The outbreak of COVID-19 has taken the world by storm, triggering not only a health crisis but also a global economic slowdown. The key differentiator among nations during onslaught of the pandemic was how swiftly and prudently their governments responded to mitigating the pandemic’s impact. Undoubtedly, Qatar has been at the forefront of countries that introduced bold measures and allocated stimulus packages to relieve the negative impact, while supporting its economy and private sector. 

The State reacted swiftly, implementing strict containment measures and dispensing stimulus measures amounting to QAR 75 billion and QAR 3 billion for extending guarantees to local banks to minimise the health, social and economic impact of the pandemic. This speedy response, and Qatar’s national capabilities, strategies, and progressive policies, have been integral in alleviating the challenges posed by COVID-19.

Similarly, QFC offered its own business support measures early in the pandemic, offering tax extensions and exemptions to provide relief to its firms. While governments and business communities exerted effort to maintain economic stability, the global crisis opened an array of opportunities particularly in the fintech sphere as people moved toward mobile payments and enhanced digital investment. Responding to this rising trend, QFC increased support to fintech firms wishing to establish presence in Qatar by offering an array of incentives and benefits. 

To complement the early actions taken by the State of Qatar in support of the private sector, QFC rolled out its own stimulus measures to help protect the firms registered on its platform, including:

• Deadline extensions for tax filings without incurring any late filing penalties
• Reducing the rate of the charge due on the late payment of tax to 0% from 1 March 2020 to 31 August 2020. The updated rates ensured that any QFC firm that extends their filing due date will not suffer any late payment charges until 31 August 2020, should their tax due also be paid after the payment due date
• QFC issued the waiver of the Concessionary Rate Charge due on qualifying QFC entities that elect for the 0% Concessionary Rate under Part 15 of the Tax Regulations if the election is made during the year 2020
• QFC provided deadline extensions for filing audited annual financial statements for a period of two months

QFC expanded its efforts to help mitigate the impact of the pandemic by introducing additional measures to ensure business continuity, including:

• QFC strengthened its digitalisation processes for firms' incorporation - from the point where a firm submits a business case to when a firm is licensed and start receiving post-licensing services such as immigration, banking, and relocation support
• QFC provided a 24/7 multilingual call centre, which has responded successfully to several hundred individual enquiries since it started in April 2020
• QFC encouraged advertising critical job roles on Bayt.com, the Middle East's leading job site, for free and took advantage of free classic job postings to fill critical positions, including doctors, nurses, and other healthcare workers, logistics and transportation staff, security and safety staff, and non-profit staff

QFC succeeded in maintaining its annual growth for the 8th consecutive year despite the unprecedented challenges of 2020 amid the global economic slowdown brought about by the COVID-19 pandemic. QFC witnessed a significant increase in the number of firms registered on the platform last year, up by 78.4% compared to 2019.

The new firms represent a variety of industries, both financial and non-financial services from a range of industries and countries. QFC’s key business clusters, namely digital, sports, media, and financial services, have witnessed a significant increase. The digital sector recorded 153% growth with 96 new firms registered in 2020, driven by the tremendous opportunities that emerged in the technology and digital sectors. Similarly, the financial services, including financial technology (fintech) firms, attained a 155% increase, with 46 new registered firms in 2020. Additionally, the sports and media sectors achieved a 129% and 100% increase respectively, as QFC continues to strengthen its role of a key gateway for investors into Qatar’s buoyant market.

The firms hailed from diverse countries including India, USA, Pakistan, France, Russia, and United Kingdom. A total of 364 new firms were registered in 2020 pushing QFC closer to achieving its development goal as part of its 2022 Strategy.

To accelerate digital innovation and integrate the latest technologies into business operations in light of the changes brought about by the pandemic, QFC launched various initiatives to leverage virtual channels to help sustain engagement with its clients, partners, and the wider business community. 

QFC made great strides in its drive toward adopting enhanced digitalisation in 2020. In response to the COVID-19 pandemic and as part of its continuous efforts to provide the best services to its existing and upcoming firms, QFC launched a new digital incorporation process, ensuring all automated activities are approved swiftly - from the point where a firm submits a business case to when it is licensed and receives post licensing services. Since its launch in February 2020, 70 per cent of the 364 companies registered on the QFC platform throughout the year were licensed through the new digital process, demonstrating the new procedure’s seamless efficiency.

