Economists and financial experts confirmed that the continuous rise in international reserves confirms the success of the financial and economic policy pursued by the state, represented by the Qatar Central Bank, which manages the international reserves portfolio. They stressed that these reserves support the Qatari economy as a bulwark against any challenges or difficulties facing Qatar due to global and regional economic conditions.
Qatar Central Bank’s international reserves and foreign currency liquidity rose to QAR 251 billion in July, an increase of about 4%, compared to July 2023, when they reached QAR 241.572 billion.
Qatar Central Bank issued on its website data on international reserves and foreign currency liquidity, where total official reserves reached 192.2 billion riyals, in addition to about 59 billion riyals representing other liquid assets in foreign currency (deposits).
Qatar Central Bank revealed that gold reserves rose to about 31 billion riyals until last July, compared to 21 billion in January 2023, an increase of 10 billion within a year and a half.
The reserve balance of foreign bonds and treasury bills rose to about 139 billion riyals compared to about 137.6 billion riyals in July of last year.
Special drawing rights and quota deposits with the International Monetary Fund amounted to about 5.2 billion riyals.. Balances with foreign banks amounted to about 17.6 billion riyals compared to 18 billion in July 2023.
Financial expert Abdullah Al Khater stressed that reserves support the confidence of international institutions in the economy, and contribute to attracting investments and capital to the local market, which leads to further recovery in the market, creating new job opportunities, and increasing the gross domestic product, including the contribution of the private sector.
He pointed out that the state’s policy of increasing and strengthening international reserves will continue, and focusing on investments secured by international guarantees such as government bonds or sukuk and securities guaranteed by governments.
He explained that the state’s orientations and policy regarding foreign investments and reserves have been good throughout the past years, and the importance of having strong investments abroad, which were chosen with great care by the Qatar Investment Authority and in-depth feasibility studies, had the greatest impact in achieving good returns for these investments that were appropriate to the economic situation. As for the reserves that were managed efficiently by the Qatar Central Bank, it was a flexible policy that was compatible with the economic situation in the world, so that they would rise and fall according to these variables.
Qatar Central Bank confirms that it manages foreign reserves, including gold balances, in a cautious manner, in order to maintain the exchange rate of the riyal against the dollar and other currencies. The Central Bank adds that the basic principles of the investment policy include preserving capital and maintaining the availability of liquidity, in addition to ensuring the achievement of an appropriate return on the investment portfolio of the reserve, including foreign currencies, bonds, securities and gold. The reserve is managed by the Investment Committee at the bank, which is headed by His Excellency the Governor. The committee is responsible for directing the management of reserves, and is responsible for monitoring the bank’s financial portfolio, in addition to ensuring investment and diversification in financial instruments that are consistent with the objectives of the general investment policy and in accordance with the investment policy followed by the bank.