QNB Group with HSBC successfully issues $500mn Digital Native bonds under EMTN programme

25/11/2025 05:37 AST

QNB Group announced the "successful" completion of Qatar's inaugural Digitally Native bond issuance, a $500mn three-year floating interest rate digital bond.

Using HSBC Orion, the market-leading digital assets platform, the issuance marks the acceleration of digital asset adoption in the Middle East.

This "landmark" transaction represents the largest ever Digitally Native bond issuance issued from the Middle East and Africa region by a financial institution.

This step comes as part of QNB's strategy to tap new sources of stable funding from new markets with digitally innovative funding sources.

The successful completion of the transaction confirms the trust of international investors in QNB the Group's strategy, robust financial performance, and stable outlook.

HSBC acted as a sole bookrunner on the transaction, a further step in its ambition to bring end-to-end blockchain-based solutions to its global client base.

The bond is powered by HSBC Orion, which is operated by the Central Money markets Unit (CMU) in Hong Kong, and structured with support from leading international law firms, reflecting the high standard of governance. HSBC Orion is the number 1 platform globally for digital bond volume in 2025 to date and the only to have successfully supported digital bonds for issuers in the region, in addition to the world's largest digital bond issued in Hong Kong earlier this month.

This strategic collaboration, bringing HSBC's global experience with QNB's local expertise, lays the groundwork for digital assets to become a regular feature of Qatar's financial landscape, in line with Qatar National Vision 2030. It also showcases the potential of distributed ledger technology to enhance liquidity in the bond market.

The bonds were issued under QNB's EMTN programme and will be listed on the Stock Exchange of Hong Kong Limited, which will also handle the permission to deal in DN Notes by way of debt issues to professional investors. Global investors can access the digital bond through accounts held with CMU, Euroclear and Clearstream, onboarding onto HSBC Orion as direct participant, or via their existing custodian who can participate through one of the above options.

Noor al-Naimi, Senior Executive Vice-President, QNB Group Treasury and Financial Institutions, said: "This inaugural Digitally Native bond issuance transaction is part of our funding diversification strategy and broadens the range of funding sources available to QNB. QNB Group will continue to play a pioneering role in adoption of transformative technologies."

Abdul Hakeem Mostafawi, Chief Executive Officer, HSBC in Qatar, said: "QNB's role as the first-mover lays the groundwork for digital assets to become a regular feature of Qatar's financial landscape and the wider region. "This transaction signifies the momentum behind digital assets and the pivotal role that HSBC is playing both within the region and globally to enable the transformation of capital markets that are smarter, more transparent and more connected."

Gulf Times