Qatar's single window committee for capital market to ease and streamline listings

The proposed single window committee is expected to ease and streamline the listing process in the Qatar’s capital market, leading the country’s bourse to see brisk activities on an expected faster approval of listings and instruments in the future, according to experts.
"As the name suggests, there is no need to apply in various authorities. This, in itself, will cut down the time taken for the approval. The (opportunity) cost (towards listing) also comes down in the process," an analyst with a leading brokerage house said.
Early last month, the Qatar Financial Markets Authority (QFMA) issued a resolution to establish a "Single Window Committee for the Capital Market" with the goal of reducing time and effort and significantly simplifying procedures for companies whose activities are related to the financial markets in the country.
“The move makes it easier for the issuers to process their applications,” he said, adding the stage is set for smooth and speedier initial public offerings (IPOs) and follow-on issues as well as other instruments such as exchange traded funds and derivatives.
According to Dr Tami bin Ahmed al-Binali, QFMA chief executive officer, the establishment of a "Single Window Committee for the Capital Market" represents an important step forward as it will facilitate and simplify procedures for companies active in the country's financial market.
The 11-member Committee will have five members from the QFMA, four from the Qatar Stock Exchange (QSE), and each from the Ministry of Commerce and Industry and Edaa (formerly Qatar Central Securities Depository Company).
Among the other advantages provided by the 'one-stop-shop window for the capital market' for these companies is having streamlined and smooth processes for the public offering and listing of securities on QSE, whether upon their incorporation, conversion to a joint stock company, direct listing, or entry into any acquisitions or mergers.
The listing process would speed up because the due diligence and other legwork start at least a year before the (actual) listing, market sources said.
Since (multiple) authorities concerned are in the committee, the chance of delay at each step comes down as the new single window system will be the nodal point, which will vet the applications based on the broad guidelines set by the QFMA, according to the sources.
The proposed single window committee comes amid reports of more listings expected, considering that the procedural reforms as direct listing and book-building mechanism ought to attract more companies.
Having put in place a new trading mechanism, the Qatari bourse is all set to move into a T+2 settlement cycle compared to T+3. The initiative is in line with international best practices in regional and international markets, to achieve efficiency, and reduce the risks of long settlement period.