A+ A-

GCC countries coordinate to unify stocks, bonds listing - QCB chief

DOHA, Sept 18 (KUNA) -- Gulf top bankers said Tuesday there was constant coordination between the Arab Gulf countries to unify regulations of listing of stocks, government and non-government bonds within the common Gulf market.
Governor of Qatar Central Bank (QCB) Sheikh Abdullah bin Saud Al-Thani, in the first session of the 2012 Capital Markets Conference, said authorities supervising stock markets in the six Gulf Cooperation Council (GCC) countries were working to unify and organize the listing in the common Gulf market.
The GCC countries seek to have a unify the listing system not just for stocks but also for bonds, treasury bonds, government and non-government sukuks, he said.
The Governor of UAE's Central Bank Sultan Al-Suwaidi said inter-GCC coordination was facing difficulties, notably having a unified payment method for bonds in addition to lack of uniform criteria for the issuing of bonds.
Al-Suwaidi underscored importance of bond market because it would act as an indicator for interest rates, diversify financing resources of companies and boost transparency.
He said government bonds could be 15-25 percent of GDP.
The GCC countries issued USD 37 billion worth of bonds in the first half of 2012.
Oman Central Bank Governor Humoud Al-Zadjali said stock markets in the GCC countries should be linked together in order to establish a Gulf bond market.
He said Oman has been issuing development bonds since 1991 with a value of USD 5.7 billion.
Al-Zadjali explained that governments issue bonds to address deficits and create investment opportunities. (pickup previous) me.bs KUNA 182355 Sep 12NNNN