The Qatar Central Bank Primary Dealer Framework entered its second phase, marking a key milestone in financial market development. On August 24, Qatar Central Bank held the first auction under this framework. It issued local-currency government bonds and sukuk on behalf of the Ministry of Finance.
The auction offered QR15.425 billion across four securities. These included two-year tap issuances and five-year new tranches for bonds and sukuk. Moreover, strong demand led to full allocation. Investors showed confidence in Qatari riyal instruments despite the high issuance volume.
To expand participation, Qatar Central Bank appointed five local banks as primary dealers. These include AlRayan Bank, HSBC Bank, Qatar Islamic Bank, Qatar National Bank, and Commercial Bank of Qatar. Consequently, these banks will improve price discovery, broaden investor access, and strengthen demand for government debt instruments.
This initiative aligns with the Third Financial Sector Strategy. It focuses on building a robust and integrated capital markets infrastructure. Furthermore, it supports Qatar National Vision 2030 by strengthening the country’s role in public debt management and securities issuance.
Officials said international best practices ensure transparency. Additionally, they noted that these practices attract global investors and build a stronger reputation. The listing of bonds and sukuk on the Qatar Stock Exchange further boosted confidence. In fact, the sukuk marked the first-ever local listing denominated in Qatari riyals.
The framework also deepens liquidity in domestic markets. Therefore, it seeks to strengthen investor confidence and ensure orderly issuances. It also encourages active secondary trading in government securities.
Market leaders encouraged participants to engage with primary dealers. Moreover, they said future phases will welcome more banks into the program.
The Qatar Central Bank Primary Dealer Framework remains a cornerstone of financial transformation. By broadening participation and encouraging transparency, it strengthens economic foundations. As a result, the Qatar Central Bank Primary Dealer Framework builds stability and enhances Qatar’s global financial presence. Ultimately, the Qatar Central Bank Primary Dealer Framework reflects the nation’s vision for long-term market growth.
