Sheikh Tamim bin Hamad orders the Central Bank of Qatar to package new measures to support the economy
Sheikh Tamim bin Hamad orders the Central Bank of Qatar to package new measures to support the economy

According to the instructions of Sheikh Tamim bin Hamad, Emir of the State of Qatar, a few steps ago, the Central Bank of Qatar took new executive steps and measures to revive the Qatari economy for fear of collapse, after the current crisis caused by the Corona virus and its impact on the economy in the State of Qatar.

In the margins of that urgent meeting, the Qatari Central Bank took these villages in order to support the economy of the State of Qatar, the purpose of which is to help banks, finance and financial leasing companies to overcome the repercussions of the crisis on the Qatari economy.

And according to what was monitored by “Al-Nasr newspaper” from a publication issued by the Central Bank of Qatar that was circulated on social media, the Qatar Central Bank decided to take a package of incentive measures as follows:

1- The Qatari Central Bank requested all Qatari banks to refrain from selling or executing collateralized securities against loans and financing operations offered to clients, and this decision shall be adopted in the event that the request for disposal is submitted by the customer in Qatar.

2- First, reduce the basic interest rate in Qatar and the discount rate by a quarter of a percentage point to 2.5% from 2.75% to boost growth in the Qatari economy.

3- The average interest rate in Qatar for this issue reached 2.5 percent, compared to 2.75 percent for the previous issue.

4- All Qatari banks must, at the present time, respond to all requests to postpone the payment of installments and interest / profits of loans affected by the repercussions of the current situation in the State of Qatar, especially small and medium enterprises, for the period of six months with immediate effect and not to affect its credit rating.

5- Reducing overnight deposits from 2.00% to 1.50% in all Qatari banks, and the interest rate for one month deposits from 2.45% to 2.20%.

6- Lending facilities at 4.00% for all clients in Qatar.

7- All loans related to financing government projects in Qatar for 2020 are allowed to be exempt from the credit rating, for a period of up to six months, in accordance with the instructions provided to the Qatar Central Bank in the circulars previously issued in that regard.

8- Generally consider reducing the fees imposed at the present time on all banking services in Qatar and not adding any new fees during the current year 2020 AD until further notice.

9- Reducing the interest rate in Qatar on the operations of deducting Qatar’s government treasury bills by 100 basis points to one percent.

10 - Reducing the interest rate in Qatar on foreign exchange swaps by fifty basis points, and raising the maximum period for currency swap operations to six months.