > QATAR TODAY > NOVEMBER 2016

development > listening post

NOT JUST FOR SHOPAHOLICS DUE TO BE LAUNCHED IN FEBRUARY NEXT YEAR, DOHA FESTIVAL CITY AIMS AT PROVIDING WORLD-CLASS ENTERTAINMENT FOR ITS CUSTOMERS APART FROM DELIVERING A COMPLETE RETAIL EXPERIENCE. BY UDAYAN NAG 30 > QATAR TODAY >NOVEMBER 2016

mong the major malls slated for a 2016 opening in Qatar, Doha Festival City (DFC) announced last April that its launch had been postponed to February 1, 2017. However, procrastination is something that’s not just peculiar to Festival City. Mall of Qatar (MOQ) has twice delayed its launch; its latest opening date is December 10. And Al Hazm Mall too has postponed its launch from September to December. Why is the start proving to be so jittery? “We understand that delays are always disappointing but with a project of this scale we felt it’s important to get things right for our first visitors,” says Trevor Hill, General Manager, Doha Festival City. “We wanted to make sure that the opening would be something that Qatar can be really proud of, which is why we took some extra time to triple-check and test everything even more rigorously and plan a really exceptional opening that ensures a positive customer journey.”

“In terms of leisure, we have sought and leased amazing indoor and outdoor attractions which will be new to Qatar. DFC offers a comprehensive mix of entertainment and leisure – from Qatar’s first VOX 4D cinema complex with 18 digital screens, to green spaces for outdoor exercise.” TREVOR HILL General Manager Doha Festival City

He further talks about the IKEA store which became part of DFC's premises in 2013. “Our positive experience with IKEA gave us a lot of confidence. We knew we could deliver and therefore we are confident that there will be no negative impact from the delays. Our retailers have been supportive throughout the entire project. We have more than 500 brands in the mall and are excited to be involved in the project as we move closer to its opening.” DFC prides itself on its brand strategy which Hill feels has been instrumental in the overall project. “Doha Festival City is a regional brand with major developments across Dubai, Cairo and now Doha. Our biggest challenge and opportunity is to deliver on our commitment to our customers and stakeholders, to enchant our patrons with our creativity and to maintain our exceptional standards of quality and professionalism. The delivery of a Festival City signature brand experience which is nothing short of an ongoing celebration is also an ongoing challenge.” 31 > QATAR TODAY > NOVEMBER 2016

development > listening post

Hill stresses the idea of bringing something new and unique to Qatar that would allow its visitors to create great memories on every visit. According to him Festival City is so much more than just a shopping centre. “With over 500 brands, a world-class entertainment complex and more than 100 places to dine and relax, we will be bringing the best in leisure, retail and hospitality all under one roof.” He also talks about delivering a complete retail experience for DFC’s customers, and why they focused not only on carefully selecting their international and local brands, but also on bringing many new brands to Qatar like Harvey Nichols, LEGO and Kiehl’s. Evaluating the other features that stand out, Hill says, “In terms of leisure, we have sought and leased amazing indoor and outdoor attractions which will be new to Qatar. DFC offers a comprehensive mix of entertainment and leisure – from Qatar’s first VOX 4D cinema complex with 18 digital screens, to green spaces for outdoor exercise.” “One of the most exciting attractions are the four unique theme parks, including Angry Birds World – the global gaming sensation, a first of its kind in the Middle East; Snow Dunes – Qatar’s first indoor 32 > QATAR TODAY >NOVEMBER 2016

"Al Futtaim Real Estate have been successful in delivering their promises to bring the best Festival City yet to Doha, to the satisfaction of their partners in BASREC." KAREEM SHAMMA Chief Executive Officer BASREC

snow park; Juniverse – an edutainment park for children that harnesses the power of dynamic learning; and “Virtuocity” – created exclusively for teens and adults. The park delivers an immersive digital experience.” However, under the current circumstances, even though Qatar’s population is increasing, a lot of people in high positions, with more spending capacity, are being forced to leave the country. The new lot which is flocking to Qatar might not be at the same income level as those who are on their way out. Also, VAT (to be introduced in 2018) will further reduce the spending capacity of the masses. And Qatar is still in the process of developing itself as a tourist destination. Supply overrides demand as far as the country’s real estate scene is concerned, even though the retail segment might not be all that vulnerable. Things don’t seem to be that hunky-dory. “We believe that we have something for every budget and every taste – from Monoprix for the weekly grocery shopping, to Harvey Nichols for a luxury treat, or one of the four theme parks for a great family experience,” says Hill. He adds, “Even from the early planning phase of DFC we had in mind the Qatar National Vision 2030. We are proud to be part of Qatar’s longterm strategy to diversify the country’s

economic growth and increase the tourism flow. It is going to be a great attraction for both residents and tourists from the region, particularly from Saudi and UAE, and also from other parts of the world.” During the expansion of Dubai Festival City a couple of years back, Marwan Shehadeh, Group Director – corporate development at Al Futtaim (in charge of the development and operation of DFC), had said that mistakes were made on the mall side which led to some of the biggest retail names not being properly represented. Hill explains how things are different this time around. “We are working closely with a great number of partners on cross-advertising and organising major events. We are really excited about the activities and want our retailers to really feel they are partners within this incredible project. We have a great relationship with them.” On further comparisons with the Dubai Festival City, Mike Beggs, Development Director at Al Futtaim Group Real Estate, gives his point of view. “Both Doha and Dubai Festival City are more than just shopping centres; they are entertainment destinations that celebrate the best in leisure, retail and hospitality. Dubai Festival City is already an established mall for a long time now and we are keen for

"Both Doha and Dubai Festival City are more than just shopping centres; they are entertainment destinations that celebrate the best in leisure, retail and hospitality." MIKE BEGGS Development Director Al Futtaim Group Real Estate

Doha Festival City to have the same results.” “In terms of differences, the two malls offer different flagship stores and entertaining activities within the mall for consumers. Dubai has a waterfront location that allows them the opportunity to use that space in a creative way. For Doha Festival City, we will have four theme parks and retailers like Harvey Nichols who are opening one of their biggest stores in the region.” Al Futtaim Real Estate owns 50% of BASREC (Bawabat Al-Shamal Real Estate Company WLL), the holding company that groups together the shareholders of DFC: Al Futtaim Real Estate Services, Qatar Islamic Bank, Aqar Real Estate Development & Investment Co., and a private Qatari investor. They have also employed BASREC as consultants to carry out development management (AFRE), asset management (AFIM), mall management (AFRE) and leasing of administration (AFGRE Leasing). Talking of Al Futtaim’s role in BASREC with regard to the DFC project, BASREC CEO Kareem Shamma says, “Al Futtaim brings the experience of Festival City development at all of these (abovementioned) levels and have been successful in delivering their promises to bring the best Festival City yet to Doha, to the satisfaction of their partners in BASREC.” 33 > QATAR TODAY > NOVEMBER 2016

HOSPITALITY AT THE

CROSS 34 > QATAR TODAY >NOVEMBER 2016

R ADS Qatar Today examines the factors impacting the growth of the hospitality sector in Qatar and the larger GCC region. Industry experts share an insiderâ&#x20AC;&#x2122;s perspective on how the sector is tackling various uncertainties surrounding developments in the region while also evolving and innovating.

By Sasa Zuzmahowski

35 > QATAR TODAY > NOVEMBER 2016

HOSPITALITY AT THE

CROSSR0ADS COVER STORY//

A slump in the oil prices has slowed down the oil-dependent GCC economies while hitting hotel occupancy and revenues during the first half of 2016, according to STR Global’s study published in August.

ven though GCC hospitality sector development has been gaining momentum in the recent past, a combination of oil price volatility and the devaluation of the euro, sterling and ruble has affected tourism activity in the GCC region and the region’s hotel revenues. Political instability and security threats across the wider Middle East may have additional impact on tourist arrivals, while weaker economic activity has already reduced spending on business travel and MICE events. Finally, a massive increase in the number of rooms has raised concerns about whether demand will be able to match rising supply. A slump in the oil prices has slowed down the oildependent GCC economies while hitting hotel occupancy and revenues during the first half of 2016, according to STR Global’s study published in August. The company’s data show that GCC countries have experienced a decline in performance and overall profitability, finding that gathered results correlate with a decline in oil prices. “The GCC hotel industry reported a 10.3% year-on-year decline in revenue per available room (RevPAR) at the end of the first half of 2016,” the study reveals. For Benjamin Oppl, Development Director Middle East and North Africa at Meliã Hotels International, a prolonged scenario with low oil prices certainly had and continues to have a negative impact on overall business activity in the region. Governments tend to respond by decreasing expenditure levels on public works and infrastructure. All of that can commonly translate into lower demand for accommodation units, more so in areas that are depending more on the corporate segment (such as Qatar) than on leisure travellers. GCC hotels’ overall profitability has tumbled in line with the drop in oil prices over the past year, new data from STR reveals. Barbara M A Wilkinson, Partner and Chief Operating Officer at Viability Management Consultants, explained that external factors such as the recent weakness of the Russian ruble and Chinese economic performance in general have also led to a slowing in demand for hotels across the GCC. “These negative demand factors have been exacerbated by a continuing increase in the hotel pipeline, with new hotel openings in most markets leading to increased competition and downward pressure on room rates,” she told Qatar Today.

36 > QATAR TODAY >NOVEMBER 2016

In the case of Qatar, Oppl noted that “market-wide RevPAR levels are expected to decrease by between 12 and 17% (depending on micro location) by the end of the year and when compared to the same period last year. Looking ahead, this is certainly a trend that requires careful monitoring, in particular when considering new potential hotel projects.” Mark Willis, Area Vice President Middle East & Turkey at Carlson Rezidor Hotel Group, sees a similar correlation across the GCC, and Qatar is no different. The fluctuation in oil prices and several other macro environmental factors have forced a general reduction in government spending across the Gulf. “Those challenges have impacted all economic sectors including the hotel industry and we have seen an overall market reduction in RevPAR over the past year. Our focus will be to continue to drive market share during these more challenging times by attracting new customers and to focus on delivering a quality experience for our guests across all our properties, in Qatar or across the GCC,” he told our magazine. While general trends show the slowdown, such conclusions cannot be fully applied everywhere in the region, as EY’s (formerly known as Ernst & Young) report from the beginning of this year showed that some beach hotels in Dubai and Jeddah had the highest room yields in the region, recording an average of $311 and $214, respectively, in 2015. In this regard Wilkinson distinguishes Dubai, which is by many measures the region’s key hotel market and whose economy is much less dependent on oil revenues and more on trade and services then the rest of the region. There “the total room-night demand has been increasing year on year according to both government (DTCM) and STR data, but room rates have been badly affected by a rate war for several years now, caused by room supply growing faster than room demand,” she explained. Currency fluctuation Since many of the key cities in the Middle East rely heavily on corporate travel for events and conventions, it is not strange to see overall profitability decline, partially as a result of the drop in oil prices. Lower profitability is amplified by depreciation of currencies such as the pound, euro, and ruble against the US dollar, affecting tourism activity in the GCC region, as the currencies of most of the member nations are pegged to the US dollar. If this situation remains unchanged, this could further affect overall tourism in the Gulf, as the region will become too expensive

for tourists with depreciated currencies. On the other hand, weakened euro and sterling are also making it considerably cheaper for GCC tourists to head to Europe for shopping rather than travelling within the Middle East. Therefore “Gulf hospitality markets have certainly seen an impact of currency depreciation in some key generating regions. The Russian market, for example, which was traditionally very strong not only for Dubai and Abu Dhabi but also the Northern Emirates and has slowed down in recent years, is however expected to slowly regain momentum,” Oppl told us. According to Fillipo Sona, Director and Head of Hotels (MENA Region) at Colliers International, “currency fluctuation is always a concern for tourism inflow, but at the same time it is an opportunity for the construction industry to buy from markets where there are favourable exchange rates, hence getting better prices for projects. One solution could be to let tourists pay with their own currency, the same as Egypt did with the Russian market, and wait to exchange currency when it is most favourable.” But some countries (destinations) have been more prepared than others. Oppl mentioned the case of Dubai, where they managed to offset the loss of some markets quite well with growth from other markets such as China. For now, Saudi Arabia, India and the UK remain the core source markets. “Gulf countries with the most diversified economies and a wide range of demand segments for travel (e.g., leisure, business, MICE, etc.), such as the UAE, are well suited to face the current tough economic conditions and are able to swiftly adapt if one of the segments breaks down,” he added. Oversupply concerns Lower hydrocarbon revenues which are a key component of all the GCC economies and currency depreciation are not the only concerns for the hospitality industry. According to Sona, one of the prime reasons for the decrease in hotels’ key performance indicators can be found in the new supply

coming onto the market in 2015, while more is underway. The Middle East Hotel Construction Overview report prepared by TOPHOTELPROJECTS reveals that there are 541 new hotels in the pipeline across the Middle East – bringing an additional 158,950 hotel rooms to the region. The busiest year for hotel openings leading up to 2020 is forecast to be 2017 with 189 projects and 58,527 rooms. Accordingly, Sona suggests that “the market has reached the lowest point in terms of performance and in 2017 we are likely to see the first three quarters' performance stabilise and the final quarter of the year in upswing curve. Therefore hospitality assets should plan carefully and not discount rates too much to maintain volume; otherwise

"Market-wide RevPAR levels are expected to decrease by between 12-17% by the end of the year and when compared to the same period last year. Looking ahead, this is certainly a trend that requires careful monitoring, in particular when considering new potential hotel projects." BENJAMIN OPPL Development Director, Middle East and North Africa Meliã Hotels International

they will have difficulties in regaining the rates by end of 2017.” While the consequences of the oil price slump have caused much discomfort in Gulf economies leading to project delays and cancelations, this could actually prove to be a blessing for overcapacity concerns. “Many projects have been delayed or slowed down, therefore the planned supply is not likely to come to market as planned,” Sona indicated. However, developers in certain markets such as Dubai and Qatar have to continue their plans if they want to capitalise on the Expo 2020 and World Cup 2022. Scaling down or slowing projects may result in loss of revenue later on. “For existing assets the key to prepare for 2017 is to prepare a contingency plan particularly on the cost element 37 > QATAR TODAY > NOVEMBER 2016