Significant advances were also made to provide clients and staff with easier access to relevant information crucial to adequately performing their daily business operations. The policy management solution, Staff Wiki, and QFCA KPIs dashboards were implemented, exhibiting a unified approach to keeping abreast of the ongoing digital transformation. QFC also completed Wave 5 of the Client eServices Portal, which supports Registration, Client Affairs, Employment Standards Office (ESO) and Monitoring and Evaluation (M&E), with additional enhancements to the Tax modules.  
The QFC Mobile application was also revamped, adopting new look, feel, and features such as VIP Client selection, FM services, IT services and Staff Wiki access.

QFC has also enhanced the automation for procurement, Human Capital, and finance processes, covering credit card reconciliation, career portal enhancement, recruitment process enhancements, and vendor management and COI.

Additionally, QFC has made considerable progress on the tax front as it has integrated the General Tax Authority’s requirements with QFCA Tax module.

QFC considers op-eds an important tool to share its expert views with the business community. In 2020, QFC released a series of compelling thought leadership pieces by its industry expert members, including its executive team. The articles covered various topics deemed critical during the COVID-19 pandemic and included the below:

Representative Office

QFC announced new regulations for operating a representative office in Qatar. Under the new representative office framework, financial institutions wishing to establish a presence in Qatar’s flourishing market will be able to conduct a range of activities, including but not limited to, marketing the products and services, carrying out market research or feasibility studies in relation to financial products or financial services on behalf of the head office, and serving as a liaison office for its group.

Licensing New International Law Firms

QFC established a new policy for international law firms on providing legal services in the QFC, effective November 2020. Under the new guidance, international law firms may be licensed in the QFC if they meet the following conditions: 

• The firm is ranked by Legal 500, Chambers and Partners, or by a similar reputable ranking acceptable to the QFC Authority 
• The firm is to conduct most of its operations from Qatar and at least 51% of the QFC Entity's income can be attributed to activities undertaken by the QFC Entity in Qatar 
• The firm will have no less than three full-time lawyers on the ground whose individual salaries meet a minimum of QAR 15,000 each 
• The firm will occupy an office with a minimum of 8 sqm per person

In 2019, QFC had expanded the focus of its social investment programme 'United for Good', under three focus areas - Financial Literacy & Youth Empowerment, Sustainability and Social Engagement. With the COVID-19 pandemic creating new and pressing needs in communities, I n 2020, QFC continued to mobilise its CSR programme to create a positive impact amid the health and social crisis.  

• #donate2educate
  The COVID-19 pandemic has confined over 800 million students at home without access to education. To combat the impact of the pandemic on the education of youth, Education Above All (EAA) developed resource banks of e-learning, non-digital learning materials in many languages. QFC collaborated with EAA and developed a campaign internally and through its social media platforms to encourage members of QFC, its entities and firms and stakeholders to donate to the #donate2educate initiative.
  
  
• COVID-19 Donation - Health Protection Kits
  Mitigating the spread of COVID-19 is a mammoth task that needs more than the efforts of governments. To complement the measures being taken by Qatar and the business community in containing this public health crisis, QFC partnered with Qatar Charity to distribute personal protection kits to workers in the Industrial Area. These kits contained necessary supplies such as face masks, hand sanitisers and hygiene products, which help protect the users from spreading and contracting the virus. By donating personal health protection kits to workers, QFC has reinforced the preventive measures implemented by Qatar to curb the spread of COVID-19.
  
  
• Injaz Summer Camp 
  In line with the Youth Empowerment and Social Engagement pillars of QFC’s CSR programme, the summer camp saw the participation of more than 1,000 students and offered youth aged 15 to 24 years old the opportunity to participate in online workshops focusing on entrepreneurship, financial literacy and work-readiness skills.
  
  Due to COVID-19 restrictions and social distancing guidelines, the programmes were held online via Zoom, and delivered by expert volunteers and INJAZ staff. Key programmes offered in last year’s edition included the ‘Innovation Camp’, where students worked in teams to address a business challenge judged by a panel of professionals from QFC and the Ministry of Education; ‘Maharat Min Google’, a programme developed and sponsored by Google that focused on digital marketing tools and online strategies; and two ‘Head Start’ programmes tailored to CV writing and job interview skills. Participants received a “Certificate of Participation” from Junior Achievement Worldwide/INJAZ Qatar.

