Qatar Central Bank (QCB) has issued treasury bills (T-bills) and Islamic bonds with maturities of seven days, 28 days, 91 days, 182 days, 301 days, and 364 days worth QAR2.5 billion ($685 million).
In a post on social media platform X, the central bank shared the distribution of the issuances, which include new treasury bill issues worth QAR300 million for a period of seven days at an interest rate of 5.7822 percent.
Qatar Central Bank also issued an addition to an existing issue worth QAR500 million for a period of 28 days at an interest rate of 5.7954 percent. For a period of 91 days, the central bank issued treasury bills worth QAR500 million at an interest rate of 5.7459 percent. This issue is an addition to an existing issue.
Moreover, the central bank issued QAR500 million for a period of 91 days, also an addition to an existing issue, at an interest rate of 5.7459 percent.
The Qatar Central Bank also announced a 5th treasury bill issuance worth QAR500 million for a period of 182 days at an interest rate of 5.5707 percent and QAR500 million for a period of 301 days at an interest rate of 5.3294 percent.
Finally, the central bank issued QAR200 million for a period of 364 days, a new issuance, at an interest rate of 5.2235 percent.
Read: Qatar reports $711.58 million budget surplus on $16.39 billion total revenues for Q2 2024
Funding diversification
The central bank issues government treasury bills as monetary policy tools to develop capital markets, diversify funding, and provide an investment tool for banks. Moreover, they provide domestic Islamic banks a venue to invest their excess liquidity.
Qatar Central Bank increased the number of treasury instruments, including Islamic instruments, and launched shorter-term T-bills and sukuk, of one week and one month. This helps to further develop the domestic yield curve, provide a debt pricing reference, and expand domestic debt capital markets.
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