HOSPITALITY AT THE

CROSSR0ADS COVER STORY// An increased supply will create more pressure on room rates, making them more affordable. This will transform GCC capitals into affordable cities which will then be able to attract more visitors.

of the budget,” he noted. While hoteliers believe that extra demand during the mega events should be viewed as ‘icing on the cake’, a question remains whether the sector could face serious sustainability challenges once the mega events are over. This is especially relevant for Qatar as the country may face a similar problem as South Africa after the tournament,

"Next year, we are likely to see the first three quarters' performance stabilise and the final quarter show an upswing curve. Therefore hospitality assets should plan carefully and not discount rates too much to maintain volume; otherwise they will have difficulties in regaining the rates by end of 2017.” FILLIPO SONA Director and Head of Hotels, MENA Region Colliers International

with many cities having an oversupply of luxury hotels. According to Willis, the question of supply will be answered by the growth the region creates in putting diversification into practice. There are some markets that will have a greater imbalance between supply and demand, some would benefit from better offerings, while others will learn from their neighbours allowing the GCC to consolidate as an integrated region. But according to Wilkinson, many hoteliers believe that there are so many other demand drivers in play that sustainability should not be a concern. She gives several examples of amazing infrastructural development that will largely contribute to future hospitality sustainability. In the case of Dubai, just in Jebel Ali alone the world’s largest 38 > QATAR TODAY >NOVEMBER 2016

airport is already under construction, with a planned capacity of 200 million passengers per year. Dubai Parks and Resorts is expecting seven million visitors in its first year of operation. The new GCC railway will soon run past Jebel Ali Port and the Maktoum International Airport, helping to turn Dubai into a world-class air-road-rail-sea transport and cargo hub. It seems that in the case of the UAE, the equation so far has worked out well, Oppl agrees. “Over the past 10 years, demand grew in line with a significant increase in supply. In addition, a decrease in market-wide Average Daily Rates (and corresponding RevPARs) is mainly driven by a significant amount of new 3 and 4-star hotels entering the market over the past two years,” he continued. Willis believes macroeconomic factors will always continue to change and shift industries but the ability to remain adaptive and reactive is essential. The public and private sectors have great synergies in the GCC, he says, and are able to deliver on the ambitions that were set and continue to show confidence in the great tourism initiatives and developments that are already well under way, and he believes this will support the stabilization of the regional market. Besides quality infrastructure, the GCC has one of, if not the greatest accessibility to the world with the concentration of the best airlines. According to Willis those two fundamentals are the basics of any demand growth and that has clearly been an aim of the region to become an aviation hub. These create a solid bedrock for the development of other sectors including hospitality. Finally, an increased supply will create more pressure on room rates, making them more affordable. This will transform GCC capitals into affordable cities which will then be able to attract even more visitors. This however, some experts say, could lead to increased competition and price wars among hoteliers. But some suggest that instead

of engaging in a price war, hotels are expected to undertake renovations and increase their services to differentiate themselves and capture market share. View from Qatar The hotel supply is being developed in line with major government infrastructure projects and the aim of the Tourism Authority is to develop Doha and indeed Qatar as an international cultural and financial hub. According to Oppl, “Qatar has a strategy in place to shift from being largely a business destination to becoming a leisure capital of the Gulf (the number of world-class museums and hosting the FIFA World Cup are only some of the major initiatives). In parallel, the country aims at reducing its dependency on the traditionally strong Saudi market by growing other source regions in Asia and Europe.” Moreover, said Willis, the growth of the country’s airline will see an increasing number of routes through Doha, reinforcing the growth as an international hub. “This strategy has worked well for neighbouring countries and so, although there is a strong hotel supply entering the market, we believe this will be satisfied by the broader vision and goals of the Qatar Tourism Authority,” he noted. Although Qatar had initially focused on wealthy visitors and corporate travellers, it seems that Qatari touristic visionaries have realised the importance of middle-class visitors and families. After all, most of the one million football fans expected to visit Qatar are expected to be middle-class individuals looking for fun and good times during the tournament. Qatar can offer everything that its successful neighbour UAE has managed to exploit over the past decade: sea, sun and sand, shopping, museums, water

sports, desert and world-class infrastructure. Wilkinson said the government of Qatar sees the World Cup as just one milestone on the growth curve of sports tourism in Qatar, an initiative it has been actively espousing for many years now. “The amazing spurt in infrastructure development in Qatar over the past decade, driven by its globally dominant gas sector, shows no signs of abating. These are the true building blocks of sustainability, and I see no reason for

“Qatar has already begun to diversify its hospitality offerings into the midscale segments, and before long we confidently expect it to develop branded budget hotels as well.” BARBARA M A WILKINSON Partner and Chief Operating Officer Viability Management Consultants

hoteliers to be concerned,” she noted. As for Oppl, “the country is already in a good position to grow sustainably and get the supply and demand equation right, even when considering the current economic instability.” The new hotel openings will create greater competition in the short term and, according to Willis, we may see some softening of rates. As previously stated, the diversification of the Doha market from a corporate one to a more leisure or cultural one is essential to the growth of the city and to enable the new hotel supply to be absorbed by a growth in demand. While continuing to be characterised mainly by its luxury hotels, “Qatar has already begun to diversify its hospitality offerings into the midscale segments, and before 39 > QATAR TODAY > NOVEMBER 2016

HOSPITALITY AT THE

CROSSR0ADS COVER STORY// Global downturns make investments into budget-hotels even more justifiable as they pose less of a developmental and operational risk.

long we confidently expect it to develop branded budget hotels as well. We are aware that the Qatari government is investigating how best to work with AirBnB and other sharing economy web sites as well, which should only add to the variety of affordable lodging available in the market,” added Wilkinson. It is no secret that travellers are calling for more affordable budget brands in the Gulf region, as many of them are not willing to pay more than $100-$200 per night, especially in times of currency depreciation. Although the GCC and Qatari hospitality reputation has largely been founded on famous high-end hotel projects, the need for budget or middle-class hotel development in the GCC is also clearly evident. Global downturns make

"The growth of the country’s airline will see an increasing number of routes through Doha, reinforcing the growth as an international hub. So, although there is a strong hotel supply entering the market, we believe this will be satisfied by the broader vision and goals of the Qatar Tourism Authority." MARK WILLIS Area Vice President Middle East & Turkey Carlson Rezidor Hotel Group

such hotel investments even more justifiable as they pose less of a developmental and operational risk. This of course does not indicate the end of the luxury segment in the Gulf, which has become its trademark. It is more likely that a broadening of the market to cater to business travellers and lower-income tourists would open up fresh revenue-generating opportunity. Finally, Willis indicated that increased competition would come as a good thing for consumers and the city in many ways as it will help to accelerate diversification with new offerings but will also attract new markets. “That will further help to make sure that the highest standards of hospitality are delivered within our industry and we are confident that travellers will be reassured that our property in Qatar will continue 40 > QATAR TODAY >NOVEMBER 2016

to deliver the international standards that Radisson Blu is known for.” Innovative solutions and opportunities Finally, any hospitality offerings always have to take into consideration what the demand requires. “Once the event is completed these destinations tend to attract tourism by building upon the legacy created,” says Sona. “For example, Qatar will have the newest and most modern stadiums in the world and post-World Cup these can be utilized to host other sports events, parades, concerts and national events.” He is convinced that there will be lots of people that will be curious to see venues where the World Cup took place, recalling the case of London where they have consistent visits to Olympic Park by people that want to see what the venue looks like. In the case of the FIFA World Coup and hotel accommodation requirements, Sona offers an innovative sustainable approach which includes issuing a temporary licence for holiday homes so that owners of residential towers/ buildings could capitalize on the tourism boost of the World Cup and rent units as if they were serviced apartments. According to him, this will increase the bed space capacity of the city without requiring major capital investments from both the private and public sector. Also, once the World Cup is over these towers can be used within their original scope for residential use. This will also allow controlling of the hotel supply and allow hotel assets to stabilize and continue with a consistent performance. The other solution is to build hotels on modular construction methodology by creating a hotel village such as Dubai's BoxPark developed by Meraas Holding. Once the event is over these can be sold to the private sector or to other hosting nations. “On the other hand, the upcoming demand generators such as Lusail City and Msheireb Downtown are expected to increase the appeal of Doha as a leisure destination. The increase in leisure tourism will be gradual over time, and will result in a more diversified demand base, reducing the risk of being reliant on one major segment,” he concluded

affairs > local

CNAQ INKS MOU WITH QNCECS College of the North Atlantic - Qatar and Qatar National Commission for Education, Culture and Science partner to advance technical education in Qatar.

ollege of the North Atlantic - Qatar (CNA-Q) and the Qatar National Commission for Education, Culture and Science (QNCECS) signed a memorandum of understanding (MoU) that will see the two organisations work together on a number of projects and activities that will further the outreach, research, advocacy, and programming of Technical and Vocational Education and Training (TVET) and Sustainable Development in Qatar. The MoU was signed by Dr Hamda Hassan Al Sulaiti, Secretary General of the QNCECS, and Dr Ken MacLeod, President of CNA-Q. Dr Al Sulaiti wasted no time in declaring the first accomplishment of the new partnership when she announced that the United Nations Educational, Scientific and Cultural Organization (UNESCO) had awarded CNA-Q a prestigious UNESCO Chair on Technical and Vocational Education and Training (TVET) and Sustainable Development. Dr Al Sulaiti noted that the two organisations have plans to conduct collaborative activities through the new UNESCO Chair, the Qatar Petrochemical Company (QAPCO) Professional Chair in Vocational Studies, and the UNESCO-UNEVOC Centre for Qatar, which is also located on the CNA-Q campus.

(Left) DR HAMDA HASSAN AL SULAITI and DR KEN MACLEOD sign the MoU; (centre) CNA-Q campus; DR RUPERT MACLEAN

Dr Rupert Maclean has been appointed as the UNESCO chair holder by UNESCO Headquarters in Paris. Dr Maclean concurrently holds the QAPCO Professional Chair in Vocational Studies in CNA-Q’s Office of Applied Research and Innovation; and thus, the UNESCO Chair will also be located in the same office. Dr Maclean is well qualified to assume the role of UNESCO Chair, as he has had a long and esteemed career as a TVET researcher and author, and has been a member of the UNESCO community for two decades, working in various UNESCO offices in Myanmar, Bangkok, Paris, and Bonn. The Chair will be funded by CNA-Q and industry partners for an initial period of four years. Dr Al Sulaiti said, “CNA-Q is the premier provider of TVET programmes in Qatar. I can think of no better organisation to partner with the Qatar National Commission for Education, Culture, and Science and to take on the responsibilities of hosting a UNESCO Chair in the region. TVET is extremely important for Qatar and countries in the GCC. The UNESCO Chair will focus on two areas of importance to UNESCO, that of inclusive growth, so that the benefits of economic development encompass all sectors of the community, and sustainable development, which seeks to minimise the adverse impact of economic growth and development on the environment.”

The role of the Chair is to ensure that UNESCO priority areas are applied in Qatar and the GCC, such as skills development for employability, green economies, entrepreneurship, education, job transition from classroom to workplace, and meeting the vocational and technical training needs of Qatar’s energy and industrial sector. The Chair will conduct extensive local and regional labour market policy research, and produce effective strategies to ensure that all Qatari graduates are appropriately prepared to fulfill the goals of the Qatar National Vision 2030. “As the State’s premier college of applied teaching and learning, we are delighted to be partnering with the Qatar National Commission for Education, Culture, and Science and it is very fitting that UNESCO has granted this Chair to Qatar, and that it is located on our campus, and filled by one of our staff members. At CNA-Q, our educational philosophy is centred on applied technical and vocational education. The UNESCO Chair will conduct targeted research and outreach, and provide leadership to the State of Qatar in educational pathways linked to evolving labour force needs. This will provide opportunities for young Qataris to achieve a skill set in their chosen field that prepares them to build both their own future and that of Qatar,” said CNA-Q President, Dr Ken MacLeod 41 > QATAR TODAY > NOVEMBER 2016

business > bottomline

ENTREPRENEURSHIP

IN THE MIDDLE EAST

BAYT.COM EXPLORES SOME OF THE BENEFITS AND OBSTACLES FACING ENTREPRENEURS IN THE REGION.

42 > QATAR TODAY >NOVEMBER 2016

magine conducting an experiment or establishing a place where you are able to transform your ideas, no matter how unprecedented or out of the ordinary, from fantasy into reality. Imagine creating a human anthill that harmonises with your ideal work environment and generates your goals and dreams. Imagine running an establishment that creates economic value and potentially disrupts preexisting competition and steps to the front line. Known as entrepreneurship, the endeavour to found a successful business is a hot topic among the MENA workforce today. Bayt.com, the leading job site in the Middle East, dug deeper into the selfemployment obsession. The Bayt.com Entrepreneurship in the Middle East Survey, August 2016, examined the extent

to which this phenomenon is prevalent as well as the existing obstacles and benefits for entrepreneurship. Unsurprisingly, more than two-thirds (71%) of respondents in the region claimed that they would prefer to be self-employed. But how easy is it to start and run your own business? What are some of the common challenges faced by entrepreneurs in the MENA? Take a look at the most commonly reported motivations for and barriers to being an entrepreneur in the MENA:

THE MOTIVATIONS Choosing self-employment over unemployment You may cringe at the simplicity of this association, but the lack of employment

opportunities motivates job seekers to create such opportunities. Think of self-employment and unemployment as alternatives; higher unemployment works as an incentive for aspiring entrepreneurs to start a business. At the end of the day, many of us prefer to be self-employed than not employed at all. 2016 is a challenging year with one in four young people in the MENA being unemployed. This number is higher, in fact, if we include informal unemployment and underemployment. Despite the fact that persistent unemployment is economically and psychologically taxing, it can motivate job seekers to explore alternative routes such as entrepreneurship. Ultimately, those who pursue the self-employment path will secure jobs for themselves and a few others. Todayâ&#x20AC;&#x2122;s entrepreneurs can be thought of as tomorrowâ&#x20AC;&#x2122;s employers.

a new business often begin with their passion as the guiding map to constructing their business idea.

