By Peter Alagos/Business Reporter
The volatility in global stock markets triggered by China’s devaluation of its currency will not cut growth in Qatar's financial market, Qatar Stock Exchange CEO Rashid bin Ali al-Mansoori said as he dispelled fears among “panic-stricken investors.”
Al-Mansoori admitted that the QSE, “like any global stock exchange, has suffered” from the oil price slump “but was able to maintain some liquidity in the market.”
“What we are really worried about is when investors panic because they suffer losses when they start selling,” said al-Mansoori during the Dean’s Lecture Series hosted by Carnegie Mellon University in Qatar.
Although he admitted that geopolitical events in Greece and China have also affected the market, al-Mansoori gave the assurance that “for listed companies in Qatar, there is no issue.”
“Qatar’s economy is stable and is still growing, which is why investors should not panic. I need to give some comfort to investors; it does not mean the recent events that happened in China will cut growth in the market,” he emphasised.
He added: “What we would like to see in the market is more listing of companies and that investors should not panic.”
According to al-Mansoori, the finance minister’s reassurance on Monday that there will be no delays in the implementation of infrastructure projects, especially those related to hosting the 2022 FIFA World Cup “is very important to us in the Qatar Stock Exchange and also to investors.”
Al-Mansoori also said the QSE is encouraging family-owned businesses and small and medium-sized enterprises (SMEs) to list in the junior stock market to help diversify Qatar’s economy away from hydrocarbons.
With more than 40,000 companies registered with the Qatar Chamber, al-Mansoori said the QSE is offering $100,000 to encourage SMEs to list in the QE Venture Market.
Earlier this year, al-Mansoori underlined the importance of the QE Venture Market as a supporting tool for the development of SMEs.
He said: “Together, we offer individual candidate companies help with the fees payable to listing advisors of up to $100,000 and we encourage you to investigate this option.”
Al-Mansoori also urged students attending the presentation to pursue entrepreneurship as a career: “Think of how you can contribute. Make a plan, start your own business and be your own boss.”
