Credit Facility Reviews in Qatar play a critical role in determining whether businesses can secure, renew, or restructure financing from banks and financial institutions. As regulatory scrutiny and risk expectations increase, lenders are no longer assessing financial performance alone. Instead, they evaluate governance quality, compliance maturity, transparency, and risk controls alongside financial metrics.

This blog explains what credit facility reviews involve in Qatar, what lenders typically assess, common challenges businesses face, and how organizations can prepare effectively for a smooth review process.​

What Is a Credit Facility Review?

A credit facility review is a structured assessment conducted by lenders to evaluate a borrower’s ability to meet financial obligations and manage risk. These reviews may occur:

• Before approving a new facility
• During annual or periodic renewals
• When restructuring or increasing existing facilities

In Qatar, credit facility reviews increasingly extend beyond numbers to include compliance and governance factors.

Why Credit Facility Reviews Matter in Qatar

Credit facility reviews are essential because they help lenders:

• Assess credit risk accurately
• Ensure regulatory compliance
• Identify financial or operational weaknesses
• Protect against financial crime and reputational risk

For businesses, a successful review supports continued access to funding and favorable terms.

Key Areas Assessed During Credit Facility Reviews in Qatar

1. Financial Performance and Stability

Lenders review:

• Audited financial statements
• Profitability trends
• Cash flow sustainability
• Debt service coverage ratios

Accurate and well-prepared financial statements are essential.

2. Quality of Financial Reporting

Credit reviewers assess whether:

• Financial statements are reliable and consistent
• Accounting policies are applied appropriately
• Adjustments and estimates are well supported

Independent assurance enhances lender confidence.

3. Governance and Internal Controls

Strong governance signals financial discipline. Lenders examine:

• Board oversight and management accountability
• Internal control frameworks
• Risk management practices

Weak governance can negatively affect credit decisions.

4. Compliance and Regulatory Standing

Lenders consider:

• Tax compliance status
• Regulatory filings
• Exposure to penalties or disputes

Non-compliance introduces uncertainty and risk into the credit assessment.

5. Business Model and Industry Risk

Credit facility reviews also assess:

• Sustainability of the business model
• Industry-specific risks
• Dependency on key customers or suppliers

Common Challenges Businesses Face During Credit Reviews

Businesses in Qatar often encounter difficulties such as:

• Incomplete or inconsistent financial information
• Weak documentation supporting assumptions
• Poor visibility over cash flows
• Lack of formal risk management processes

These issues can delay approvals or result in restrictive lending terms.

How to Prepare for a Credit Facility Review in Qatar

Step-by-Step Preparation Checklist

1. Review Financial Statements
• Ensure accuracy and consistency
• Address audit or review observations early
2. Strengthen Documentation
• Cash flow forecasts
• Debt schedules
• Management explanations
3. Assess Governance and Controls
• Clarify roles and responsibilities
• Document internal processes
4. Ensure Compliance Readiness
• Confirm tax and regulatory filings are up to date
5. Engage Independent Review Support
• Independent assessments enhance credibility

How HLB AG Supports Credit Facility Reviews in Qatar

HLB AG supports businesses through:

• Independent financial statement reviews
• Credit facility review support
• Audit and assurance services
• Advisory on governance and risk controls

This integrated approach helps businesses present a clear, reliable, and transparent profile to lenders.

What is a credit facility review in Qatar?
A credit facility review in Qatar is an assessment conducted by lenders to evaluate a borrower’s financial strength, governance, compliance, and risk profile before approving or renewing financing.

FAQs – Credit Facility Reviews in Qatar

1. What triggers a credit facility review?
   Annual renewals, new financing requests, restructuring, or changes in financial performance.

2. Do lenders require audited financial statements?
   In most cases, yes. Audited or independently reviewed statements improve credibility.

3. Can governance issues affect credit approval?
   Yes. Weak governance or controls increase perceived risk.

4. How often are credit facilities reviewed?
   Typically annually, but frequency depends on lender policies and risk profile

Credit facility reviews in Qatar

Credit facility reviews in Qatar are comprehensive evaluations that go far beyond financial performance. Businesses that prepare proactively—by strengthening reporting quality, governance, and compliance—are better positioned to secure financing on favorable terms.

©2026 Antonio Ghaleb and Partner CPA and HLB AG-Members of HLB. All rights reserved. These highlights have been prepared for general guidance on matters of interest only and do not constitute professional advice. You should obtain professional advice before taking action on the information contained in these highlights. Antonio Ghaleb and Partner CPA and its employees do not give any representation or warranty (express or implied) regarding the accuracy or completeness of the information contained in these highlights. Antonio Ghaleb and Partner CPA and its employees do not assume any responsibility, liability, duty of care for any negative consequences that may result in reliance to these highlights and for any decision based on them.