Being your own boss When asked about reasons for starting a business, the most-cited in the Bayt.com Entrepreneurship in the Middle East Survey was the greater sense of independence at work. Thirty-nine percent of the survey respondents enjoy having the ability to choose their work schedule, dress code, company rules, etc., and think of such decisions as very attractive perks of entrepreneurship. Highly stratified organisational structures and excessive hierarchy tend to diminish the sense of independence, ownership, and autonomy at work. Entrepreneurs truly value self-management and find that it also enables them to focus better on what they want to achieve.

Limited government support Establishing a new business is partially bound by the host governmentâ&#x20AC;&#x2122;s laws, regulations, and investment incentives. The majority of respondents to the Bayt.com Entrepreneurship in the Middle East Survey believe that governments could better support entrepreneurs by easing laws and regulations for setting up a business (60% of respondents.) Furthermore, tax reductions, streamlined registration and licensing, and facilitated access to investors and talent are a few strategies that governments can adopt to foster an attractive entrepreneurial environment for their countries.

Chasing your passion Another reason many individuals in the MENA region prefer self-employment is that it allows them to do exactly what they are interested in. Finding a career that really parallels your passion can be challenging. If your passion involves starting from the ground up and overseeing all aspects of the business, then entrepreneurship is the right path. According to the Bayt.com Entrepreneurship in the Middle East Survey, 58% of respondents find that starting their own business affords them a sense of personal fulfillment. In fact, those who seek to start

Start-up risk Just like with any career change, there is always a risk to assume with entrepreneurship. Establishing a new business may appear even riskier as entrepreneurs often have to invest their own financial, physical, and human capital. All start-ups face the risk of failure as well as capital loss. For many people, working for a company may appear as a safer option that provides a steady flow of income and does not require them to sacrifice their savings or other assets. Consequently, risk is also widely considered to be an obstacle when starting a business

THE BARRIERS Finance-related obstacles Starting a new business from scratch will inevitably incur multiple costs between physical and human capital, set-up costs, overhead and taxes. Entrepreneurs who seek to grow their start-ups and survive the preexisting competition may face heftier financial burdens as they attempt to promote their products and services and push the boundaries of the existing market. The majority of wannabe entrepreneurs in the MENA region refer to such costs and to their inability to access finance opportunities as the number one obstacle for starting their projects.

Visit www.bayt.com today and download the white paper to know more about the skills gap crisis in the Middle East.

More than two-thirds

(71%)

of respondents in the region claimed that they would prefer to be self-employed.

ABOUT BAYT.COM Bayt.com is the #1 job site in the Middle East with more than 40,000 employers and over 26,000,000 registered job seekers from across the Middle East, North Africa and the globe, representing all industries, nationalities and career levels. Post a job or find jobs on www.bayt.com today and access the leading resource for job seekers and employers in the region.

43 > QATAR TODAY > NOVEMBER 2016

green scene > tag this

SUN-RICH QATAR LOOKS AT SOLAR POWER 44 > QATAR TODAY >NOVEMBER 2016

MOVING ANOTHER STEP TOWARDS MAKING QATAR THE SOLAR HUB OF THE MIDDLE EAST, THE TINY GULF NATION, WHICH HAS ONE OF THE HIGHEST SOLAR IRRADIANCES IN THE REGION, HAS EMBARKED ON A MISSION TO UTILISE SOLAR POWER, WHICH IS ABUNDANTLY AVAILABLE IN THE COUNTRY. BY V L SRINIVASAN

he move is also part of Qatar National Vision’s agenda to adopt a sustainable and futuristic strategy for energy, economic and social security, and the government has accorded top priority to solar energy which will be part of Qatar's energy mix to meet the growing demand for power in the coming years. But why solar power when Qatar is endowed with huge gas reserves and has been the world’s largest supplier of LNG for many years? The government is aware that fossil fuels will not last long and it also has the responsibility to deploy renewable energy along with other countries and hence the decision to generate solar power. Another reason for the government’s decision to tap solar power and make it a key part of Qatar’s future energy mix is that other alternative energy resources such as coal and wind power had been ruled out and establishing a nuclear power plant was out of the question as the country’s land mass was very small. According to MEED, the Middle East and North Africa (MENA) region witnessed a 450% increase in the value of contracts awarded – from QR5.1 billion ($1.4 billion) in 2014 to QR28 billion ($7.7 billion) – for

reusable energy projects in 2015. In fact, the state-owned Qatar Electricity & Water Company (QEWC) has signed an agreement with Qatar Petroleum (QP) to set up a 1000 MW solar power project and the joint venture is expected to be ready by the end of this year or early 2017. While the joint venture will hold 60% of the project, the remaining 40% will be offered to international companies. “The two shareholders will provide QR1.82 billion ($500 million) of start-up capital as producing power from solar is cheaper than buying gas from the international market,” said QEWC managing director and general manager Fahad Al Mohannadi. Subsequently, French energy major Total’s chairman and CEO Patrick Pouyanné, who was in Doha in May, said that they may join the proposed solar project being set up by QP and QEWC. Pouyanné said that Total would examine the possibility of establishing a joint venture between its subsidiary SunPower Corporation and the project announced by QP and QEWC. However, he did not elaborate. “We already have a solar business in Abu Dhabi and are willing to expand our operations to Qatar,” added Pouyanné. SunPower is engaged in manufacturing solar photovoltaic cells and panels and also develops projects globally. Total, which holds a majority stake in

According to MEED, MENA witnessed a 450% increase in the value of contracts awarded for reusable energy projects in 2015.

45 > QATAR TODAY > NOVEMBER 2016

green scene > tag this

A boy displaying the solar lantern he built out of recycled material at Shams Generation programme organised by Qatar Solar Technologies (QSTec) at Katara Cultural Village

“We already have a solar business in Abu Dhabi and are willing to expand our operations to Qatar.” PATRICK POUYANNÈ Chairman and CEO Total

SunPower, has committed to invest QR1.82 billion ($500 million) in renewables every year. Qatar has a power surplus and the power utilities have met the entire demand of 8,200 MW in 2015. The peak demand for both electricity and water in Qatar is expected to grow between 6 and 8% this year compared with 7,000 MW and 330 million gallons of water. The total installed capacity in Qatar is around 8,800 MW and plans are underway to increase power generation by nearly 50% to reach around 13,100 MW by 2018 to cater to the country’s ever-growing development needs. Qatar’s first solar power unit, which is coming up on an area of 100,000 sq.m at Duhail, is expected to produce between 10 MW and 15 MW. The plant is expected to be commissioned next year or in early 2018. Umm Al Houl plant In March this year, Prime Minister and Minister of Interior HE Sheikh Abdullah bin Nasser bin Khalifa al Thani laid the foundation for the QR11 billion ($3 billion) Umm Al Houl power and desalination project, which is Qatar’s biggest water and power project and is also said to be one of the largest power and water projects in the region. The plant has an installed capacity of 2.52

46 > QATAR TODAY >NOVEMBER 2016

GW and produces 136 million gallons of drinking water per day. It is being set up by Kahramaa, Qatar Petroleum and Japanese firms Mitsubishi and TEPCO. The plant, whose first phase is expected to open in 2017, will meet the rising power and water demand of industries in the upcoming economic zones In his comments, Minister of Energy and Industry HE Mohammed bin Saleh Al Sada said that the national companies will execute at least 30% of the project work and the project will be completed in two phases. While the first phase will be ready by June 2017 producing 40 million gallons of water a day, it will reach full capacity in the third quarter of 2018, said the minister. “The Umm Al Houl plant, which is part of QNV 2030, will increase the country’s current electricity output by 22% and water output by 25%,” added the minister. More investments As more new power projects are being planned to meet the growing demand for power, QEWC’s capital expenditure (capex) is expected to increase from QR1.6 billion spent between 2012 and 2014 to QR7.6 billion between 2016 and 2018, according to Moody’s, a global credit rating agency.

"The Umm Al Houl plant, which is part of QNV 2030, will increase the country’s current electricity output by 22% and water output by 25%.” HE DR MOHAMMED BIN SALEH AL SADA Minister of Energy and Industry State of Qatar

The company’s capex increased to QR1.03 billion in 2015 from QR0.76 billion in 2014 due to the completion of RAF A2 and is expected to increase substantially in the 2016-2018 period to QR7.6 billion, said the firm in a report. “This reflects the company’s new phase of investments in the construction of RAF A3 and Umm Al Houl Power Plant,” the report pointed out. Current low reserve levels in Qatar (power at 16% and water at only 6%) support the current wave of capex with two new plants to be commissioned, following the completion of RAF A2 in July 2015 which added 36 MIGD (million gallons per day) of water supply. The commissioning of RAF A3 in two phases expected in September 2016 and January 2017 and Facility D in multiple phases expected in 2017 and 2018 will add another 172 MIGD of water supply and 2,520 MW of power supply. Rooftop units In an interview with local media, Qatar Environment and Energy Research Institute (QEERI) acting executive director Dr Khalid Al Subai felt that Qatar can focus more on implementing rooftop solar solutions to address the growing demand for electricity, especially during the summer months. Qatar’s global horizontal irradiance is 2,140 kWh per sq. m per year which makes it well-suited for rooftop solar PV systems. Already Hamad Bin Khalifa University Student Housing Board and Qatar National Convention Centre have put up rooftop solar panels to meet their power demand in part and more places are likely to have them to achieve carbon neutrality in the run-up to the 2022 FIFA World Cup, he pointed out. Qatar Rail is another major infrastructure project in the country which is looking at using solar power in its upcoming rail network and has already signed a memorandum of understanding (MoU) with Qatar Solar Technologies (QSTec) in 2014. QSTec, a member of Qatar Foundation,

is working on the project that may lead to the installation of up to 80 MW of solar technology within Qatar’s multibilliondollar railway development. The first stage of the MoU will look at installing ground and rooftop-mounted solar PV installations on the proposed 3 million sq. m rail depot facility that will be located near the new Hamad International Airport. Speaking at the MoU signing ceremony at that time, Qatar Rail’s Managing Director Eng. Abdullah bin Abdulaziz Turki Al Subaie said: “Solar energy development is one of the main green aspects of our project and our partnership with QSTec helps us improve the eco-friendly feature of the rail network adopting green building regulations, which consist of standards for efficiently using energy and water and reducing waste and environmental degradation.” Charging stations The Ras Laffan Industrial City’s Community Outreach Programme (RLIC-COP) has announced its support for installing ten solar-powered charging stations for mobile phones in three public parks located within Al Shamal municipal limits. These charging stations will soon be set up in Al Ruwais, Ain Sinan and Abu Dhalouf public parks. The mobile charging station is called the ‘Solar Multi-Function Charging Tree’ with each having two light poles which can provide eight hours of continuous lighting. The nearby beaches in Abu Dhalouf and Al Ruwais, will also offer 34 shaded areas with solar lights. The project is part of Al Shamal Municipality’s environmental preservation efforts and sustainability development initiatives. The present initiative was established by seven leading energy companies operating in RLIC, namely Qatar Petroleum, Qatargas, RasGas, Al Khaleej Gas, Dolphin Energy, Pearl GTL and Oryx GTL. Qatargas is managing the project on behalf of the RLIC-COP

“Solar energy development is one of the main green aspects of our project and our partnership with QSTec helps us improve the eco-friendly feature of the rail network and adopt green building regulations, which consist of standards for efficiently using energy and water, and reducing waste and environmental degradation.” ENG. ABDULLAH BIN ABDULAZIZ TURKI AL SUBAIE Managing Director Qatar Rail

47 > QATAR TODAY > NOVEMBER 2016

diversification > tag this

TOWARDS A KNOWLEDGE ECONOMY:

IS QATAR ON TRACK?

AT A CONFERENCE HELD RECENTLY BY HEC PARIS IN QATAR, WE DISCOVER HOW FAR ALONG QATAR IS IN ITS QUEST TO MOVE TOWARDS A KNOWLEDGE-BASED ECONOMY AND THE PITFALLS TO AVOID ON THE WAY FORWARD. BY AYSWARYA MURTHY 48 > QATAR TODAY >NOVEMBER 2016

ike Tyson famously said, “Everybody has a plan until they get punched in the mouth.” Qatar has never been short of plans. It has the Qatar National Vision 2030 and the second five-year plan, the National Development Strategy 2017-2022, is due to be out soon. But the sudden, and seemingly irreversible, drop in oil prices has delivered quite the punch. Budgets have reduced and timelines have accelerated. Keeping to theclimate HEC Paris in Qatar put together a conference to address the pursuit of Knowledge-Based Economies (KBE) in Qatar and it was as good a place as any to ask the question – how are we doing? Supported by the Qatar National Research Fund (QNRF), the conference brought together experts across the fields of research, industry and policy, to draw on global lessons and regional experiences. Delivering the opening address at the conference, HE Dr Saleh bin Mohammed Al Nabit, the Minister of Development Planning and Statistics, spoke about how the NDS 2017-2022 will reinforce KBE as a new and more urgent priority and will encourage private sector investment in targeted sectors. Director of Economic Policies and Research at the Ministry of Economy and Commerce, Saud Al Attiya, who spoke later in the day, further elaborated on the current KBE challenges and how the next NDS was drafted to address some of them. “Not only do we have to deal with the legacy of budgetary

deficits from the current economic crisis, but we have to deliver many crucial projects within the next few years. We are now competing directly with many advanced economies, and even regionally, countries like the UAE, Kuwait and Saudi Arabia are aggressively attracting talent, foreign-direct investment, etc., to their own economies,” he says. He also stressed that new solutions were needed to renew productivity growth, which has been on the decline since 2008 due to the increase in percentage of low-skilled labour in Qatar. He went on to outline some of the propositions in the NDS. “Over the next year, we will be working with Qatar Development Bank and other stakeholders to give out more loans, especially for PPP (public-private partnerships) and home businesses. Right now we don’t have a venture capital community in Qatar and we look into how to develop VC culture,” he says. The Qatar Sports Business Cluster, which was announced in May this year, will

HE DR SALEH BIN MOHAMMED AL NABIT, the Minister of Development Planning and Statistics, who spoke at the start of the conference, said that the NDS 2017-2022 will reinforce KBE as a new and more urgent priority and will encourage private sector investment in targeted sectors.

