QIBOR will enhance transparency and promote liquidity
Qatar Central Bank (QCB) and Bloomberg LP are partnering to launch the first ever Qatar Interbank Offer Rate (QIBOR) fixings in a move aimed at encouraging a more active interbank market in Qatar, executives announced today. Interbank rate fixings are used around the world to provide a daily reference point for banks borrowing unsecured funds from other banks in the local wholesale banking market and this announcement brings Qatar into that market for the first time.
QIBOR, which will use the contributed offer rates quoted by nine panel banks, will be calculated by Bloomberg and published on the QCB website and the Bloomberg Professional® service (QCBQ <GO>) beginning on May 6th at 10:00 a.m. Doha local time and each subsequent business day at the same time. QIBOR fixings for eight different time maturities ranging from overnight to one year will be publicly available each day making market activity transparent to other banks around the world.
HE Sheikh Abdulla Saoud Al Thani, Governor of Qatar Central Bank, commented, "In establishing the first-ever benchmark interbank rate in Qatar it was vital that we worked with a partner with deep expertise and credibility in this area. Bloomberg is the market leader for financial data and extending our relationship with them will help position Qatar as a growing force in the global financial markets."
The list of member banks on the QIBOR panel includes Ahli Bank; Al Khalij Commercial Bank; Arab Bank; BNP Paribas; Commercial Bank of Qatar; Doha Bank; International Bank of Qatar; Qatar National Bank; and Standard Chartered Bank which represent the largest local and international banks currently participating in the Qatar interbank market.
Jean-Paul Zammitt, Global Head of Product Development for the Bloomberg Professional service, commented, "With the launch of QIBOR, the Qatar Central Bank is progressively promoting interbank activity in its maturing market. Bloomberg promotes transparency and we continue to work closely with central banks to support and develop their local markets."