WAIFC Joint Declaration
In May 2020, WAIFC members issued a joint declaration promoting international cooperation, sustainable investments, and avoiding the self-defeating lure of protectionism during this global health and economic emergency. WAIFC-member financial centres made a commitment to seek ways to mitigate the outcomes of the pandemic and form joint international working groups to study the impact of the pandemic. The four working groups formed, comprising of experts from WAIFC members, shared their preliminary insights during the Annual General Meeting, which was virtually hosted by QFC in October 2020. 

WAIFC Annual General Meeting
Just over a year after joining WAIFC, QFC hosted the Alliance’s Annual General Meeting (AGM) 2020, bringing together all of the 17 members of the alliance to discuss the latest economic developments and trends, explore means of cooperation and exchange expertise and knowledge. QFC leveraged the unique opportunity to present Qatar’s burgeoning business environment to other international financial centres, learn first-hand about the country, and exchange knowledge of best practices in a focused session titled, ‘WAIFC AGM: Getting to Know Qatar’. The session featured a ‘Fireside Chat’ with QFC CEO, Yousuf Mohamed Al Jaida, where he shed light on Qatar’s business ecosystem.
Another focused session, led by representatives of leading international financial centres titled, ‘WAIFC AGM: Economic Recovery from the Pandemic’, was also organised as part of the AGM where holistic proposals for economic recovery in the post-COVID-19 environment were shared. Experts presented analysis and recommendations on how to re-engineer key areas of national economies, including Sustainable Finance, SME Finance, Regulation and Fintech and Innovation, to ignite a lasting and resilient global economic recovery. During the session, QFC shared the findings of its joint study with Luxembourg for Finance on how fintech will play a pivotal role in promoting economic success in the post-pandemic environment. 

WAIFC Innovation and Technology Forum
On the sidelines of WAIFC AGM, the WAIFC Innovation and Technology Forum also took place that focused on exploring the role of technology and digital innovation as catalysts to economic recovery. It was hosted by QFC in collaboration with Moscow International Financial Centre and WAIFC. The Forum featured senior representatives of the international financial centres and renowned experts who engaged in informative and thought-provoking discussions. They also shed light on the criticality of cross-industry collaborations and innovative technology-based solutions in addressing the challenges post COVID-19.
The forum was joined by Yousuf Mohamed al-Jaida, CEO, QFC, alongside Arnaud de Bresson, CEO and Managing Director of Paris Europlace and former Chairman of WAIFC; Alexander Voloshin, CEO, Moscow International Finance Centre; Wayne Evans, Managing Director, International Trade and Investment, TheCityUK; and Jennifer Reynolds, President & CEO, Toronto Finance International and WAIFC Chairwoman.

WAIFC Report: ‘Innovation and Fintechs in Post-Pandemic World’
WAIFC released a comprehensive report in December 2020 highlighting the significant role that innovation and fintech firms play in the global economic recovery from the COVID-19 pandemic.
The report provided a pathway toward sustainable financial innovation development and explores the rise of new technologies and an accelerated phase of digitalisation across the industries, as well as the ways Fintechs will help in overcoming the current phase of economic uncertainty.
The report, which followed the Joint Declaration issued in May, was the result of a joint effort between WAIFC, QFC and Luxembourg for Finance.

• ESO met with the Employment Committee of the IBA (International Bar Association) to conduct a workshop on negotiation at the IBA International Annual Employment Conference 2020 in Madrid
• ESO organised a conference on artificial intelligence in cooperation with iCE Doha and Qatar University (QU) 
• ESO delivered a lecture on “Motivation of Employees” to students of Carnegie Mellon University Qatar as part of the course on “Organisational Behaviour”.
• ESO held a webinar titled, ‘Return to Work: Practical Recommendation for QFC Employers and Employees’. The online event was attended by around 90 representatives of QFC firms and Ministry of Administrative Development, Labour and Social Affairs (ADSLA) 

• Fintech RegTech Roundtable 
  Qatar University’s (QU) Centre for Law and Development, within the College of Law, in conjunction with QFC and DLA Piper Global Law Firm, hosted a stakeholder symposium, which focused on the emerging regulatory framework supporting the growth of fintech in Qatar. The symposium included a special panel session on the new wave of regulatory technologies (RegTech) that are revolutionising the supervision of financial services and other compliance-focused sectors. Experts from the United States, Australia and Hong Kong shared their perspectives and engaged with Qatari fintech stakeholders. The event is part of a 3-year project funded by Qatar National Research Fund titled, “Fintech and RegTech: Building a resilient, inclusive and competitive legal and regulatory framework for 21st century finance in Qatar” (NPRP11S-1119-170016). The project helps Qatar achieve its Qatar National Vision 2030 goal of diversifying the economy by examining existing Qatari regulations relating to fintech and supporting necessary regulatory reforms through initiatives such as expert publications, working groups, policy forums and symposiums.
  
