Doha:Qatar Central Bank (QCB) and Euroclear have announced a collaboration to establish a new international settlement link, making Qatari government bonds and sukuk Euroclearable. This move aims to open the domestic debt market to a broader global investor base, providing international investors with secure and streamlined access through Euroclear's infrastructure.
According to Qatar News Agency, the initiative is expected to enhance liquidity, improve market efficiency, and deepen international capital flows into Qatar. It is aligned with Qatar's Third Financial Sector Strategy and the Third National Development Strategy 2024-2030, which focus on creating an innovative, efficient, and globally connected capital market.
The new link will allow investors worldwide to access and settle eligible Qatari riyal-denominated conventional government bonds and sukuk via Euroclear's International Central Securities Depository, Euroclear Bank. This development significantly enhances access to Qatar's domestic capital market.
Under this arrangement, Euroclear Bank will act as the issuer Central Securities Depository (CSD), while Edaa, the Qatar Central Securities Depository, will serve as the investor CSD for local investors. Qatar Central Bank will fulfill the roles of issuer and paying agent.
HE Deputy Governor of the Qatar Central Bank Sheikh Ahmed bin Khalid bin Ahmed Al-Thani emphasized Qatar's commitment to developing a deeper, more efficient, and resilient capital market. He stated that the collaboration with Euroclear is a practical step towards expanding international access to Qatari government debt instruments.
Valerie Urbain, Chief Executive Officer of Euroclear, remarked that making Qatari government bonds and sukuk Euroclearable simplifies market access and enhances liquidity, thereby strengthening Qatar's appeal to global investors. Euroclear is pleased to support Qatar's long-term capital market ambitions through this partnership.