Qatar Central Bank hires US firm to investigate hostile Riyal manipulation bid

The Qatar Central Bank (QCB) has launched a formal investigation into attempts to harm the Qatari economy by countries opposed to it, it said yesterday.

“We know blockading countries and their agents are attempting to manipulate and undermine our currency, securities and derivatives, as part of a coordinated strategy to damage Qatar’s economy. We’ll not stand by while our country is attacked in this manner,” QCB Governor HE Sheikh Abdullah bin Saud Al Thani was quoted as saying by Gulf Times.

The Central Bank has engaged American law firm Paul, Weiss, Rifkind, Wharton & Garrison LLP to lead an investigation into the economic manipulation, the QCB said in an official statement.

A number of financial institutions and individuals have been asked to preserve documents in advance of legal proceedings, reported Bloomberg Markets.

The gap between onshore and offshore riyal rates had widened after Saudi Arabia and several other Arab nations cut political and commercial ties in early June.

“Make no mistake — where we find attempts to manipulate the Qatari riyal or Qatar’s financial markets, we’ll take every step to identify and hold accountable anyone engaging in, or attempting to engage, in this illegal behaviour,” Sheikh Abdullah said.