Qatari Banks Are Said to Cut Dollar Sales to Foreign Lenders - Bloomberg

Qatari Banks Are Said to Cut Dollar Sales to Foreign Lenders - Bloomberg:

"Some Qatari banks are becoming less willing to sell dollars to foreign lenders amid a lingering regional standoff with a Saudi-led alliance, according to people familiar with the matter.

Foreign exchange activity between local and international banks is almost at a standstill, the people said, asking not to be identified because the matter is private. The central bank is still providing dollars to local lenders to meet domestic business needs at the pegged rate of 3.64 riyals per dollar, they said.

To get dollars to fund imports and other commercial activities for local clients, foreign banks are using the offshore market to buy the U.S. currency at a higher rate and may have to pass these costs on to clients, some of whom are in Qatar, the people said. The Qatari riyal fell as low as 3.80 versus the dollar in the offshore market on Monday, the lowest since 1988, according to data compiled by Bloomberg."



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