• LIBOR Transition Breakfast Roundtable 
  FSO, in collaboration with specialised consultant Palladris, organised a roundtable workshop to facilitate the preparation of the London Interbank Offered Rate (LIBOR) transitioning. The discussions covered the history of LIBOR, why the change is happening, and the impact to financial institutions and corporates, and how to prepare for the transitioning. The workshop was attended by regulators, local banks, and institutions, as well as international financial institutions and corporates.
  
• Fund Management Workshop with K&L Gates
  FSO, in co-operation with K&L Gates, facilitated a Funds Market Update and Funds Management workshop. During the workshop, experts from K&L Gates, Qatar Stock Exchange (QSE), Qatar Insurance Co (QIC) and Qatar Financial Centre Regulatory Authority (QFCRA) shared insights and discussed how to further develop the asset management infrastructure and activities in Qatar.
  
• Qatar Capital Market Report 2020 
  FSO launched QFC’s Qatar Capital Market Report 2020, highlighting the emerging commercial opportunities, global best practices, and resultant policy recommendations for Qatar’s capital market development, as the government moves resolutely towards establishing the country as a world-class investment hub and financial centre.

• Business Development signed a Memorandum of Understanding (MoU) with Qatari Diar to collaborate in terms of positioning QFC HoldCo/SPCs for foreign investors (buying real estate assets from those developers)
  
• Sports Initiative: the sports initiative is to help the positioning of QFC as an international hub for sports services and to lay foundations in growing a highly lucrative sports industry that ultimately supports achievement of QFC’s 5-year strategy. The initiative focuses on a number of areas that can be considered as key foundational stages towards setting QFC apart as an international hub for sports
  
• Digital Initiative: the digital initiative is to help position QFC as an ‘Incorporation Hub for Digital Service Companies’ and to lay foundations in the highly lucrative digital services industry, ultimately supporting the achievement of QFC’s 5-year strategy. The initiative focuses on a number of areas that can be considered as key foundational stages towards setting QFC apart as an incorporation hub for digital service companies
  
• The series of events organised by Business Development included ‘Crisis as a Catalyst: Emerging Opportunities in Qatar's Digital Sector’ webinar, which was held in collaboration with the Japan External Trade Organization (JETRO), Taiwan External Trade Development Council (TAITRA) and Insurance Institute of India (III). The webinar attracted 156 attendees
  
• The Business Development also had a sports-focused webinar, which promoted the sports sector opportunities in Qatar in collaboration with JETRO, TAITRA and III. The event attracted 93 attendees
  
• The ‘Emerging Opportunities: Qatar & Turkey’ webinar was organised in collaboration with the Istanbul Chamber of Commerce and Turkish Embassy in Qatar. The webinar featured a series of informative presentations exploring the latest developments in Turkey and Qatar’s business landscape, and attendance exceed 200 persons
  
• The ‘Emerging Opportunities Doing Business in Qatar: Qatar & Canada’ represented another significant webinar that awareness of business opportunities in Qatar amongst Canadian companies. The webinar was held in collaboration with the Embassy of Canada in the State of Qatar, the Canada Arab Business Council (CABC) and the Canadian Business Council Qatar (CBCQ). It was joined by more than 190 attendees
  
• Investment Promotion Agency of Qatar (IPA Qatar) Projects
  • IPA Qatar launched a Business Council with representation from each of Qatar’s FDI platforms with the aim of aligning efforts across the various platforms
  • IPA Qatar launched its incentives programme in Q2 2020
  • IPA Qatar launched a survey to all FDI clients in Qatar in early June. The COVID-19 crisis and different company reactions to it formed the basis for survey questions. The survey was distributed to the QFC client base
    
    

Pro Bono Service
Amid a time when many individuals struggled due to the uncertainties arising from the COVID-19 pandemic, Qatar International Court and Dispute Resolution Centre (QICDRC) launched its Pro Bono Service to extend support to individuals, whose legal issues fall within the jurisdiction of the Qatar International Court or Regulatory Tribunal and who genuinely cannot afford to pay for legal assistance, by providing them with access to free legal advice and representation. The initiative was in line with QICDRC’s mission to provide and enhance access to justice. Individuals got the chance to access the Pro Bono Service Guidelines via the Court’s website.