Moody's places Qatar's global sukuk rating of Aa2 on review for downgrade

Moody's has today placed the backed senior unsecured Aa2 rating on the US dollar certificates issued by SoQ Sukuk A Q.S.C. on review for downgrade. This action follows Moody's decision on 4 March 2016 to place Qatar's Aa2 long-term government bond and issuer ratings on review for downgrade.

RATINGS RATIONALE

The payment obligations associated with these certificates are direct obligations of the government of Qatar. In Moody's opinion, the payment obligations represented by the securities issued by SoQ Sukuk A Q.S.C. rank pari passu with other senior, unsecured debt issuances of the government of Qatar.

As such, Moody's Aa2 rating of the certificates is aligned with the government of Qatar's long-term issuer rating of Aa2, given that any direct government obligation whose repayment is handled by the government of Qatar receives a rating equivalent to that of the government.

Moody's expects to conclude its review on the Aa2 rating assigned to the certificates issued by SoQ Sukuk A Q.S.C. within two months, in line with the conclusion of the review of Qatar's government issuer rating of Aa2.