Qatar gears up to sell QR4bn in bonds, sukuk

March 08, 2013 - 3:03:59 am

DOHA: Qatar will sell QR4bn ($1.1bn) of three-year and five-year bonds and sukuk, the state news agency said yesterday.

The Qatar Central Bank will offer local banks QR3bn worth of bonds and QR1bn worth of Shariah-compliant notes, Qatar News Agency (QNA) said. 

The local currency issues will take place quarterly, it said, without specifying how much of each maturity would be sold.

In January, the International Monetary Fund’s mission chief for Qatar told Reuters that the objective behind an issuance would be to build a domestic sovereign yield curve. Qatar Central Bank was not available for comment.

Qatar has issued local currency bonds before. In January 2011, the central bank issued a QR50bn ($14bn), three-year bond directly to local banks as a step to drain excess money from the banking system.

In recent months, Qatar-related debt denominated in dollars has drawn strong demand from international investors and majority state-owned Ooredoo saw heavy bids for a $1bn bond sale in January.  

Reuters

 
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