Lesha Bank’s participation in the World Bank and IMF annual meetings provided an esteemed platform for global deliberations, focusing on the world economic outlook and developmental challenges. This participation was complemented by the engagement at the annual Qatari banks’ reception, where key senior officials convened, fostering valuable dialogues and insights. The networking opportunities prompted in-depth discussions on the global financial landscape, extending beyond major developed economies.
Furthermore, Lesha Bank’s involvement in the discussions within the financial industry highlighted the expanding mandates of major institutions such as the World Bank. The emphasis was placed on the necessity to access climate capital and implement resilience programs to effectively confront the evolving climate challenges.
The effects of inflation, interest rates, and climate change have posed significant challenges to the economic performance and stability of the MENA banking sector. According to World Bank projections, global growth will slowdown to 2.1% in 2023 triggered by increased economic fragmentation and high inflation while the region has demonstrated resilience. The changing drivers of inflation, resulting from both domestic and external factors, have further impacted economic dynamics.
Moreover, the MENA banking sector faces the additional challenge of major central banks increasing interest rates, as seen with the Qatari Central Bank’s recent rate hike. Inflation remains a central concern, exerting pressure on the sector’s stability and growth. Meanwhile, the growing impact of climate change has prompted the need for proactive measures to mitigate its repercussions.
The MENA banking sector should aim to steer the complexities arising from a confluence of challenges, including the deceleration of global growth, inflationary pressures, and increasing interest rates. Mitigating risks through strategic planning, adaptive policies, and sustainable practices will be crucial for maintaining stability and fostering resilience within the region’s banking landscape.
To build a secure and dynamic digital banking ecosystem, it is essential to address the evolving customer demands and the factors driving digital transformation. Customers now seek faster, more customized, and secure services, emphasizing data privacy and security awareness. Furthermore, the growth of the digital banking ecosystem is propelled by the increasing use of smart devices, improved connectivity, and the pursuit of superior user experiences.
Key elements for achieving a secure and dynamic digital banking ecosystem include the establishment of robust digital infrastructure, supporting cyber security readiness and responsiveness, and leveraging technology for effective regulation and supervision. With digital transformation being a top priority for banks, substantial investments in new technology and processes are made to enhance both operational efficiency and customer experience. By aligning these key elements and embracing best practices, banks can navigate the evolving digital landscape and offer secure, dynamic, and customer-centric digital banking services.
Lesha Bank has sustained its profitable momentum despite the challenging global investment landscape. As of Q3-2023, customer deposits reached QAR 3 billion, the Bank’s investments totaled QAR 2.4 billion, the total AUM stood at QAR 6 billion, and total assets reached QAR 6.2 billion reflecting a favorable financial position.
The bank maintains a robust and diversified investment portfolio, particularly in private equity and real estate. Notably, the bank has demonstrated expertise in the US real estate industry, acquiring a total of 12 properties in the US as part of its real estate investment program and successfully exiting two properties. The private equity division has also completed several important deals and boasts a strong track record in sourcing, executing, and exiting investments in various sectors, including technology, healthcare, hospitality, and consumer goods.
Significantly, Euromoney recognized Lesha Bank as one of the market leaders in their 2022 market leader rankings. These achievements underscore Lesha Bank’s commitment to financial stability, diversification, and excellence in the investment sectors.
