Doha, December 20 (QNA) - Edaa company announced the postponement of reducing the settlement period from T+3 to T+2 until March 2024, in coordination with Qatar Financial Market Authority (QFMA), and at the request of the custodians.

In this context, HE Chief Executive Officer of Edaa Sheikh Saif bin Abdullah Al-Thani underscored the preparedness of the company's infrastructure to implement the procedures of reducing the settlement period, pointing out that the announcement comes out of concern for the public interest of Qatar's financial market and its participants.

His Excellency indicated that this deadline was granted so that market participants, financial intermediaries, and custodians could update their systems and notify their clients of the new procedures in preparation for its implementation in compliance with the legislation of the QFMA, as well as to strengthen and develop Qatar's financial market, attract investments in securities, as well as speed up the turnover of the investment process for the general benefit of the market and investors.

This strategic move focuses on shortening the settlement period at the Qatar Stock Exchange (QSE) from T+3, three working days after the date of the sale or purchase, to T+2, a two working day period from the date of the sale or purchase. Thus leading to a qualitative leap in the speed of trading at QSE. Aligned with international best practices, this initiative promises to strengthen Qatar's position in the global capital markets arena.

Edaa is the licensed service provider under the QFMA that provides a range of essential services related to securities and financial instruments. The company's core services include safekeeping, clearing, and settlement of securities and other financial instruments listed on the QSE.

Edaa, which aims to provide infrastructure for financial instruments within the Qatari market, regional market, and markets outside the region as well, announced earlier an initiative to reduce the settlement period of purchasing and selling transactions at QSE from T+3 to T+2. The initiative aims to enhance the trading mechanisms of Qatar's financial market and accelerate the speed of trading to attract foreign investments. (QNA)