Moody's changes Qatar's rating outlook to negative

Frankfurt am Main, July 05, 2017: Moody's Investors Service has today
changed the outlook on Qatar's rating to negative from stable and
affirmed the long-term issuer and senior unsecured debt ratings at Aa3.

The key driver for the outlook change to negative is the economic and
Financial risks arising from the ongoing dispute between Qatar and a
group of countries, including its fellow Gulf Cooperation Council (GCC)
neighbors Bahrain (Ba2 negative), Saudi Arabia (A1 stable) and the
United Arab Emirates (UAE, Aa2 stable). In Moody's view, the likelihood
of a prolonged period of uncertainty extending into 2018 has increased
and a quick resolution of the dispute is unlikely over the next few
months, which carries the risk that Qatar's sovereign credit fundamentals
could be negatively affected.

The rating affirmation at Aa3 takes into account a number of credit
strengths embedded in Qatar's credit profile and reflects Moody's view
that the sizable net asset position of the Qatari government and
exceptionally high levels of wealth will continue to provide significant
support to the sovereign credit profile for the time being.

The rating action also applies to the backed senior unsecured rating of
SoQ Sukuk A Q.S.C., for which the outlook was changed to negative from
stable and the rating was affirmed at Aa3.

Qatar's long-term foreign-currency bond and deposit ceilings remain
unchanged at Aa3 and the short-term foreign-currency bond and deposit
ceilings remain unchanged at P-1. Qatar's long-term local-currency bond
and deposit country risk ceilings also remain unchanged at Aa3.