For the first time in 28 years, Qatar Airways has entered into a QR4.5bn local-currency funding deal with a consortium of seven domestic banks, led by QNB.

The financing will be provided by domestic banks in Qatar. The syndication was fully underwritten and led by QNB Group as the sole and exclusive book runner, global coordinator; initial mandated lead arranger and structuring bank; while the lending banks include Ahlibank, Commercial Bank, Doha Bank, Dukhan Bank, Qatar Islamic Bank and QIIB.

This new agreement will see an innovative approach taken whereby local banks lend in Qatari Riyals in both conventional and Islamic tranches and commercial terms in line with international benchmarks for a strategic financing transaction of this nature.

Qatar Airways Group chief executive officer, Badr Mohammed al-Meer, said its Qatar latest purpose-driven partnership demonstrates its trust in the operational excellence of the Qatari banking sector.

"We are honoured to collaborate with the leading banks of Qatar as we continue to further our commitment to fulfilling the Qatar National Vision 2030. We thank the financial institutions that have played a vital role in shaping our journey, offering support that has helped us reach new millstones. We believe such strong and resilient partnerships remain essential for driving industry innovation and expanding global connectivity,” he added.

With this agreement, the national carrier aims to stimulate greater collaboration between the aviation and the banking sector, paving the way for innovative financial structures tailored to the airline’s evolving needs while promoting national economic resilience.

“This transaction is not just a testament to the strength and resilience of Qatar's banking industry; but it is also a powerful demonstration of central reliance and national collaboration," said QNB Group chief executive officer Abdulla Mubarak al-Khalifa.

Highlighting that the deal was structured, arranged and executed entirely by Qatari banks speaks volumes about the sophistication and capability of the local financial institutions; he said it underscores the domestic ability to support large-scale strategic investments without relying on the external markets.

The deal reflects the deep-rooted partnership between the country's aviation and financial sectors, a partnership that continues to drive the nation's economic growth and global competitiveness, according to him.

"Qatar Airways is more than an airline. It is a symbol of ambitions, excellence and national pride," al-Khalifa said, adding by securing this financing domestically, the banks are not only supporting the continued expansion, but also reinforcing the stability and maturity of Qatar's financial ecosystem.

"This deal shows the local banks have the expertise, ability and vision to support such transactions of this magnitude, further positioning Qatar as the hub for world-class financial services," he said.

The country's national carrier had last month placed a landmark order of up to 210 Boeing widebody jets – 160 firm and 50 option – which is the largest widebody order and the largest 787 Dreamliner order in the US aerospace company’s history, during the visit of the US President Donald Trump to Doha.

Qatar Airways had also signed a pact with GE Aerospace for more than 400 engines, including 60 GE9X and 260 GEnx engines, with additional options and spares, to power its next-generation Boeing 777-9 and Boeing 787 aircraft – the largest widebody engine purchase in the history of GE Aerospace.