"In a couple of months, we will also finalise the FDI Law, also known as the ‘100% Law’, which will attract and support big foreign investments in Qatar." SAUD AL ATTIYA Director of Economic Policies and Research Ministry of Economy and Commerce

49 > QATAR TODAY > NOVEMBER 2016

diversification > tag this

LESSONS FROM SKOLKOVO AND MASDAR

Masdar Institute, and (right) Skolkovo Foundation

According to Geiger, they learnt a lot of lessons from Russia and the UAE, and which may be applicable to Qatar. “Government bureaucrats are terrible managers when it comes to these kinds of projects,” he says. “The best solution is to work with the private sector, which has their skin in the game and so are better judges on where to invest and what risks to take.” Innovation is inherently global and collaborative; countries who want to work in silos will suffer. In Russia the political climate of suspicion limited this, he says. International collaborations provide credibility, resource and velocity. Additionally they can be early warning systems when you are going off the track and are good indicators of whether you can attract and maintain sustainable partnerships. Do not be overgenerous with grants to your startups. Spoiling them is harmful, and when they step out into the real world, the private sector won’t support them. Grant only the minimum amount they need to stay lean, mean and hungry. Do not underrate the value of corporate sponsored research and don’t expect corporations to get this automatically either. “It’s an education process. A lot of outreach has to be done to convince corporations that this is good for them. It’d help them build better companies, create new technologies, improve processes and generate profit,” Geiger says. Qatar has done a good job on this with several oil and power companies invested in research centres in universities like Texas A& M in Qatar and at the Qatar Science and Technology Park (QSTP). “In Russia, we didn’t do enough outreach and so we had to drag them into it. Always make an extra effort with workshops and tell corporations why they need to invest in research, why they need to take in student interns and why they need to create entrepreneurship programmes, jointly funded with the government.” Geiger warns against the Edifice Complex – the desire to build huge, shiny, multibillion dollar complexes. “It might be that people might need that excitement but it also distracts from the goal.” He talks about Masdar City in Abu Dhabi, a zero-carbon complex (but managers recently decided that it couldn’t be entirely zero-carbon) costing $22 billion and with the capacity to accommodate 50,000 people. “It attracted so much attention and excitement but at the disadvantage of the core element of knowledge building. People were more interested in making money out of selling goods and services to the development,” he says. “Try to keep the architects on a leash or they will hijack the project,” he laughs. “And remember – Microsoft, Google and Facebook were built in dorm rooms and garages.” “In Abu Dhabi, we were weak in using local entrepreneurs and VC communities. More efforts must be made to build these communities. There is no point in educating your youth at world-class universities but, once they step out, there is no support network to fund their ideas.”

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be the first of many such clusters, according to Al Attiya. In the first quarter of 2017, land will be allocated for this cluster, which will provide $40 billion worth of business opportunities for the private sector in Qatar and also for foreign investors. With the announcement of the legal and technical framework for PPPs (also expected early next year), the government will release a project portfolio for the private sector in services, infrastructure, education, mega projects, healthcare, etc. “In a couple of months, we will also finalise the FDI Law, also known as the ‘100% Law’, which will attract and support big foreign investments in Qatar,” he says. While speaking in public, Qatari government officials are known to play their cards close to their chest. So not too many details about these initiatives were given out. But the crucial question in everyone’s mind was this – how do you know if you are on the right track? Learning from others’ mistakes The keynote speaker, Steven Geiger, had some answers to that. The former COO of Skolkovo Foundation, Russia, and Founding Director of Masdar Institute, UAE, Geiger has some serious experience in helping resource-dependent nations develop their knowledge societies and innovation systems. “A number of mistakes were made and a lot of lessons were learnt,” he says of his experiences. Can other resource-dependent countries provide a model for Qatar? “Each country is unique but there are some common elements in building KBEs. The GCC have certain KBE-related challenges. Most of them, and Qatar is an exception in this, have relatively weaker scientific capacity and minimal R&D. Qatar, despite its size and the number of engineers/scientists in respect to its population, has a much more advanced R&D spend per capita compared to the rest of the GCC. They also have relatively weak education systems. And in addition to having small populations, they are typically one-commodity economies and currently have limited innovation infrastructure.”

But the same small population can also be advantageous because there is no large inertia to combat while implementing change. “A small country with the right leadership and resources can take monumental steps in a small period of time,” Geiger says. And that’s something Qatar has going for it – decisive leadership with a vision and ample financial resources. Although Russia is a huge country and major world economy with 140 million highly educated people and deep technical capacity, Geiger thinks their KBE-push is worth studying. For a long time the legacy of the Soviet Union’s ‘command economy’ was blocking Russia’s KBE development, he says. “While they had this huge research capacity, it had no linkage to the market and so there was no translation of this huge tech base into the products and services that the market required.” This gap had to filled with a brand new innovation ecosystem, comprising leading research universities that did fundamental and applied research; corporates who fund those research; entrepreneurs and students from these research universities who started spinoff startup companies with some support from the government; and angel investors, seed investors and VC communities. All these four components will have to be supported by strong government policies and also a competitive infrastructure, both physical and otherwise. All KBEs have all these components working together on invisible interfaces to produce meaningful output, Geiger says. “The challenge is getting all the policies governing all these components simultaneously right. Our advice for countries is to figure out what those invisible interfaces are and design policies accordingly.” Abu Dhabi got some of this right. “Back in 2005, the emirate had an image problem. They were the third biggest polluters in the world in terms of CO2 per capita and were viewed as a purely oil & gas economy with not much capability beyond that,” Geiger says. But they aggressively sought a diversification strategy that leveraged

"Qatar, despite its size and the number of engineers/ scientists in respect to its population, has a much more advanced R&D spend per capita compared to the rest of the GCC." STEVEN GEIGER Former COO Skolkovo Foundation, Russia, Founding Director Masdar Institute, UAE

existing knowledge and assets, namely expertise in energy. The government was willing to experiment and take chances, he says. The result was Masdar City which now is home to the world’s first graduate school specialising in renewable energy research and the global headquarters of the UN’s International Renewable Energy Agency (IRENA). “They have made huge image strides since then and shown real development. But they have also made some mistakes,” he says. Recognising the context One of the most informed and concise KBE strategies that we have heard came from the new Managing Director of QSTP, Dr Maher Hakim. In under ten minutes, he lays out a path forward that doesn’t seem daunting, feels manageable and makes perfect sense. He says he approaches the question of KBE as an entrepreneur, which is what he was and continues to be. “The question has to be answered within the context. The context of moving towards KBE in Qatar is different from somewhere else in the world and the solutions will be different too. For China, it meant getting into manufacturing. In India, it meant information technology. In the

A healthy innovation ecosystem has a few fundamental components – leading research universities that did fundamental and applied research; corporates who fund those research; entrepreneurs and students from these research universities who started spin-off startup companies with some support from the government; and angel investors, seed investors and VC communities. 51 > QATAR TODAY > NOVEMBER 2016

diversification > tag this

360-DEGREE RESEARCH OFTEN COUNTED AMONG THE WHO’S WHO OF RESEARCH FUNDING GLOBALLY, DR ABDEL SATTAR AL TAIE, EXECUTIVE DIRECTOR OF QATAR NATIONAL RESEARCH FUND, IS NOT JUST INCHARGE OF THE PURSE STRINGS BUT IS ALSO STEERING THE DIRECTION OF RESEARCH IN QATAR INTO RELEVANT AND ESSENTIAL AREAS. HE TALKS EXCLUSIVELY TO QATAR TODAY ABOUT HOW RESEARCH IS BRINGING THE KBE GOAL CLOSER.

y any standards, Qatar’s dedication to research is applause-worthy. Close to 2.8% of Qatar’s GDP goes towards research (see graph), almost equal to what most OECDs spend on their R&D. QNRF funds research across all disciplines, with a special focus on the four grand challenges or pillars. While traditionally, social science, arts and humanities are incorrectly considered unrelated to KBE, Dr Al Taie says the tide is turning. “It’s evolving and the quality and quantity of proposals submitted in this pillar is going up, which is a good omen,” he says. Why are the social sciences important? “You can’t drive technology without human interaction. Sometimes this will call for behavioural and attitude changes among the DR ABDEL SATTAR AL TAIE Executive Director citizens of the country. One very important Qatar National Research Fund milestone for making this change in societal behavior is education reform, which Qatar has already started. While initially kids were spoon-fed facts you measure progress and impact when most of the outcomes are and figures, now the system is more open. Now kids have the long term? Dr Al Taie smiles. "It moves in stages. Initially, our top opportunity to discover, interact and learn entrepreneurial skills priority was to build a research culture and infrastructure, and at an early age,” he says. (QNRF’s K-12 progarmmes are a good create human capacity. Then we activated the system with the example of how things are moving in the right direction). In fact, right policies and procedures, which took a while for us to develop. QNRF’s strategy identifies the importance of entrepreneurship A very important short-term impact was enabling our universities in the development of KBE and this is an important research to excel in research,” he says. For example, Qatar University’s topic within the social sciences pillar, according to Dr Al Taie. compounded annual research growth in 2014 was 39%, one of “Experiments should not be restricted to the lab. Business the highest in the region, if not the world.” This has been possible experimentation, challenging ideas, testing ideas and networking because of a good research culture and funding which attracts and will allow big ideas to turn into action at the nexus of environment, retains the best talent. The top professors in our universities are not there just to teach; research is a very important component.” economic opportunities and human well-being.” “And through our research investment, our researchers have QNRF funds research at all levels – from K-12to Nobel laureates. “We cover the full spectrum of beneficiaries, from academia managed to publish and present papers and consequently interact andgovernment sectors to independent research institutions and with other researchers worldwide. Through our funding and private companies. This is how we can be impactful. The focus is collaboration opportunities, we are working with 500 global not just the academia. A university working on their own is the institutions from 55 countries. It’s a snowball effect. This definitely old model of doing things. Now we need to get whole societies reflects in the level of recognition Qatar has achieved as a hub for research in the region,” Dr Al Taie says. “In the future, we will reap involved,” he says. It has been almost a decade since the QNRF was established results in terms of patents, inventions, spin off companies, and and the research landscape in Qatar has changed unrecognisably startups, that will eventually lead to diversification. Our overall in that time. It is credited with visualising the research and investment will eventually lead to huge ROI. But we have to be development sector strategically and innovatively. But how do patient. It will take at least 15-20 years,” he says.

"Through our funding and collaboration opportunities, we are working with 500 global institutions from 55 countries. This definitely reflects in the level of recognition Qatar has achieved as a hub for research in the region."

52 > QATAR TODAY >NOVEMBER 2016

US, it meant changing human behaviour through brilliant marketing and cultural exportation, which they are great at. What is Qatar’s context?” he asks. “We are a tiny country. Once we take out those who won’t participate in a KBE, like the blue-collar workers, that leaves us with one million people, maybe two if we continue to grow. That’s the size of a middle city in the US. So we really need to focus; we can’t be doing too many things.” Another question about context is what is our competitive advance? What will we have left when oil & gas is replaced or runs out and how can we take advantage of that? Dr Hakim enumerates three things. “Capital. In Qatar, individuals are wealthy, the private sector is wealthy and the government is wealthy. So we are starting with a huge asset. Second, we have invested heavily in R&D and are viewed as a world leader. And third, we know and understand the energy industry – not necessary just the extraction of gas and oil but distribution, logistics, demand generation, creation and prediction, buying and selling and the middle men – we are familiar with every single aspect of the value and supply chain. So tomorrow, even if the core components change, i.e renewables instead of oil and gas, our knowledge doesn’t become obsolete.” This is our context. What’s missing in taking the context and turning it into a mechanism? “We have capital but no asset managers. By not investing in developing an asset management industry that is homegrown, we have to rely on the Morgan Stanleys and Mckinsies of the world. We have R&D but no product innovation. While we generate a lot of research, patents and white papers, our private sector doesn’t build or export products. We know energy but there are no true experts who understand the industry end to end. The knowledge is scattered,” he says.

"The context of moving towards KBE in Qatar is different from somewhere else in the world and the solutions will be different too." DR MAHER HAKIM Managing Director Qatar Science and Technology Park

“If we build all this, we could own the concept of being innovators in the energy industry, one that will never go away, even if the type of energy changes. And this is the perfect time to prepare for this – the energy sector is already being disrupted today in two dimensions – the move towards alternative fuels along with the increasingly role of IT.” Everything is fluid, being taken apart and rebuilt. If Qatar plays its cards right, it can carve a niche for itself at the centre of it all. A KBE doesn’t happen by accident. It requires long-term commitment, persistence, national targets and international collaboration. But Geiger leaves us with a sobering thought. Are we building our KBE fast enough?” Technology growth is not linear. Look at the fast penetration of mobile phones and the Internet. Once technology reaches a certain saturation or price point, it goes exponential. Certain advances are now coming at this exponential speed – chemical battery storage, renewable energy, electric cars. This is going to directly impact resource-dependent economies of the gulf and their future revenue stream,” he says. So we ask again: are we building our knowledge-based economy fast enough?

