Analysts at Ken Research in their latest
publication “Qatar
Auto Finance Market Outlook to 2023 –By Banks, Non Banking Financial Companies
and Captives, By New and Used Vehicles, By Type of Vehicle Financed (Motor
Bikes, Cars and Light Commercial Vehicles) and By Loan Time Period” believe that the Qatar Auto Finance market
demand is likely to follow a growth trend in the near future due to increasing
penetration rates in used vehicles financing, increasing preference of debt
financing & new vehicles sales. Some positive factors expected to impact
the market, are the introduction of digitalization based lending models, the
spread of customized loan products and a further rise in the penetration rate
of both new & used vehicle finance.
The market is anticipated to register a positive CAGR of 7.5% in terms of Loans
Outstanding & CAGR of 6.7% in terms of Credit Disbursed during the
forecasted period 2019-2023.
“The
dominance of banks as primary lending institution for vehicle finance in Qatar
is shifting to non-bank lenders such as Captives and Non-Banking Financial
Companies, owing to introduction of attractive financing options and increased
focus on digitizing the loan disbursement process.“
Growth
Enablers: The Qatar Auto Finance Market is in its growth stage; however it
witnessed a period of fluctuations between 204-2016, which could be attributed
to sharp decline of international crude oil prices in 2014 and blockade led by
Saudi & other gulf countries on allegations of supporting terrorism. The country currently has a
motorization rate of around 40.0% only and increasing demand for used cars in
the country portray the potential for growth of auto finance sector in Qatar.
Rising Sales
of Used Vehicles: The automobile sales market has seen a shift in consumer
trend with sale of used vehicles dominating the market since 2017. The growth
in used vehicles saw an overall rise of around 38.0% in 2017. The new vehicles
sales have been declining during the period of study and higher consumption
spending habits have fueled the increase of used vehicle sales. Increase in
used cars sales can also be attributed to leniency in lending provisions and
better use of credit information of applicants for used vehicles by bank and
NBFCs in the last few years.
Increasing
Use of Technology in Auto Finance: With increasing technological
developments in the banking sector, lending solutions have become less
cumbersome for both the applicant and the bank. Banks have started adopting
automatic loan application processing instead of manual processing which is
both time & resource consuming. Banks even have separated portals to
process or collect the details of loan applicant to assess the credit
worthiness of the applicants and to further streamline the loan process for
consumers.
Key Segments
Covered
By New and
Used Vehicle
New Vehicle
Used Vehicle
By Type of
Vehicle
Motor Bikes
Cars
Light Commercial Vehicles
By Lender
Category
Banks
Captives
Non-Banking Financial Companies
By Loan
Tenure between New and Pre-Owned Motor Vehicles
One Year
Two Years
Three Years
Four Years
Five Years or More
Key
Target Audience Existing
Auto Finance Companies
Banks
Non-Banking
Financial Companies
New
Market Entrants
Government
Organizations
Investors
Automobile
Associations
Automobile
OEMs
Time Period
Captured in the Report:
Historical Period: 2014-2018
Forecast Period: 2019F-2023F
Key
Companies Covered:
Banks
Qatar National Bank
Doha Bank
Commercial Bank
International Bank of
Qatar
Qatar Islamic
International Bank
Qatar Islamic Bank
Masraf Al Rayan
Non-Banking Financial Companies
First Finance Company
(Barwa Bank)
Al Jazeera Finance
Key Topics
Covered in the Report
Executive Summary
Research Methodology
Qatar Vehicle Finance Market Overview and Genesis
Qatar Vehicle Finance Market Size, 2014-2018
Qatar Vehicle Finance Market Segmentation, 2014-2018
Major Trends and Development in Qatar Vehicle Finance Market
Regulatory Framework in the Qatar Vehicle Finance Market
A Snapshot on Digitalization of Auto Finance in Qatar
Customer Perspective in Qatar Vehicle Finance Market
Competitive Landscape containing Company Profiles in the Qatar Auto
Finance Market
Qatar Vehicle Finance Market Future Outlook and Projections, 2019F-2023F
Analyst Recommendations for the Qatar Auto Finance Market
For more
information on the research report, refer to below link:
Related
Reports:
Contact Us:-
Ken Research
Ankur Gupta, Head Marketing & Communications
+91-9015378249
