Qatar banks to get bonds, cash in rescue plan

Banks in Qatar will get cash and bonds in exchange for selling their real estate investments to the government under a QR15 billion (Dh15bn) programme unveiled last week.

Qatar said last week it would offer to buy up to QR15bn of banks real estate investments and loans, more than tripling a support package to help lenders cope with a slump in equity and property markets.

Under the plan, banks would receive state cash and 10-year government bonds carrying a fixed coupon of 6.5 per cent per year in lieu of their real estate portfolios, Gulf Times reported, citing sources.