QATAR CONTEXT COMPETITIVE ADVANTAGES AMPLE CAPITAL LARGE INVESTMENT IN R&D EXPERTISE IN ENERGY

HOW DO WE LEVERAGE THESE ADVANTAGES DEVELOP ASSET MANAGEMENT CAPABILITIES IMPROVE PRODUCT DEVELOPMENT EXPERTISE CREATE END-TO-END ENERGY SPECIALISTS

53 > QATAR TODAY > NOVEMBER 2016

sports > tag this

NBAâ&#x20AC;&#x2122;S GLOBAL AMBITIONS AT A JOSOOR INSTITUTE WORKSHOP HELD LAST MONTH, QATAR TODAY GOT AN INSIGHT INTO HOW THE NATIONAL BASKETBALL ASSOCIATION IS WORKING ON BUILDING A GLOBAL AUDIENCE FOR THEIR GAMES THROUGH STRATEGIC MARKETING PARTNERSHIPS. BY AYSWARYA MURTHY 54 > QATAR TODAY >NOVEMBER 2016

hen it comes to team sports, the USA always appears to have existed in contented isolation. They have their American football and baseball, their basketball and ice hockey, each racking up billions of dollars in revenue, and they don’t seem to need much else. But the times are changing. If European football has taught us anything, it’s that your biggest and loudest fan need no longer be someone from the neighbourhood. That guy who has bought every FC Barcelona merchandise ever released probably lives a thousand miles away and has most likely never set foot on Spanish soil. It has a certain romantic appeal, this kind of international following. It definitely has business appeal. And as dearly as the sports leagues in America would love to tap into this phenomenon, it’s only the National Basketball Association (NBA) that has any sort of realistic chance. And even for them it’s a long game. We caught up with Marc Armstrong, NBA’s Vice President of Global Marketing Partnerships & Emerging Markets for Europe, Middle East and Africa, who was in Doha for a Josoor Institute workshop. Inspired and developed by the Supreme Committee for Delivery and egacy, Josoor Institute holds regular programmes delivered by leading speacialists in their fields and Armstrong was here to talk to the delegates on the art of forging partnerships. A veteran of marketing for the English national football team and UEFA Champions League, he soon crossed the pond to work with the American leagues – first at the National Football League and now the NBA. This would turn out to be a whole other ball game. Unlike the times when he was selling the Champions League or the English team properties, partners weren’t quite banging down the doors. “When it comes to the NBA, there are certain markets where we are already very strong. Like Spain, Turkey, France, Italy. But in other markets, we had to find the right partners who would help us grow and go to them with ideas on how they can activate,” he says. The Middle East is a relatively new focus in the NBA’s outreach efforts, and a final frontier of sorts. The NBA has 14 offices worldwide, with presence in markets like China, Brazil and India. The EMEA team works out of London, with satellite offices in

MARC ARMSTRONG Vice President, Global Marketing Partnerships & Emerging Markets (EMEA) National Basketball Association

Madrid and Johannesburg. But if and when this region would eventually warrant an NBA outpost of its own will depend on the success of Armstrong’s efforts in capturing the market. The challenge here is that they don’t know yet what their challenges will be. While they are further along in Europe and Africa in terms of the properties they have developed and the innovative partnerships they have built, Armstrong is excited about the potential here in the Middle East. The art of partnerships And it’s not like they would be starting from scratch. “In the Middle East we have well over a million followers on social media and the awareness levels are 85-91%, depending on individual markets. We want to cater to this fan base, and also acquire new fans, and working with our marketing partners is a great way to do that,” he says. And their discussions on the ground have revealed that local brands are increasingly interested in buying into basketball and want to grow with the NBA. With the region becoming a key priority for Armstrong’s team, he expects these discussions to be translated into deals soon. “We will know in the next year or so how they start to pan out and how well our strategy here is working,” he added. Armstrong says that the NBA doesn’t have too many “true global” partnerships except for a core set like Adidas, Nike, EA Games, Footlocker, Spalding (who make the NBA’s basketballs), 2K Sports and Tissot, which became the NBA’s first official timekeeper,

providing shot clocks for the games in the upcoming season. But more often than not, the NBA likes to tailor its partnerships to suit the local market. “We don’t let someone take global rights if they are not going to activate globally. So we tend to have a few core global partners and, outside of that, have regional and national partners who can focus on their respective markets,” he says. “The financials of a partnership deal are important but not as important as the activation. We need to find partners who will help us grow, who can add value to our brand while we add value to theirs. Which is why we call it partnership, and not sponsorship,” Armstrong adds. In the Middle East, the NBA already has some strong partners who can get the ball rolling. Their broadcast partner for the EMEA region, BeIN Sports, has been televising the games for thousands of new fans here. Recently they created restaurant promotions with KFC in Kuwait. They have instituted the Junior NBA programme in Bahrain with the Manama Sports Club and are looking to start similar initiatives in Dubai and Abu Dhabi to address the issues of diabetes and healthy living in the region. And, in exciting news for Qatar, they have teamed up with Al Mana Fashion Group to open the first NBA stores in the Middle East, starting with two in Doha next year, followed by the UAE, Kuwait and Saudi Arabia. Armstrong wants to use this momentum to go from strength to strength. He goes on to talk about some recent 55 > QATAR TODAY > NOVEMBER 2016

sports > tag this The NBA have teamed up with Qatar's Al Mana Fashion Group to open the first NBA stores in the Middle East, starting with two in Doha next year, followed by the UAE, Kuwait and Saudi Arabia. In 2014, the NBA opened its largest store outside the US in Manila, Philippines.

successes in Europe that demonstrate the scope and innovation involved in the NBA’s global marketing strategy. “We teamed with UBI Banca in Italy to bring out a whole range of branded payment cards featuring all the teams. There will be designated NBA areas within all the 1,500 branches, with presence in every one of their thousands of ATM screens,” he says. For the NBA Global Games 2017, which will be played in London in January of next year, they have announced a partnership with the dairy company Muller Rice, who are running a promotion to give away tickets, while advertising the NBA on millions of their products in the UK. “We created the NBA House, an experiential venue with a basketball court, video games, mascots and NBA merchandise, and took it to the Olympic Games in London and Rio. This concept could work very well here in the region, especially in shopping malls, considering the mall culture and the foot traffic during the summer months.” Equally we continue to look at new opportunities such as branded attractions. Last month we opened Europe's first NBA Cafe in Barcelona – this too could be replicated here." “These are the kinds of partnerships we are looking for in the region. We particularly want to work in the FMCG and telecom space, with people who can utilise our assets and get the brand out there.” No two deals in any two markets ever look the same, Armstrong says. “Our partnerships are flexible and it can manifest itself in different ways. It’s about what’s right for that particular market at the particular time and for that particular brand. It’s a collaborative approach and we often act like a consultant for our partners.”

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The long game Armstrong doesn’t think the fact that NBA games are played almost exclusively in the USA would affect fan experience. “A very small percentage of our fans globally (and we have nearly 500 million fans in the 33 markets that we measure) will ever get to an NBA game, whether it’s in the US or abroad. So it’s really about how we enhance the experience away from the arena via TV, digital products, experiential events, grassroots promotions and virtual reality experiences in the future, and also programmes like Junior NBA which is all about participation and getting kids to just pick up the ball and play. There are lots of ways to have those touchpoints with fans without them having to be in the arena, watching the game live,” he says. However, through NBA Global Games, a few pre-season and regular season games are being played in international venues for the benefit of their global fans. “We have had pre-season games in Barcelona, Madrid, Shanghai and Beijing last month, with more upcoming season games in Mexico and London in January,” according to Armstrong. And the international appeal of the NBA only increases as the players get more diverse. In the most recent NBA finals, the Middle-Eastern connections of the two competing coaches were widely reported. Armstrong agrees. “At the start of the 20162017 season, a record 113 players in the team roasters were outside the US. That’s 25% of the entire player base and we expect this to be more this year. Out of the 60 players who have already been drafted for the coming season, 26 were international; 15 of them from Europe alone, including only the

second ever player from Egypt. Clearly it’s going to help the game globally when each local market has its own local hero.” The NBA understands this all too well and, hence, has created structured environments for youth, like Basketball Without Borders and Junior NBA. There are 11 Junior NBA Leagues in Europe alone, which will likely double in the next 12 months, he says. Also, a large number of players participate in the Basketball Without Borders camps, which are held in Africa and Europe each year; some go on to play in the NBA and many others get scholarships to study and play in the US. “If we get the participation angle here in the Middle East right, hopefully we can have players from this region playing in the NBA in the next 10-15 years,” he says. He also contests the claim that the lack of good infrastructure is hindering the growth of professional basketball in some regions. “We have taken the games around the world and there are some fantastic arenas out there – the O2 Arena in London, the MercedesBenz Arena in Berlin, Bercy Arena in Paris. And there are good grassroots facilities too. The beautiful thing about basketball is that you just need a ball and hoop to play. Which is why over half a billion people, both boys and girls, play the game globally and we have fans everywhere,” he says. While football may reign supreme around the world, Armstrong says basketball is a close second. It’s the only other truly global sport, according to him. It is international, it’s simple and it’s familiar. Given time and strategic focus, there is no reason the NBA couldn’t capitalise on this to expand their reach beyond the borders of the United States

investment > tag this

INVESTING IN

THE POST-BREXIT PROPERTY MARKET 57 > QATAR TODAY > NOVEMBER 2016

investment > tag this Britain’s farewell to the EU has shaken up the property sector in the UK over the past months, causing diverse reactions. While some investors hurried to pull out of commercial deals, others, mostly foreigners, are eyeing an opportunity to purchase UK assets on the cheap. But how long can this shopping spree last? By Sasa Zuzmahowsky

nterest in British property from investors in Qatar, Saudi Arabia and the UAE has seen a 25% increase in the wake of the UK vote to leave the European Union, according to the global real estate services firm DTZ. With pound sterling reaching a record low, rich investors from the Gulf are increasingly tempted to invest in London’s residential market, undeterred by many unknowns and uncertainties following Brexit, the activation of Article 50 of the Lisbon treaty (which sets out the process by which member states may withdraw from the European Union) and possible consequences after the two-year negotiation period. According to Cluttons’ Head of Research, Faisal Durrani, there has been a notable upturn in buyer interest from Qatari, Kuwaiti and Emirati buyers in particular, with markets such as Belgravia, South Kensington, Canary Wharf and Westminster emerging as particularly interesting. “Culturally speaking, ADRIAN CAMPS Chartered Surveyor and Country Manager Middle East investors spend Chestertons Qatar a lot longer completing their due diligence on property purchases in London when compared to other buyers and so the deals haven’t come as quickly as the market may have liked,” he told Qatar Today. A similar trend has been noticed by other real estate companies we contacted, such as DTZ and Chestertons whose experts confirmed an increase in inquiries coming from the GCC and Qatar. The main factor contributing to this could be explained by a historic fall in pound against the dollar, giving an immediate discount of up to 20% for dollar-pegged currencies. “So on a £5 million property, for instance, you’re looking at a saving of over $1 million as a dollar buyer,” noted Durrani. For Ravvy Kaur, Valuation Advisor at DTZ Qatar, this is a key chance for those who wish to capitalise on the devaluation of sterling in combination with the repricing we are seeing within the London real estate market. However, she stressed that there is still scope for further devaluation and rebalancing of the market.

The UK has yet to formally leave the EU and invoke Article 50. “Until this is announced and whether the UK will lose access to the single market or not, the UK real estate market is a playing field for investors at the higher end of the risk/reward spectrum,” she told our magazine. But despite the existing risks, the UK is seen as a safe and stable place to invest, where generally there is tolerance of most creeds and nationalities. And according to Cluttons, London is still seen as the favourite global property investment destination among GCC respondents.

"A number of informed sources feel that the currency advantage will be relatively short-lived and the pound will regain much of the lost ground in the medium term."

58 > QATAR TODAY >NOVEMBER 2016

How long will it last? However, it seems that key to GCC investors’ final decisions will be the dilemma whether the fall in the value of sterling is attractive enough to offset the political vacuum, expected economic slowdown and questions over market access that have resulted from Britain’s vote to leave the EU. At present, no one really knows for sure how long the currency advantage will last. According to Kaur, there is still scope for further devaluation and rebalancing of the market. This is why some GCC investors are waiting for real estate prices in London to drop further. Adrian Camps, Chartered Surveyor and Country Manager of Chestertons Qatar, reveals that there are a number of informed sources that consider this will be relatively short-lived and the pound will regain much of the lost ground in the medium term.

"Gulf investors are likely to look outside of Europe altogether within mature markets such as North America; however, the Middle East is likely to remain an important source of cash for Britain." RAVVY KAUR Valuation Advisor DTZ Qatar

"Gulf investors look to London for the capital value growth story, rather than access to European markets. 70% capital value growth over the past seven years is hard to ignore." FAISAL DURRANI Head of Research Cluttons

The Economy Forecast Agency (EFA), for example, forecasted that exchange rates could prevail through to the end of 2017, with more uncertainty foreseen in 2018 as the UK heads toward Brexit, probably in Q1 2019. A more cautious approach is likely expected by sovereign wealth funds in their overseas investments, with reduced resources available for investment due to the low oil price. Clearly they will still be looking for market stability but may be revising their risk/ reward strategy, chasing higher short-term returns. With the fall in sterling, they may feel that the immediate exchange rate discount will make UK property more attractive. But despite the current uncertainties, London’s property market stability is based on a solid foundation of a supply-demand mismatch. Camps stated that “there is more demand for housing than there is supply and the demand for rental property is likely to increase as first-time buyers are increasingly priced out of the property market. These fundamentals will continue to underpin the market and should help to provide security for UK property investors. A huge boost to business confidence in a post-Brexit UK is Apple’s recently announced HQ mega development at $17 billion, and the hope is that other international firms will follow Apple’s lead,” he said. A financial hub Apart from the supply-demand equation, the question whether London will remain Europe’s main financial centre after Britain’s exit, is also one of the crucial issues for the future property market that will strongly influence the decisions of potential investors. While it’s unlikely that London will lose its global finance and banking crown to Europe any time soon, the finance and banking sector accounts for about a fifth of GDP, noted Durrani. “This is also a significant driver of residential and commercial demand. Should this weaken, or be undermined in any way, the market will be adversely impacted, but this is likely to be a long drawn-out process rather than an overnight change. In any case, Gulf investors look

to London for the capital value growth story, rather than access to European markets. 70% capital value growth over the past seven years is hard to ignore.” For Kaur, the future of London may lie in being a relatively less-regulated offshore centre. Since the UK has been a part of the EU, the City of London has steadily become more global rather than more European. It is predominantly US and Asian banks that use London as a hub to operate across Europe, the Middle East and Africa and beyond. The Scottish factor But in order to preserve its safe haven status attracting foreign investors, the UK will have to overcome another potential disruption that would have certain impact on the country’s stability. The possibility of a second Scottish referendum on independence has been announced immediately after Brexit. Kaur stressed that at the moment it is believed that this is unlikely to occur until the Scottish National Party is confident that independence can be achieved. But even if the referendum takes place, Camps believes that it will not have dramatic consequences for the English property market as the market dynamics of supply and demand would be little changed. In addition, “with Scotland trading five times as much with the rest of the UK as it does with the EU, it’s hard to see a strong economic case for another referendum,” noted Durrani. However, investors cherish the stability offered by the union and “the threat of a UK breakup, no matter how remote, could disrupt this and investment volumes would undoubtedly be hurt,” he added. The problem lies in the fact that the right to vote does not belong to economists and investors, and with independence within their reach, Scottish voters will seriously consider this historic opportunity. Finally, Brexit and the following uncertainties may prompt Middle East investors to turn their attention to other markets. Kaur indicates that “Gulf investors are likely to look outside of Europe altogether within mature markets such as North America; however, the Middle East is likely to remain an important source of cash for Britain." 59 > QATAR TODAY > NOVEMBER 2016

culture > tag this

CELLULOID STORIES DOCUMENTARIES ARE BECOMING INCREASINGLY POPULAR IN THE ARAB REGION WHERE YOUNG FILMMAKERS ARE ENCOURAGED TO OWN AND CREATE STORIES. IT DOESN'T NECESSARILY NEED TO BE ON A BIG SILVER SCREEN BUT IT HITS THE RIGHT NOTES WITH VIEWERS CHOOSING FACT OVER FICTION. QATAR TODAY SPEAKS TO THREE FILMMAKERS ABOUT THEIR IDEAS AND PASSION PROJECTS. BY KEERTANA KODURU

