QNB Raises $206 Million in Its Largest Riyal Shogun Bond

QNB Group has completed its second Qatari riyal-denominated Shogun bond, raising QAR 750 million from a diversified base of Japanese investors. At about $206 million, the three-year transaction is the largest riyal-denominated Shogun bond issued to date.

QNB announced the completed sale on October 22, 2026. In a statement, the bank said the deal is another important step in its strategy to diversify its funding sources and broaden its access to the Japanese investor market.

A Shogun bond is a bond sold in Japan by a foreign issuer in a currency other than the yen. By denominating this sale in riyals, QNB borrowed in its home currency while reaching a set of Japanese investors it would otherwise tap mainly through yen or dollar deals.

The new deal follows QNB’s inaugural riyal Shogun bond of QAR 500 million in February 2025, the first Qatari riyal Shogun bond ever issued. At 50 percent larger than that debut, the latest sale brings the total raised across the two deals to QAR 1.25 billion.

Sumitomo Mitsui Banking Corporation was mandated to arrange the issuance, continuing the relationship from the debut deal. Returning to the market with a larger transaction builds on the funding channel the first deal opened and gives QNB deeper access to Japanese investors.

QNB is headquartered in Doha and is the largest financial institution in the Middle East and Africa. The bank operates in more than 28 countries across retail, corporate and institutional banking.

The bank did not disclose the coupon or pricing on the notes, so the cost of the borrowing is not public. That detail is the usual read on how strongly investors competed for the paper, and its absence leaves the demand picture incomplete.