Qatar Exchange Plans 'Trading of Bonds in 2012'

Doha, December 29 (QNA) - Riding on the optimism of anticipated individual and institutional investor support to debt market securities like the Treasury Bills launched Thursday, Qatar Exchange (QE) plans trading of bonds or fixed-income securities in 2012 as part of expanding its product portfolio. Speaking to Qatar News Agency (QNA) today after the closure of trading for the year, an official from the Market Operations and Control Department said, "Ten TBills were listed today and everything went smoothly as per our plans. The exchange has plans to list bonds in 2012 after the requisite mechanisms are put in place and approvals." QE launched the debt instruments market with the trading of the Qatari Government's short term treasury bills (T-Bills) on the bourse from today. The volume of Treasury Bills executed on its trading debut was 10,000 while the value was QR 98,202,900, according to the official. QE Deputy Chief Executive Officer Rashid Ali Al Mansoori told QNA, "It is a happy and historic day for all at the exchange since the TBills first day trading was completed smoothly. Things can only get better here on and we look at 2012 with high optimism." T-Bills are public debt instruments (Securities), issued by Qatar Central Bank at a discount to its par value, and provide investors the opportunity to benefit from a guaranteed return over a short term period. On the maturity date the full par value is paid by the issuer to the investor. Although the 42 listed company bourse's upgrade from frontier market to emerging market status is still under review from the influential index compiler MSCI, investors and analysts are optimistic of brighter days in 2012. Their confidence is based on the fundamentals of a diversifying economy with the many mega infrastructure projects besides the traditional growth drivers oil and gas. Besides government bonds which will spur liquidity, the prospects of corporate bonds are also bright with a bouquet of infrastructure projects in the pipeline as well as sports projects which will open up financing possibilities. (QNA)