Qatar Central Bank Launches 2nd Phase of Primary Dealer Framework

Qatar Central Bank (QCB) has launched the second phase of its Primary Dealer (PD) Framework, a key milestone in the ongoing development of Qatar’s capital markets.

On August 24, 2025, QCB successfully executed the first auction under the PD Framework, issuing local-currency government bonds and sukuk on behalf of the Ministry of Finance, QCB said in a statement Monday.

A total of QAR 15.425 billion (US$4.24 billion) was offered and fully allocated across four securities: 2-year (tap) and 5-year (new issuance) tranches for both bonds and sukuk. The auction witnessed significant oversubscription, underscoring strong investor confidence and robust appetite for Qatari riyal instruments despite the substantial issuance volume.

QCB has appointed the following banks as local Primary Dealers - AlRayan Bank, HSBC Bank, Qatar Islamic Bank, Qatar National Bank and Commercial Bank of Qatar

This initiative aligns with QCB’s Third Financial Sector Strategy, which focuses on building a robust and integrated capital markets infrastructure. It also serves as a cornerstone of Qatar National Vision 2030, which seeks to strengthen Qatar’s global standing in public debt management and securities issuance. The initiative reflects the adoption of international best practices and aims to attract a broader base of global investors, the statement said.

Deputy Governor of Qatar Central Bank HE Sheikh Ahmed bin Khalid bin Ahmed bin Sultan Al-Thani stated that: "These five banks form the initial group of Primary Dealers and will play a pivotal role in facilitating access to Qatari government debt instruments, while broadening market participation and improving price discovery. We encourage all market participants to continue to engage with the Primary Dealers to collectively contribute to the successful development of Qatar’s government-securities market”. In addition, the bonds and sukuk were listed on the Qatar Stock Exchange, marking the first-ever Qatari riyal-denominated sukuk to be listed locally.

The Primary Dealer Framework is a foundational initiative to promote deeper and more liquid domestic capital markets. It is designed to build investor confidence, ensure orderly issuance, and enhance the secondary market for government securities. The framework is expected to evolve over time, with further opportunities for eligible banks to apply for participation in future phases.