Qatar Central Bank cuts lending rate by 25 basis points

Taking into account the evolving domestic and international macroeconomic developments, Qatar Central Bank (QCB) decided yesterday to reduce the QCB lending rate (QCBLR) by 25 basis points (bps) to 4.75%.

The QCB decision comes in line with the US Federal Reserve’s (US central bank) move on Wednesday to cut the benchmark overnight lending rate for the first time since 2008 by a quarter point to a range of 2.00% to 2.25%.

Most countries with US dollar pegged currencies cut or raise interest rates in line with a decision by the US Federal Reserve.  The Qatari riyal is pegged to the US dollar at a fixed exchange rate since 1980.

Most GCC countries cut interest rates in line with the Federal Reserve’s decision, while others decided to keep the interest rate unchanged.

Source from: The Peninsula