60 > QATAR TODAY >NOVEMBER 2016

The panelists explore the current state of documentary filmmaking in the Gulf region.

he Museum of Islamic Art was the venue to showcase for the second time in Doha the 'Focus on Qatar' film festival organised by Doha Film Institute to honour and celebrate excellence in local filmmaking. The event featured documentaries made in Qatar by Qatari students who aspire to be filmmakers. With the spotlight on documentaries made in Qatar, the event spanned three days showcasing the work of local filmmakers whose stories inspired audiences and initiated a perspective-related focus on people who have shaped this society for decades. The festival brought forward stories that needed to be told. Documentaries have been on the rise in recent years with platforms like HBO and Netflix producing original shows that are watched daily. Funding these projects also pose a big concern in the world of filmmaking. The dearth of realism is pushing more viewers to choose authentic storytelling over spectacular visuals and far-fetched plots. Choosing fact over fiction has become the trend for documentary filmmakers around the world. For our local filmmakers, asking the right questions and focusing on the people involved has been a top priority this season. Be it the story of Bader, a young boy trying to find his place in an all-boys elementary school through poetry, directed by award winning directors Sara Al Saadi, Maaria Assami and Latifa Al Darwish or the story of Noura, a mother who at 40 years is getting a

chance to accomplish her dreams of getting an education, directed by her daughter Amina Ahmed Al Boshi, these stories have tugged on the heartstrings of the audiences and initiated a thought process in the minds of people questioning their existence and whether they are actually serving the community in some form or another.

"Perspective is everything, and documentaries can help us articulate our world view and make us more aware of the world we live in today." FATMA AL REMAIHI CEO Doha Film Institute

'The Art of Graffiti' Mubarak AlMalik, a documentary made by Aisha Al Muhannadi, a communications student at Northwestern University in Qatar, speaks about AlMalik's artistic practice and how he connects Qatar's past to its present using classical and contemporary media. She catches him in action as he creates a large-scale mural with spray paint while he discusses his inspiration, his love for rugby and the freedom he feels when riding his Harley through the desert. This film is about a graffiti artist and not just another painter in the hood. "Graffiti has the stereotype of being a form of vandalism and is often thought of as trashy street art. The artist manages to capture this art form in a very respectful manner still holding a lot of Qatari pride. The paintings are a representation of the Qatari culture in its true form. I came to know him through my brother who had dealt with him before and, after seeing his art on the streets today, I honestly fell in love with it. AlMalik doesn't vandalise public property but beautifies old buildings with his art and this is why I wanted to know more about him. My inspiration behind making this movie comes from the fact that this started off as a class project and my professor pushed me into applying for the funding from DFI to make this even bigger and real," says Al Muhannadi. There is a huge potential for this kind of art form in Qatar. Still in its early stages, she believes that this is not a male-dominated form of art and there are a lot of females who also do this really well but privately. The role of women in 61 > QATAR TODAY > NOVEMBER 2016

culture > tag this

AMINA AHMED AL BOSHI Director To My Mother (2015)

the Qatari filmmaking society has grown exponentially over the last few years with more women in universities coming forward to explore their talents in various fields. "I'm a communications senior but I'm concentrating on filmmaking for now. I don't wish to see a society where filmmaking is only dominated by women but I hope for it to be equal in opportunity and it will be great to see more women capturing these moments," says Al Muhannadi before being whisked off for a photoopp. 'The Tree of Arabia' Mainly shot using disoriented close-ups, The Palm Tree is a mute observational documentary that shows audiences how unnatural nature can be, and unearths the science fiction in reality. This 14-minute documentary made by Jassim Al Rumaihi, a journalist at Al Jazeera, tells the story of the palm tree from its birthing process till the end. "It took five days to shoot this film and three days for editing. I tried to tell the story of this majestic tree and the harsh environment that it survives in. It is a national symbol to most of the Arab countries and lives on in the heart of the Islamic heritage which needs to be celebrated," says Al Rumaihi. The summer season in countries like Saudi Arabia and the UAE is dedicated to the Palm Tree Festival which is still evolving in Qatar. "I'm very interested in agriculture and this project came about with me attending a workshop at DFI. I pitched the idea to my mentors and it worked out. I take filmmaking as an escape from the hard news that we watch every day and try to do some artistic work to explore my creative side." At 27, he wants to chase his passion of filmmaking and is grateful for the experiences it gives him connecting with people from all walks of life. "Watching the film is the most 62 > QATAR TODAY >NOVEMBER 2016

important part of filmmaking. Filmmaking is definitely a great experience. It's not about the direct message of the film but about the stories I tell people and how I inspire them through my films." 'The Porters of Souq Waqif' Another short documentary made by communications student Amal Al Muftah looks at the sometimes difficult lives of the "hamali", the porters who assist shoppers at Qatar's most visited market, the Souq Waqif.

"I take filmmaking as an escape from the hard news that we watch every day and try to do some artistic work to explore my creative side." JASSIM AL RUMAIHI Journalist Al Jazeera

She made this film four years ago when she was in high school and had always seen something in the porters which made her pursue their story. Speaking about her style of filmmaking, she says, "I do narrative and fiction. Fiction is far more artistic when the director is dealing with actors, characters, crew, edits, and direction. Narrative documentaries are spontaneous, raw and organic. I was lucky enough to stir some emotions which was a significant point in my life because just realising the potential in filmmaking made it seem tangible and real." Her parents are supportive of her passion now but were not sure whether this was the right career choice for her earlier when she had just started. "This being termed as a patriarchal society, women are not really allowed to work with men and open up. Making a film is very personal and emotional and is a private experience. It's such a fragile process. I realised how the hamali had kept their emotions deep inside for so long that they wanted someone to speak to and listen to them. It was a great experience that changed my perspective on life and filmmaking," says Al Muftah. 'Focus on Qatar' also featured Inside Out, a 15-minute intimate interview-based documentary featuring two filmmakers discussing their sense of displacement in Doha. Fahad Al Obaidly, a Qatari national, finds that his family's traditions challenge his outlook on the world while Salwa al Khalifa, whose family is Sudanese, knows that she may be told to leave the place that she was born and brought up in. With the third annual Ajyal Youth Film Festival featuring the inspiring story of Bilal, UAE's first animated feature from Dubai-based Barajoun Studios and more of local talent, December will be a month to celebrate creativity on the silver screen

development > tech talk

CODING IN THE CAMPS Last month, Refugee Code Week trained more than 10,000 people across the Middle East in much-needed IT skills.

he week-long event was aimed largely at those aged eight to 24, and was open to both the Syrian refugee population – who number more than 4.5 million in the four participating countries – and local communities. Events were held across UNHCR Camps and universities in Jordan, Egypt, Lebanon and Turkey. Top students will be placed as

QIA RUMOURED TO BE INVESTING IN TECH FUND MAKE THE BEST OF GOOGLE FLIGHTS 64 > QATAR TODAY >NOVEMBER 2016

interns or junior consultants within the SAP network of business partners hiring across the Middle East region, who also sponsored the event. The concept was built on the achievements of Africa Code Week, which last year gave nearly 90,000 young Africans across 17 countries the chance to learn to write code, or to touch a computer for the first time.

GOODBYE, VINE IN A SURPRISING MOVE, TWITTER ANNOUNCED IT WILL BE DISCONTINUING THE VINE MOBILE APP IN THE COMING MONTHS. The announcement comes after Twitter today confirmed plans to lay off approximately 9% of its global workforce, or about 350 workers, as part of a company restructuring.”We value you, your Vines, and are going to do this the right way,” the Vine team and Twitter wrote in a blog post. “You’ll be able to access and download your Vines. We’ll be keeping the website online because we think it’s important to still be able to watch all the incredible Vines that have been made.”

Qatar is considering investing in the $100 billion global technology fund formed by SoftBank Group Corp. and Saudi Arabia, Bloomberg has reported.

he Qatar Investment Authority sovereign wealth fund is considering an investment of billions of dollars, which will help diversify its economy away from oil. SoftBank signed a non-binding memorandum of understanding with Public Investment Fund of Saudi Arabia last month to create the $100 billion fund, tentatively named the SoftBank Vision Fund, to raise

money to back technology companies globally. The Tokyo-based company agreed to invest at least $25 billion, and the Saudis may put in as much as $45 billion over the next five years with other large investors making up the rest. The fund is looking for additional commitments of about $30 billion. These speculations haven’t been confirmed by any of the parties involved.

Just in time for holiday travel planning, the Web giant updated Google Flights with a feature that will show you when prices are expected to increase for specific flights and the routes in which you’re interested. Now, when you select a specific flight, you may get a notification letting you know when the current fare is expected to expire and how much you can save if you book right away. If you’re looking at a certain route, but aren’t set on a specific flight, Google may display a notification bar with tips for finding the best price, including recommendations for alternate airports or dates, and expected price changes based on past prices for that route. Google may, for instance, tell you something like “historically, 90% of the time the cheapest price on this route increased seven days before departure by about $52.” Google plans to roll out these new fare expiration and expected price jump notifications over the coming weeks everywhere its Flights tool is available.

QATAR’S BIG DATA LANDSCAPE Carnegie Mellon University in Qatar (CMU-Q) hosted the first of the Tech Leaders Panels series that brings together key industry leaders, students, faculty, and the broader community to discuss emergent and transformative technological advancements in Qatar and beyond.

T FACEBOOK

FOR THE

OFFICE

After several years of beta testing at Facebook and other companies, the social network’s “Facebook for work” product, dubbed Workplace, is now available to any organisation that wants to use it.

n addition to Facebook’s signature features – like its News Feed, Messenger chat, and trending stories – Workplace users get custom analytics tools and the ability to integrate the platform into the rest of their corporate IT. To stand out from other popular workplace communication tools, like Trello and Slack, Facebook is promoting Workplace’s usefulness for employees who don’t work in a traditional office. On a phone or tablet, Workplace can help retail workers, ship crews, and baristas stay connected, the company said in a news release. Companies using Workplace pay a monthly fee per active user: $3 each for the first 1,000 users, $2 each for 1,001-10,000 users, and $1 each after that.

he inaugural panel discussion featured Michael Johnston, Senior Director of Information Technology at Ooredoo Qatar, and Sanjay Chawla, Principal Scientist at Qatar Computing Research Institute (QCRI), who shared their perspectives on big data analytics. The panel was moderated by Chadi Aoun, Associate Teaching Professor of Information Systems. The panel explored how organisations are managing the high volume of information generated in the age of big data, including data analytics, data

mining and knowledge discovery. Touching on the unique opportunities associated with big data, Chawla said, "By building research capacity we are arming our researchers and people based in Qatar with the know-how to establish start-ups. Many of our research ideas translate into patents, pilots and accelerators while our work with local organisations enables us to create a local ecosystem where people can learn from each other and move up the value chain in IT, machine learning and artificial intelligence."

TACKLING ONLINE ACCESSIBILITY AT THE UN Dr Dena Al Thani, Assistant Professor at Hamad Bin Khalifa University, presented her research on technological innovation and accessibility at a United Nations event held in Geneva, Switzerland.

nvited by the Office of the United Nations High Commissioner for Human Rights (OHCHR), Dr Al Thani attended the three day 2016 Social Forum of the Human Rights Council and spoke at a panel on accessibility and non-discrimination, sharing insight on how to better integrate the visually impaired in the workplace and in educational settings. Dr. Al-Thani explored the role of computing research in increasing accessibility to the digital world and its relevance for achieving more and better employment. She noted: “As the internet becomes more integrated into our daily lives, web accessibility becomes more than merely a moral obligation that is optional to satisfy. In fact, it is becoming a legal obligation in many developed and developing countries.” “In our research work, we looked into the area of inclusive design from a different perspective. We studied the collaboration between Visually Impaired (VI) and sighted users in performing complex, collaborative

web searches, in which the users sat together and searched for information. Our work addresses a significant gap in current assistive technology, wherein technology to support individual web searching is relatively well developed, but nothing exists explicitly to support collaboration of VI users with their sighted peers in a workplace or educational setting.” Dr Al Thani provided civil society actors, representatives of member states, and intergovernmental organisations in attendance at the event with observations from her research study and clear, costeffective, practical and easy-to-implement design recommendations that can enhance the productivity and integration of people with disabilities. She also emphasised the importance of involving target users in the design and evaluation process of a software development life cycle to ensure accessibility is kept in mind when developing the next generation of collaborative accessibility tools for the visually impaired. 65 > QATAR TODAY > NOVEMBER 2016

business > auto news IN A CLASS OF ITS OWN THE ALL-AMERICAN EXPERIENCE In an effort to deliver a higher level of customer satisfaction and dealership experience, Almana Motors Company opened its latest state-of-the-art Ford and Lincoln showroom in Doha last month.

isitors will now be able to view and experience the latest models from the American manufacturer, such as the recently launched allnew Ford Edge that complements Ford’s extensive truck and utility vehicle lineup, in addition to a full range of Ford products. Ford registered an impressive increase in its retail sales in Qatar this year, registering a 35% growth at a time when the overall industry recorded a decrease of more than

30% across the board. “This is yet another important milestone for Almana Motors for this year, adding to the numerous successes we have already achieved, and I would like to congratulate the entire team driving this accomplishment,” said Bader Almana, Managing Director, Almana Motors. “Almana Motors remains fully committed to Ford and Lincoln customers in Qatar,” he added.

