Debt-laden Qatar Development Project (QDP), A private equity-owned loan company, on Wednesday called Rumors of its bankruptcy groundless after its talks with Creditors, banks owed some 1.5Billion were going on and are constructive. Listed assets and liabilities are between 1 Billion and 10 Billion, according to our findings. In the past couple of months, the coronavirus has had a major impact on meeting up with its funding obligations.
QDP funding has dwindled and has struggled in the past months. A senior official warned in January that it was likely to breach debt covenant and it was in talks with creditors and potential equity investors regarding its balance sheet, its debt, and ways to prevent an acceleration of senior debt. QDP’s cash position at the end-March stood at 580 Million dollars and its net financial debt as of MARCH 31 was 2.357 billion dollars. It said on Wednesday that it had agreed with Qatar Finance Centre Regulatory Authority to probe all irregularities, debt, and possible misappropriation of funds by a top management official, which it blamed on ”inaccurate and misleading” information in some media.
Qatar also has been targeted by Bahrain, Egypt, Saudi Arabia, and the United Arab Emirates in a boycott since June 2017. That boycott continues today, despite efforts by other Gulf Arab Nations and the United States to reconcile the countries involved in the political dispute.
Article by Asaad Nabeen Mohammed. All views expressed are the author’s personal.