Qatar has issued a new governance law that instructs listed companies to be more transparent as the country strives to ensure greater market discipline and enhance confidence in its financial market. The Qatar Stock Exchange (QSE) has given all listed companies one year to comply with the new regulations.
By the Numbers
The new law will impact a significant and growing market:
- 1 Year: The timeframe given for all listed companies to comply with the new regulations.
- 43 Listed Companies: The number of companies currently listed on the Qatar Stock Exchange.
- $174 Billion: The approximate market capitalization of the Qatar Stock Exchange at the end of H1 2025, making it the third largest in the Arab region.
- $7 Billion (QR 26 Billion): The net profits recorded by the listed companies in the first half of 2025.
A New Framework for Corporate Governance
The new “corporate governance system” for listed companies, which replaces the previous rules issued in 2016, addresses several key topics. These include the duties and responsibilities of the board of directors, the composition and terms of the board, internal control systems, and the principles for granting rewards and incentives. The system is based on the principles of integrity, transparency, justice, and accountability.
Enhancing Confidence in the Qatari Financial Market
“The system is a fundamental step in developing the regulatory environment for the capital market with the best international standards,” said QSE Governance Director Khalid Al-Sulaiti. “It aims to establish the principles of transparency and integrity, guarantee shareholders’ rights, and enhance confidence in the Qatari financial market.” A key amendment in the new rules is the increase in the minimum number of board members for listed companies to seven, with a maximum of 11 members.
Source: AGBI