MANAI PRESENTS 2017 CADILLAC CT6 The official Cadillac dealers in Qatar, Mannai Auto Group, announced the arrival of the all-new 2017 Cadillac CT6 last month.

t was described as the "most anticipated new arrival in terms of customer demand and general curiosity" by Mahmoud Skhiri, General Sales Manager at Mannai Auto. He further said that pre-orders and showroom visit requests increased significantly since the arrival of the first test vehicles this summer. “The CT6 is a new personification of the

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prestige sedan, combining space and luxury with agile driving dynamics,” added Skhiri, while maintaining that "a range of trims and price points furthers the competitive edge and reflects CT6’s comprehensive package that offers the style, performance and technological advances customers in this segment appreciate and expect from Cadillac."

Nasser Bin Khaled Automobiles, the authorised distributors of Mercedes-Benz in Qatar, celebrated the launch of the all-new E-Class and V-Class cars for the first time in Qatar last month.

hile the E-Class celebrated its new model for 2017, the 8-seater V-Class made its maiden entry into the country. “Nasser Bin Khaled Automobiles continues its successful record in providing the Qatari market with the latest vehicles of the luxurious brand, immediately following its global launch. We are setting the benchmark in offering a wide range of automotive solutions that meet our customers’ demands,” said Khalid Shaaban, General Manager, Nasser Bin Khaled Automobiles.

ADVANCED DRIVING WITH MASERATI The Master Maserati Driving Courses return this year, offering a roster of training sessions that are specifically tailored to showcase the ultimate performance of the Trident.

he courses are dedicated to acquaint owners and enthusiasts with the true spirit of the brand, in a fun, exciting and completely safe environment. Alfardan Sports Motors, the official dealer of Maserati in Qatar, is inviting clients to enrol in this one-ofa-kind programme to experience the true power of the iconic brand – right in the heart of Italy. Each course is structured for various levels of driving experience while addressing a range of technical aspects: advanced driving techniques, on-track telemetry analysis, dynamic handling on the circuit, and exercises on low-friction surfaces. The Maserati Master Premium is open to both established and potential clients and focuses on advanced GT driving techniques and safe and sporty driving. The programme includes comprehensive and theoretical sessions that are complemented by circuit driving seasons, along with acquisition and analysis of telemetry data.

VOLKSWAGEN TIGUAN ARRIVES IN QATAR Q-Auto, the sole distributer of Volkswagen in Qatar, presented the new Tiguan at the Doha 2016 UCI Road World Championships last month.

he new model is the first Volkswagen SUV built on the state-of-the-art MQB platform and features new technology, completely unique in the compact class, including Active Info Display, Adaptive Cruise Control and Head-Up Display. The all-new Tiguan is available in five model trims at the Volkswagen Qatar showroom: S 1.4L with 150 HP, SE 1.4L with 150 HP, SE

2.0L with 180 HP, SEL 2.0L with 180 HP, and Sport 2.0L with 220 HP. Speaking during the launch, Q-Auto’s General Manager, Ahmed Shariefi, said: “The new Tiguan is perfectly thought-out, from its sharp new design to the state-of-the-art technology. The new model is spacious, flexible and appealing to drivers and their families as an ideal companion for their everyday business and personal lives.”

WORLD’S FIRST AUDI SPORT CENTRE OPENS IN ABU DHABI The world’s first standalone Audi Sport Centre devoted solely to Audi’s high-performance sports cars opened in Abu Dhabi last month.

he Audi Sport Centre, run by Ali & Sons, the official Audi distributor for Abu Dhabi and Al Ain, will showcase its exclusive models under one roof for the first time in history. The new showroom will give customers a unique insight into the commissioning of these models, with the opening set to cater to the growing demand for high-performance cars

in the region. The Audi R8 is a top seller amongst performance car enthusiasts in Abu Dhabi. Both the RS and R models have seen sales growth in Abu Dhabi of 44% this year. Globally, Audi has doubled the sales of its high-performance cars in five years. The number of Audi Sport dealers is expected to grow from 370 to around 600 by the end of 2017. 67 > QATAR TODAY > NOVEMBER 2016

test drive > auto news

PORSCHE CENTRE DOHA DEBUTS THREE NEW MODELS Porsche Centre Doha has welcomed a trifecta of new models with the latest arrivals of the all-new 718 Cayman, the Macan with a fourcylinder engine and the Cayenne Platinum Edition.

epresenting the brand’s latest developments in performance, comfort and efficiency across a range of segments, the new models are now available in Qatar. Their arrival concludes an important year for Porsche in the country with continuous additions to the model range. As the latest mid-engine coupe from the Stuttgart-based manufacturer, the 718 Cayman is now stronger and sportier than ever before. The model range features newly turbocharged engines, reworked design and an improved chassis. Meanwhile, the newest addition to Porsche’s compact SUV range is the Macan with a four-cylinder engine. As the entry-level model for Porsche in this segment, it boasts the brand’s typical sports car performance. The Cayenne Platinum Edition represents elegance and sophistication, featuring exclusive design elements and an enhanced sporty appearance. Speaking of the new arrivals, Chairman and CEO of Porsche Centre Doha, Salman Al Darwish, said, “Porsche is always at the cutting edge of technological advancement and this instance is no different. We are pleased to be offering our customers the latest models in the Porsche sports car lineage with the addition of the new 718 Cayman, Macan and Cayenne Platinum Edition models. Each model showcases enhanced attributes embedded with the signature Porsche DNA to ensure the sportiest drive in its segment, whilst at the same time offering comfort and exclusivity.” The base model 718 Cayman is now driven by a newly developed, 2-litre, 300 hp engine

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with innovative turbocharging, as well as a substantial torque increase of 35% to 380 Newton metres. The 718 Cayman S boasts 2.5 litres of engine displacement and 350 hp, with a maximum torque at 420 Newton metres, all resulting in more power right from the start and additional output for cornering fun, at engine speeds between 1,900 and 4,500 rpm. With the new turbo engines, the coupés accelerate in record time and, thanks to the new Dynamic Boost function, react as spontaneously as naturally aspirated engines. When equipped with the optional, seven-speed Porsche Doppelkupplungsgetriebe (PDK) and Sport Chrono Package, the 718 Cayman sprints from 0-100 km/h in 4.7 seconds, whilst the S version achieves the same in 4.2 seconds. The top speed for the base model is 275 km/h; its sibling tops out at 285 km/h. The new model has undergone comprehensive design enhancements with only the luggage compartment lid, roof and windscreen left unchanged. Inside, a newly developed instrument panel redefines the cockpit. The latest generation of Porsche Communication Management (PCM) with a state-of-the-art touchscreen is also included as standard. Merging true sports car performance with everyday driving comfort, the new Macan now features a four-cylinder turbo engine specifically tailored for the vehicle. The turbocharged two-litre engine delivers 252 hp and comes standard with a sevenspeed PDK dual clutch transmission. The base model is capable of reaching 100km/h in 6.7 seconds, reduced to 6.5 seconds with the optional Sport Chrono Package. Its top

speed is 229 km/h with a fuel consumption between 7.4l/100 km and 7.2l/100 km/h. Designed to be particularly sporty and efficient, the Macan features a powerful 370 Newton metres of torque ranging between 1,600 rpm and 4,500 rpm, capable of converting engine power into exceptionally sporty conditions. Standard Porsche Traction Management, agile suspension and precise steering all add to the dynamic performance of the car. Also making its debut at Porsche Centre Doha is the new Cayenne Platinum Edition model – a designation reserved for selected model series that are offered for only a limited time. Easily recognisable at first glance by its more distinctive sporty appearance, the model features large 20-inch wheels in RS Spyder design, housed in wider wheel arches. The exclusive interiors, with stainless steel door sills showcasing “Platinum Edition” lettering, are complemented further by leather sport seats, Alcantara centre panels and the Porsche crest on all headrests. The models’ expanded range of features improves comfort and safety. Standard equipment in the Cayenne Platinum Edition includes bi-xenon headlights with the Porsche Dynamic Light System (PDLS), Power Steering Plus and Park Assist in the front and rear. A non-metallic black or white finish is standard, with Deep Black, Purpurite, Mahogany, Carrara White and Rhodium Silver metallic paints available as an option. Additional high-end standard features include the latest generation Porsche Communication Management (PCM) system and BOSE Surround Sound speakers

business > marketwatch

CONNECTING THE SMALL BUSINESSMAN

Vodafone launches Ready Business, its unique platform for the SOHO segment in Qatar. By Karim Emam

odafone Qatar recently launched a unique platform for the Small Office/Home Office (SOHO) segment. Called Ready Business, it comes with two choices of postpaid plans which include free international minutes for every hour of received calls and innovative benefits such as a Business Ring-Back Tone. Qatar Today spoke to Mahmud Awad, Chief Business Officer at Vodafone Qatar, about this new platform and also about Vodafone’s strategic focus on taking into consideration the needs of customers of different nationalities. “We launched at the beginning of October something we call Connect, a platform geared towards our expatriate customers, the majority of those being Egyptians and Indians. We address these segments specifically, providing them with different kinds of benefits. And another good example is our platform, Happy, which addresses blue-collar expats who are mainly from India and Nepal, by giving them great deals to make calls their countries.” Sometimes this means replicating the success of Vodafone strategies in these countries. “As we have a huge Egyptian community here, it would make sense to try things which have already been implemented successfully in Vodafone Egypt. Another source of our strategic goals is our research, and last but not least, the most important source of our ideas are the customers themselves. So we conduct regular surveys among different user groups and ask them what they want, what their needs are. We believe that getting the customer experience right will eventually provide us with the right numbers in terms of business.” He also talked about the SOHO segment here in Qatar. “Today we have in Qatar around

47,000 enterprises and the majority, around 45,000, are SOHOs and SMEs, and out of this more than 70% are SOHOs. So SOHOs in Qatar make up approximately 70% of all registered businesses in Qatar that employ fewer than nine people and include a wide range of small companies such as retail shops, pharmacies, and limousine services. And their growth is pretty much driven by the population growth in Qatar which has been around 6-8% in the last couple of years. As the population increases, more and more services are required to serve its needs. To support this huge business segment in Qatar, Vodafone designed Ready Business, tailored to their specific needs with innovative marketing tools that enable them to enhance the running of their businesses.” New to Qatar for this segment is the Vodafone Business Ring-Back Tone that advertises a business’ products and services while the customer waits for the call to be answered. This important tool can be applied on all Ready Business connections in any language and can help boost a business’ sales, giving its customers relevant information that currently many SOHO businesses do not provide. Also for the first time, Ready Business customers will get free international minutes based on received calls. For example, if a business receives one hour of calls whether locally or internationally, it will get up to 30 minutes of free international calls to certain destinations. “We spent a lot of time speaking to SOHO company owners to understand exactly what they needed from their telecommunications provider to grow and improve their operations. Vodafone Ready Business gives SOHO companies in Qatar the support they deserve with our most value-added plan just for them,” said Awad.

“They are mainly driven by simplicity, speed and the best commercial offers. So they obviously require the best rates and the best value-add services available. This means providing a package that can meet all their technical needs – the Internet, land lines, mobile lines and very often CCTV. And the little things like the ring-back tone is like free-of-charge marketing which they appreciate very much.” He added, “Any kind of businesses can take advantage of these packages. Today, 46% of the SMEs and SOHOs are in the retail space, which is an important micro segment within this segment. They require Internet and landlines but they also require good Wi-Fi not only for themselves but for their customers, who increasingly require this service. And we offer not just Wi-Fi but ‘managed Wi-Fi’ which is basically a carefree package that we serve end to end so the business owner never needs to worry about it.” Regarding how Vodafone can differentiate its services to SMEs and SOHOs in a competitive telecom environment like Qatar’s, he said, “Our great asset is that we are the biggest service provider on the planet – if you take the Chinese market out – and serve more than 400 million customers in 26 countries, apart from the more than 70 markets where we are present as partners. This gives us a lot of insight and experience. For example, just six months ago we launched our IoT (Internet of Things) platform, which we, as a group, are trying to offer worldwide. So we offer these smart services as part of our IoT platform not only to the big companies but also to the SOHOs. This will allow, say, a limousine company to track its vehicles and to manage them in the most efficient manner. This is an asset we have and the competition doesn’t.” 69 > QATAR TODAY > NOVEMBER 2016

business > marketwatch The SAP Gold Partners conference was held at InterContinental Doha The City in the presence of 100 VIP guests, businessmen and partners from Qatar.

SAP INTEGRATED

he conference included an overview of SAP Business One, outlining the product’s flexibility and innovation intended to meet companies’ growth and support markets’ future trends. Commenting on the conference, Fokion Angelopoulos, SAP Qatar Country Manager, said, “Qatar is a strategic market for SAP. SAP is supporting the 2030 National Vision of Qatar for economic diversification. Small and Medium Enterprises are key for the fulfillment of this vision. SAP Business One is the perfect platform that solves daily business challenges." Commenting on the conference, Tarek Abdelkhalek, Tyconz Co-

CEO, said, “We have designed our products to meet local requirements and support the organisations’ strategies in sustaining their ongoing growth while modelling their operations and resources to cope with unforeseen crises and master their management. We have created a wide range of smart products that will be available to companies enabling them to reach their objectives.” Majed Rahim, ABATS General Manager, said also: “Our unique products required us to partner with think alike businesses, ensuring we jointly provide companies with quality services and instant support, when needed.”

LIGHTS, CAMERA AND SAY CHEESE! Fujifilm Corporation President: Kenji Sukeno released the FUJIFILM X-T2, the ultimate mirrorless digital camera.

he X-T2’s compact and lightweight camera body is dust-resistant, waterresistant and capable of operating at temperatures as low as -100C. It combines the sensor and image processing engine developed by Fujifilm, with an ultra-sharp range of FUJINON lenses for excellent image resolution. Fujifilm’s colorreproduction technology, formulated over 80 years, delivers images of unparalleled quality and realism, recording a subject’s textures, three-dimensional feel and even the atmosphere surrounding it. For the first time in the X Series, the X-T2 supports

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4K video recording. The Film Simulation modes, used for still images, can be applied to video to easily produce premium-quality footage. The X-T2 is to become the X Series’ flagship model along with FUJIFILM X-Pro2, the world’s only rangefinder-style camera with the Hybrid Multi Viewfinder, released in March this year. The two models deliver unparallelled performance in their distinctive fields, with the X-T2 excelling in portraiture, nature and sports photography, and the X-Pro2 ideal for snapshots and discreet documentary photography.

