Qatar Stock Exchange and Edaa Qatar oversee first onshore SBL transaction
15 May 2024 Qatar
Image: Paul
Qatar Stock Exchange and Edaa Qatar have overseen the first onshore securities lending and borrowing transaction.
HSBC acted as custodian and agent lender for the transaction in Qatar, while QNBFS acted as the borrower.
According to Qatar Stock Exchange, the transaction marks a key milestone for the third Financial Sector Strategic Plan (3FSS) launched by the Qatar Central Bank in November 2023.
3FSS is part of the Qatar National Vision 2030 and aims to increase the size and liquidity of the Qatari market.
Abdulaziz Al Emadi, acting CEO of Qatar Stock Exchange, says: “This marks the beginning of a new era for QSE as this will allow investors and traders to execute sophisticated investment strategies, hedge their portfolios, as well as gain access to securities financing in the local market.
“This unlocks a significant liquidity pool and should help attract new types of investors in the Qatari market.”
Abdulhakim Mustafawi, CEO of HSBC Qatar, adds: “We expect this [transaction] will help attract more investors into the Qatari market and therefore help us connect global clients with opportunities in Qatar and vice versa, as we have for over 70 years.”
HSBC acted as custodian and agent lender for the transaction in Qatar, while QNBFS acted as the borrower.
According to Qatar Stock Exchange, the transaction marks a key milestone for the third Financial Sector Strategic Plan (3FSS) launched by the Qatar Central Bank in November 2023.
3FSS is part of the Qatar National Vision 2030 and aims to increase the size and liquidity of the Qatari market.
Abdulaziz Al Emadi, acting CEO of Qatar Stock Exchange, says: “This marks the beginning of a new era for QSE as this will allow investors and traders to execute sophisticated investment strategies, hedge their portfolios, as well as gain access to securities financing in the local market.
“This unlocks a significant liquidity pool and should help attract new types of investors in the Qatari market.”
Abdulhakim Mustafawi, CEO of HSBC Qatar, adds: “We expect this [transaction] will help attract more investors into the Qatari market and therefore help us connect global clients with opportunities in Qatar and vice versa, as we have for over 70 years.”
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