Qatar stocks rise on plans to allow full foreign ownership

Qatar stocks rise on plans to allow full foreign ownership

Published 15 Apr,2021 via Bloomberg Markets - Qatari stocks advanced the most in the Gulf after the country said it may allow foreign investors to fully own listed companies, a move that could trigger more than $1 billion of overseas inflows.

The cabinet approved a draft law that will allow overseas investors to own up to 100% of listed companies, according to the state-run Qatar News Agency. If the law is implemented, companies would have to individually approve the increased limit.

While implementation in Qatar is yet to be confirmed, the decision could trigger inflows of about $1.5 billion into listed companies that would earn bigger representation in global benchmarks, according to estimates by investment bank EFG-Hermes.

Some of the stocks that could benefit the most include Qatar Islamic Bank SAQ, Masraf Al Rayan QSC and the Commercial Bank of Qatar, the investment bank said.