(MENAFN- Gulf Times) Mashreq Qatar country head Henk Hoogendoorn has highlighted the expanding growth opportunities in contracting and project finance during the "12th MEED Qatar Projects 2015 Conference" held recently in Doha.
In a panel discussion, Hoogendoorn examined various funding options available to contractors to finance Qatar's mega projects, and cited Mashreq's specialised contracting finance department, which has a longstanding history of financing landmark transactions within the contracting sphere.
"International companies should actively work with Qatar's experienced contracting sector on communication and managing expectations. Banks can play an active role in connecting Qatar to new international contractors that would like to do business," Hoogendoorn stressed.
Mashreq has financed more than 1,000 projects in the region in the last 10 years, collectively valued $35bn.
By supporting the pledge to boost infrastructure investment with new projects such as the mega reservoirs, football stadiums, and the Qatar Rail and Ashghal projects, Mashreq Qatar is well-placed to continue its role in Qatar's infrastructure development by leveraging its regional experience to support contractors working in Qatar.
Hoogendoorn said, "There is enough liquidity in the market to finance all the projects, but there is a need for more contract finance through international banks in the future as more projects are expected to be awarded."
Outlining how the bank will support project financing, he said, "Mashreq Qatar provides contracting finance solutions for the local and regional markets with a customised approach to financing by arranging individual solutions on a project-specific basis, according to a contractor's specialisation."
In the last 12 months, Hoogendoorn said Mashreq Qatar has supported projects, including the Doha Metro by Qatar Railways Company, Hamad International Airport, New Hamad Port, and Lusail Real Estate Development Company.
On behalf of Mashreq's Contracting Finance team, relationship manager Zain Mumtaz participated in another panel discussion on the rising construction costs in Qatar.
Mumtaz spoke about the derivatives offered to Mashreq clients that allow them to hedge commodity and "FX costs" earlier in the projects, thereby safeguarding them against unexpected shocks. He also discussed higher salaries and wages in Qatar, which contributed to escalating construction costs.
The MEED Qatar Projects 2015 Conference attracted more than 400 senior representatives from major local and international companies, government officials from Qatar, and stakeholders from across the GCC and other countries. The bank supported the conference as Silver Sponsor.
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