MENA Asset Management Survey 2012 - National Bank of Abu Dhabi

Gulf Cooperation Council Region
highest proportions of millionaire households and one of the highest proportions of High
Net Worth Individuals. It has a savings rate of about 49%, well above the Gulf average
and around twice the global average. The population doubled to 1.7 million in the decade
to 2010 and continues to increase quickly.
And like many countries in the region, Qatar is implementing a very sizeable
infrastructure investment programme with an estimated US$140 billion expected to be
committed to infrastructure over the next five years. If one adds in the investment
necessary to host the 2022 FIFA World Cup, project spending over the next decade will
exceed US$200 billion.
To ensure that firms can make the most of these opportunities, the QFC has built a
favourable business environment which enables them to establish a physical
presence in Qatar and the region. Business can be conducted inside or outside Qatar, in
local or foreign currency. Uniquely, this allows businesses to operate both locally and
internationally. With the ability to engage in both onshore and offshore business, QFClicensed
firms have the chance to participate directly in one of the world’s most
economically dynamic regions.
Firms also benefit from the QFC Authority’s tax and ownership regime which includes:
10% corporation tax on locally sourced profits; remittance of all profits outside
Qatar;100% foreign ownership; a self-assessment regime and advance transaction ruling
scheme; tax incentives for the asset management, reinsurance and captive industries;
zero personal income tax; and an extensive network of double taxation treaties
negotiated with other countries.
Regulation is another important element of the QFC’s appeal to asset managers. The
QFC offers a world class regulatory regime, modelled on international best practice, and
a legislative framework based on English common Law. It has an independent judiciary
(the Qatar International Court and Dispute Resolution Centre), an independent
regulatory authority (the QFC Regulatory Authority), and an independent tribunal (the
QFC Tribunal) to hear appeals against decisions of QFC bodies.
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