ACQUIRING MARKETS Reinforcing its position as the largest public relations network across the Middle East and North Africa, TRACCS has launched operations in Morocco, with the acquisition of a stake in Marrakesh-based L’Allure PR.

FEMININE LUXURY

R ADORABLE STYLE Featuring an eclectic bunch of trends, Babyshop’s autumn/ winter collection showcases a sporty street style with intense prints and fun patterns for boys and the girls’ range is inspired by the forest, animals and the city, showcasing fun styles combined with fine details throughout the collection.

ichard Mille has created the new RM 07-02 Pink Lady Sapphire especially for women: an automatic calibre protected by a pink sapphire case. Crafted from sections of pink sapphire taken from a single block, the case of the RM 07-02 is extremely difficult to machine. Beneath its pink exterior, this original and ergonomic tripartite case reveals a unique automatic movement beating within. The new in-house CRMA5 calibre is assembled around a skeletonised plate in microblasted 5N gold set with diamonds. The central dial in onyx and diamonds, the crown in 5N red gold and the strap in white alligator skin add the perfect finishing touches to this exceptional creation.

EVERYTHING OFFICIAL The Halston print shirt, Espresso suede coat and sydney outerwear from Reiss’ Autumn/Winter 2016 collection feature fabrics that remain light and crisp, whether for leisure or business and colour palettes of ink, twilight navy, flash blue, sapphire, wolf grey and cognac dominate.

QUALITY ASSURED Doha Bank has become the first bank in Qatar to achieve accredited certification for ISO 9001:2015, the newly revised international standards for quality management systems. 71 > QATAR TODAY > NOVEMBER 2016

affairs > QT take

VOICES OF THE OPPRESSED The exhibition that is currently open at Al Riwaq and Mathaf: Arab Museum of Modern Art takes the visitors on a historical expedition through the dark periods of wars that have ravaged Arab lands. By Sindhu Nair

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atar Museums’ Al Riwaq has always been the centre of the country’s ongoing art buzz. The scale and influence of each of the exhibits at Al Riwaq have been massive: Damien Hirst and his eye-popping work; Richard Serra and his few but impactful and imposing forms; CaiGuo-Qiang and his explosive art; Takashi Murakami’s fantasy bubbles; and so on. But this is the first time that Al Riwaq has opened its doors to a regional artist who uses art as a medium to express the injustice of war and agony. This is not the first time that Iraqi artist Dia Al Azzawi’s work is being exhibited in Qatar; his pieces take prominence at Mathaf: Arab Museum of Modern Art’s permanent collection. But this is probably the biggest collection from the artist, spread over two art galleries/museums: Al Riwaq and Mathaf. Titled ‘I am the cry, who will give voice to me? Dia Azzawi: A Retrospective (from 1963 until tomorrow)’, the exhibition covers 9,000 sq. metres and includes over 500 works. As HE Sheikha Al Mayassa bint Hamad bin Khalifa Al Thani puts it, this is indeed an exhibition that “is unprecedented in its scale and content, reflecting the long and distinguished career of Dia Al Azzawi.” Curated by Catherine David, Deputy Director at Centre Pompidou in Paris, the show examines the artist’s career, starting as an art student in Iraq in the ’60s. The scale of Azzawi’s work hits the onlooker, the sheer volume that starts with a single

large canvas and moves on to smaller works, not just paintings but also sculptures, print works, artist’s books, all distributed across the labyrinths within Al Riwaq and then again spanning the breadth and height of the large rooms of the hall, causing art enthusiasts to pause and reflect on the intense emotions that each of his works evokes as they pass through. But for the curator, David, “more than the sheer breadth of his work, most important for me is that his work represents the political climate of the region over a long period of time” and like the poets and writers who wrote of this specific time of the region, “this also shows the different periods and transitions in history and how each of these periods have had their effect on Dia’s work”. Poetry and folkloric memory drawn from ancient and contemporary Iraqi and Arab histories resonate in his work and it focuses on Azzawi’s acute understanding of antiquity and cultural heritage, evident in paintings, sculptures and prints that capture historical moments, often on a monumental scale. The artist’s awareness

"More than the sheer breadth of his work, most important for me is that his work represents the political climate of the region over a long period of time." CATHERINE DAVID Deputy Director Centre Pompidou, Paris

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affairs > QT take

and sensitivity to representations of human suffering and turmoil carry through his work, as does his attempt to interlace space and time to demonstrate the eternal solidarity between different cultures and civilisations. In Masks of the Abyss (1966), Azzawi embedded symbols of human form, including a hand and a masked face, against deep and dark tones of black and grey. The artist, who received degrees in archaeology from the University of Baghdad in 1962 and fine arts from Baghdad’s Institute of Fine Arts in 1964, worked at Iraq’s Department of Antiquities until 1976 and has since resided in London. Founder of the pivotal Iraqi art group New Vision in 1969, he was also part of One Dimension founded by Shakir Hassan Al Said. But according to Azzawi, “my art is not always political, at first I was only perfecting my painting”, but later a series of experiences politicised his work. His stint as a reservist in the Iraqi army and his later works after he left the army were “my way of defending the Kurds”, he says. The Al Riwaq exhibit begins with a single large painting and Azzawi explains the reason why this was chosen as the introductory painting, “This painting is one of the earliest pieces of work that I developed in Doha and is related to my personal experiences that lasted through the '90s and continues till now.” He says that the painting is a reflection of his relationship with Doha. The next room exhibits the earlier works of Azzawi and is spread across the four large walls of the hall, with each wall heavily laden with emotions that abound in his numerous

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evocative works of art. The room that we move on to talks about the Palestinian cause, particularly about the assassination of Palestinian intellectuals. This segment, according to Azzawi, “gathers all his works from the last exhibition” before he left Iraq. And it also documents the period when Azzawi was working with the Iraqi army, “while I was stationed in the north of Iraq, in the Kurdish areas”. He says that this part of his work is the only documentation of what happened in that part of Iraq during that particular time. Needless to say, this room in Al Riwaq makes the onlooker pause to perceive the pain and sacrifice of human lives in war zones. The next room doesn’t give much relief in terms of the pain and suffering portrayed through ink and colour. “This room talks about the refugee camp in Palestine which was annihilate by the Syrian forces,” according to Azzawi. Enveloping the huge halls in Al Riwaq, Azzawi’s work seems to expand as we move forward, and there seems to be no end to his vast collection, which surely needs to be viewed in the Arab world to perceive the fatalities of war and invasion. Sculptures which form a later part of the artist’s works range from gigantic human forms to smaller ones; an interesting figure that makes its appearance numerous times through the exhibit is Handala, a cartoon character of a ten-year-old refugee who became famous across the Arab world as an icon of opposition. The bronze sculpture was made by Dia Al Azzawi in 2011 in homage to his friend, the Palestinian cartoonist Naji Al Ali. According to Azzawi: “We will now concentrate more on sculpture because I want to make things that are monumental, and for this, sculpture is the most effective.” As part of the exhibition, collectors’ items that inspired Azzawi’s collection will be on sale in QM retail outlets across Qatar. These include a selection of silk scarves and a special limited edition collector’s piece, which is a replica of Handala, according to QM authorities

EXHIBITION INFORMATION I AM THE CRY, WHO WILL GIVE VOICE TO ME? DIA AL AZZAWI: A RETROSPECTIVE (FROM 1963 UNTIL TOMORROW) 16 OCTOBER 2016 - 16 APRIL 2017 MATHAF: ARAB MUSEUM OF MODERN ART AND QM GALLERY AL RIWAQ ENTRY FREE OF CHARGE

city life > doha diary MUSIC GALORE The St. Regis Doha launched La Noche de Doha at Oyster Bay & Bar, while also welcoming the world’s best DJs at The Rooftop every month.

s the St Regis Doha continues to diversify Doha’s music scene, La Noche de Doha is the latest in its offering. The Cuban band, with its repertoire of crowd favourite songs, will cater to a multitude of diverse music genres spanning Rhumba, Afro-Cuban jazz, Salsa, Soukous as well as Spanish fusion genres. Tareq Derbas, Area General Manager of Lebanon, Syria, Pakistan, Iran and Iraq

Zengo, the awardwinning Pan-Asian restaurant by celebrity chef and restaurateur Richard Sandoval, has opened its doors in Qatar.

for Starwood Hotels & Resorts Middle East and General Manager of The St. Regis Doha, said, “We are immensely proud of the fantastic talent that we have performing at La Noche de Doha, coupled with signature Cuban food and a relaxing atmosphere at Oyster Bay.” In addition, Astor Grill, the open-kitchen restaurant which prides itself on offering prime cuts of meat and fish, has also revamped its menu.

DELIGHTFUL FLAVOURS AT ZENGO

ituated alongside Z Lounge on the 61st floor of the Kempinski Residences & Suites in West Bay, the restaurant features a vibrant decor that fuses modern Asian and inventive design, providing a great ambience to savour the cuisine. Zengo’s menu offers a unique spin on authentic Pan-Asian cuisine and hand-muddled mocktails, with a focus on Asian flavours which complement the diverse menu. Zengo Doha has the capacity to seat 160 guests – 120 on the ground floor

restaurant and an additional 40 in the upstairs lounge. Richard Sandoval, chefowner of Richard Sandoval Restaurants, said, “I have travelled a lot throughout my professional and personal life and I have found Asian cuisine to be extremely vibrant and varied. The menu at Zengo brings a new flavour to Doha’s palate, and I am confident that Zengo will quickly establish itself as a chosen destination for those seeking a trendy atmosphere with the finest cuisine.” 75 > QATAR TODAY > NOVEMBER 2016

city life > doha diary

WELCOMING YOUNGSTERS Qatar Airways participated in the seventh Qatar International Universities Fair, which took place recently at the Qatar National Convention Centre.

A THE POWER OF PINK Banana Island Resort Doha by Anantara and Souq Waqif Boutique Hotels hosted a charity event at the private island resort in support of the fight against breast cancer.

he Power of Pink fundraiser, was organised in partnership with the Qatar Cancer Society and Souq Waqif Boutique Hotels and was part of the Power of Pink Month. In keeping with the theme of the evening, guests dressed up in the colour pink and enjoyed a night of entertainment and delectable gourmet cuisine prepared by both Banana Island Resort Doha by Anantara and Souq Waqif Boutique Hotels. The gala event had been organised to raise awareness and funds to support Qatar Cancer Society and to celebrate the lives of those who live with the disease. “We were honoured to be invited to collaborate for this important cause. During Breast Cancer Awareness Month, the issue of cancer awareness becomes even more acute, that’s why the theme of Power of Pink is much more than just raising funds – it is also about empowering those who have the disease and also empowering their loved ones who have also been touched by it,” said Hafidh Al Busaidy, General Manager of Souq Waqif Boutique Hotels.

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mbassadors from Qatar Airways’ Al Darb Qatarisation Programme took part in the annual event to introduce young Qataris to the diverse number of career opportunities available through the national airline. Qatar Airways Senior Vice President, Human Resources, Nabeela Fakhri said, “Recognised as one of the leading organisations for the development of local talent, Qatar Airways’ Al Darb Qatarisation Programme was created to help build a strong workforce and create future leaders across the country. Our goal is to mentor young Qataris to become global ambassadors of the country and to contribute not only to the national carrier but to the economy and development of Qatar.” Now in its fourth year the Al Darb Qatarisation Programme supports eight development strands and 35 different majors, to offer increased opportunities and to encourage nationals with different professions to join Qatar Airways and add value to the business through different perspectives.

UP, UP & AWAY! Walk in for the superhero brunch on the last Friday of every month at The Ritz-Carlton Doha to celebrate with the stars of the superhero universe.

AWARD-WINNING HOSPITALITY W Doha Hotel & Residences wins four World Travel Awards bagging the titles ‘Middle East’s Leading Hotel Residences’, ‘Middle East’s Leading Lifestyle Hotel’, ‘Qatar’s Leading Lifestyle Hotel’ and finally, ‘Qatar’s Leading Hotel Residences’, an accolade they have held consistently for four consecutive years.

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A day in the life of... Doris Delessard, Entrepreneur, healer and meditation expert

Qatar Today follows the daily routines of professionals around the country from all walks of life. By Ayswarya Murthy

Doris is usually up at 5 am, starting the day on a meditative note. Afterwards, she takes her pet for a walk in The Pearl. Considering that she is a one-woman show who runs her own wellness practice in Doha while also managing her company remotely via the Internet, these quiet, contemplative hours are vital.

Doris usually conducts about 10-15 healing and mediation sessions in a week; sometimes individually, other times for groups. Her unique brand of therapy is the result of several years of study of Tibetian Singing Bowls and the effect of their vibrations on the body. Every organ inside us vibrates at a certain frequency, she says. When you are stressed, the vibrations are out of tune. Many clients see her for relaxation, recovery, general wellness and sometimes even to treat disorders related to sleep.

She also conducts workshops on these techniques so that people can learn the fundamentals, practise at home and even pass on the healing energy to others. Sound healing is still very new to Doha and Doris is very committed to spreading awareness about this alternative therapy.

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Her downtime is dedicated to spending time at home with her husband. She enjoys cooking, travelling and also taking other classes that help her understand wellness and improve on what she does.

She is at her efficient best between 6 and 9 in the mornings, which usually pass in a whirlwind of emails, often to check on the finances and operations of her India-based real estate company. Not having a structured work day, Doris says, means that you are always on.

Often her own personal experiences help her gain new insights and develop new techniques. In her private meditation space, she would experiment with sounds and sensations. "Once I became pregnant, I started to understand the impact of sound and vibrations on nausea, blood pressure, etc. and was able to design a pre-natal class," she says.

Being the poster child for a whole movement can be a bit exhausting. Constantly scheduling classes, creating promotions, engaging with the different online groups and social media audiences can be a handful. Doris says she wants to do more healing and less marketing and communications. Which explains why she prefers tying up with the likes of Dynamic Hot Yoga and Six Senses Spa (where she will soon start conducting regular sessions).