Qatar National Bank

RATING

SECTOR
Banking
WEBSITE
CONTACT
Sikkat Alwadi Street , Mshereib Downtown
Building No: 4 Street No: 800
Zone No: 03
PO Box 1000
Doha, Qatar
Tel: +974 4496 3888
Fax: +974 4496 3885
Email: info@qnbcapital.com
STOCK EXCHANGE
LISTING
- Third Safest Middle Eastern Banks – Global Finance Magazine
- Second on Forbes’ 2020 list of the Top 100 companies in the Middle East
- #48 on Brand Finance’s 2021 Top 500 Banks
EMPLOYEES
29,000
CHIEF SUSTAINABILITY OFFICER
AWARDS
- Best Digital Wallet” and the “Best Self Service Banking” in the Middle East awards for 2020 from “The Digital Banker” magazine
- Best Private Bank in the Middle East ASIA MONEY 2021
- Best Digital Bank 2020 by Global Business Outlook
- Best Foreign Exchange Provider 2018 Global Finance Magazine
- Best Bank Award and Best Bank in Sustainability at the 2018 New Age Banking Awards
CONTENT SOURCE
FURTHER READING
Qatar National Bank
SECTIONS : Sustainability • Targets • Evaluation • Key Points • Overview
Company Activity
The largest financial institute in the Gulf, Qatar National Bank (QNB) was established in 1964 and has since continued to grow.
In recent years, QNB has been expanding across the Middle East, Africa, and Southeast Asia. Most recently, in 2019, QNB has opened up a branch in Hong Kong. This branch is HKMA regulatory approved.
QNB expanded their operations to Vietnam in 2015, Myanmar the following year, and India in the year to follow.
QNB hosts a total of around 29,000 employees while serving around 20 million customers.
These ratings can be found under the highlights section. Additionally, the bank has been the host to many highly rated and internationally recognised financial publications.
QNB offers services in investment banking, corporate banking, and governmental and institutional services. Its subsidiary QNB Financial Services was the first independently regulated and licensed brokerage company launched by a bank in Qatar.
QNB prioritises integrity, transparency, social responsibility and continuous development and improvement.
Company Sustainability Activity
QNB’s three pillars of sustainability are sustainable finance, sustainable operations, and going beyond banking.
Sustainable finance looks into customer experience, data security and sustainable investments.
QNB’s sustainable operations cover governance, risk management, employee value proposition, diversity and inclusion, responsible procurement and supply chain, and finally environmental impacts of operations.
QNB’s desire to go beyond banking, prioritises community investments and socioeconomic development. Their beyond banking sector is still relevant to the financial sphere, but adopts a more social approach
QNB’s first green bond sold for $600 million. As such, QNB became the second commercial bank in the Gulf to venture into the green market. QNB uses these green bonds to raise capital for projects with environmental benefits, for example, renewable energy.
QNB asserted that this inaugural bond is part of their commitment to support the transition towards a greener economy, their sustainable finance objectives, and the ambitions of QNV 2030.
Highlights
- Lending portfolio financing is environmentally friendly, low carbon activities 7.54 Qatari Riyal Billion
- Topped the leaderboard for ESG disclosure at the QSE for the second consecutive year (Qatar Stock Exchange)
- Obtained a second party opinion on their GSSB framework; and conducted a third-party pre-issuance
- QNB was included in the FTSE4Good Index, highlighting QNB’s successfully commitment to ESG and sustainability
Targets
QNB does not note any tangible targets, but instead forms a generic statement: “We will set targets to minimise the carbon emissions associated with our operations and improve resource efficiency (e.g. energy, water, paper, waste).”
In tandem with this statement, QNB notes that moving forward they aim to increase internal awareness towards the risks of sustainability opportunities associated with their lending portfolio.
Additionally, QNB says they are committed to achieving the SDGs and seek to diversify the Qatar economy by strengthening the private sector.
Progress
QNB notes that their Board of Directors approved the integration of formal sustainability requirements within the QNB Group wholesale credit policy and credit review practices.
Beginning in 2018, QNB has continued to engage in the financing of a number of projects that reduce carbon emissions. This was, and is continuing to, be achieved through transactions such as the financing of renewable energy, externally certified green buildings and low emission transportation.
Reduction in Carbon Intensity Since 2015:
- 2015 = 5.0 (tonnes CO2/ employee)
- 2020 = 3.7(tonnes CO2/ employee )
- An overall reduction of 1.3 tonnes CO2/ employee
Total GHG Emissions (tonnes of CO2e):
- 2017: 94,709
- 2018: 89,943
- 2019: 88,625
Total Paper Consumption (kg):
- 2017: 1,466,734
- 2018: 1,413,965
- 2019: 1,036,948
Certificates
UN Sustainable Development Goals









UN SDGs Compliance
SDG 1: No Poverty
- Financial performance and stability
- Talent attraction, development and retention
SDG 4: Quality Education
- Financial inclusion, accessibility and education
SDG 5: Gender Equality
- Achieve gender equality and empower all women and girls
SDG 8: Decent Work and Economic Growth
- Supporting SMEs and entrepreneurship
- Financial inclusion, accessibility and education
- Customer experience
- Responsible customer communication and marketing
- Talent attraction, development and retention
- Community investment and socio-economic development
SDG 9: Industry, Innovation and Infrastructure
- Financial inclusion, accessibility and education
- Community investment and socio-economic development
- Sustainable investment, lending, products and services
- Environmental impact of operations
- Build resilient infrastructure, promote sustainable industrialisation and foster innovation
- Data security and customer privacy
SDG 10: Reduced Inequalities
- Financial inclusion, accessibility and education
- Diversity and inclusion
SDG 12: Responsible Consumption and Production
- Green building projects from green bonds
SDG 16: Peace, Justice and Strong Institutions
- Promote just, peaceful, inclusive societies and institutions
SDG 17: Partnerships for the Goals
Evaluation
Qatar National Bank has demonstrated its commitment to sustainability through the inclusion of sustainable financing. This expands into sustainable operations and also goes ‘beyond banking’.
Qatar National has conclusively aligned itself with 9 of the 17 SDGs, making sizable contributions to pursuing sustainability in the Gulf Region. Highlighting their overarching capabilities and desire to contribute to a sustainable future, by not limiting their own experience and powers to a minimal number of SDGs to follow.
What is most notable about QNB is its use of SDG 17 and its positive desire to form alliances. QNB acknowledges that for deeper progression into sustainability, there must be an alliance with other banks and corporations within the Gulf area. Engaging with these banks and corporations will allow QNB to protect the environment and mitigate the threats of climate change alongside others who value the same.
Despite all these positive points and their security when it comes to green certificates and relevant listings, QNB is not very clear or specific on future sustainability goals. They skim over one vague target for the future and it is one that does not directly align with sustainability.
Therefore, this company has been rated a C.
Analyst Outlook: Neutral
QNB’s is on the road to sustainability. With more specific and measurable targets, the bank could receive a positive outlook.
Key Points
- Largest green bond issuance from bank in the region 600 million USD
- 48% female employees
- Became a constituent of the FTSE4Good Index
- Topped the leaderboard for ESG disclosure at the QSE for the second consecutive year (Qatar Stock Exchange)
- Obtained an SPO on their GSSB framework; and conducted a third party pre-issuance review of their eligible green and social lending portfolio.