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Doha, Qatar: Lord Mayor of the City of London H E Nicholas Lyons praised the commercial and investment relations between the State of Qatar and the United Kingdom as “strong and balanced”; noting steadily growing bilateral ties thanks to the active dialogue between the two countries on various investment opportunities.
Speaking to Qatar News Agency (QNA), the Lord Mayor of London said that the interaction between the two countries has been active throughout history, and has deepened further thanks to the large investments of Qatar Investment Authority in the United Kingdom over the past decades, which exceeded 40 billion pound. In addition, imports and exports of trade and services in both directions reached more than 13 billion pound this year, and this number increases significantly every year, making the relationship very balanced and growing.
Lord Nicholas Lyons noted that he had held fruitful meetings in Doha over the past two days with Prime Minister and Minister of Foreign Affairs H E Sheikh Mohammed bin Abdulrahman bin Jassim Al Thani, and Minister of Finance H E Ali bin Ahmed Al Kuwari, on the relations between the State of Qatar and the United Kingdom.
He also referred to meetings with Qatar Investment Authority and the Qatari Businessmen Association, pointing to a two-way relationship between the two countries, and the aspiration for more Qatari investments.
He expressed happiness with the import and export figures which are rising significantly, and stressed his belief that this will continue.
On the areas that should see further trade and investment relations with the State of Qatar, the Lord Mayor of London highlighted great opportunities in a number of fields, especially financial technology which is a very fertile area for Qatar and those seeking investments.
Qatar has always been a major investor in the real estate sector, however, considering the fields of technology, financial technology, and life sciences in Britain will be fruitful for both parties, especially since the number of financial technology companies being developed in the United Kingdom exceeds the number of their counterparts in Europe, the Middle East, and Africa combined, he believed.
As hydrocarbon-dependent economies shift to clean energy, the importance of investing increasingly in renewable technologies to achieve this transformation becomes apparent. Therefore, the dialogue between the two sides on green and sustainable financing is very important, even if the State of Qatar is also looking for other opportunities to diversify the economy away from dependence on natural gas, he noted.
Investing in the British pension system is also rewarding because the government mobilizes superannuation funds, which are defined benefit pension funds with a long-term horizon that very naturally aligns with the long-term perspective of sovereign wealth funds looking to make long-term gains, he continued.
The Lord Mayor of London believed that there are lucrative returns and huge potential for foreign investors who invest through the pension system in the UK, which is the second largest pension system in the world at nearly 5 trillion pound, and it is invested conservatively. This investment is needed to give better returns to pension savers, and to give them more diversified returns, since the UK has no national state pension nor a sovereign wealth fund.
Lord Nicholas Lyons also highlighted other traditional investment opportunities available in the UK, including real estate infrastructure and long-term infrastructure loans; noting a great need for more investment in infrastructure in the United Kingdom, accordingly the country introduced some regulatory changes in capital laws, and insurance companies will be unleashed, in addition to changes in the ability companies to repay their debts. He believed that the value of insurance companies investment in infrastructure projects may reach approximately 100 billion pound, which will create very good opportunities for investors abroad.
On the impact of the war in Ukraine on Central London as an attractive destination for global investors, the Lord Mayor of London said that the economic impact of the war was great throughout Europe, because it led to a rise in energy and food prices, leading to an inflation which in turn caused a rise in interest rates.
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