Qatar Central Bank (QCB) and Euroclear on Monday announced their collaboration to establish a new international settlement link, making Qatari government bonds and sukuk Euroclearable, opening the domestic debt market to a broader global investor base. International investors will now benefit from secure, streamlined access to the domestic market through Euroclear's trusted infrastructure, while issuers gain access to a broader and more diversified pool of capital.
The initiative is expected to enhance liquidity, improve market efficiency and deepen international capital flows into Qatar.
This strategic initiative is in line with Qatar's Third Financial Sector Strategy and the Third National Development Strategy 2024-2030, which seek to create a more innovative, efficient and globally connected capital market underpinned by modern market infrastructure and strong investor protection. The initiative also forms part of Qatar's broader efforts to enhance the competitiveness of its financial markets, develop its market infrastructure, and further integrate its financial markets into the global financial system.
The link will enable investors worldwide to access and settle eligible Qatari riyal-denominated conventional government bonds and sukuk through Euroclear's International Central Securities Depository - Euroclear Bank, significantly enhancing access to Qatar's domestic capital market.
Euroclear Bank will act as issuer CSD, Edaa, the Qatar Central Securities Depository, will serve as investor CSD for local investors, and Qatar Central Bank will act as issuer and paying agent.
Commenting on the announcement, HE Deputy Governor of the Qatar Central Bank Sheikh Ahmed bin Khalid bin Ahmed Al-Thani stated: "Qatar's continued development of the government securities market reflects our commitment to fostering a deeper, more efficient and resilient capital market. By enhancing the infrastructure and mechanisms that support the issuance and trading of government bonds and sukuk, we are creating greater opportunities for investors, encouraging broader participation, and strengthening the foundations for sustainable growth in the financial market. These efforts will further reinforce Qatar's position as an attractive and internationally connected investment destination, as our collaboration with Euroclear is a practical step towards expanding international access to Qatari government debt instruments and strengthening the presence and visibility of the Qatari market among global investors."
Valerie Urbain, Chief Executive Officer of Euroclear, said: "By making eligible Qatari government bonds and sukuk Euroclearable, we are helping to simplify market access, enhance liquidity and strengthen Qatar's appeal to global investors. Euroclear has a long-standing commitment to advancing market development through trusted financial infrastructure. We are delighted to work alongside our partners in Qatar to deliver stronger global market access and support the country’s long-term capital market ambitions."
