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Doha: Since the oil discovery in Qatar more than five decades ago that ushered in an era of development and prosperity in this tiny emirate, the common citizen has learnt to look up to the state for plush jobs and doles.
But an exceptional stock boom that promises a short-cut to the riches, backed by an equity awareness that is spreading like a jungle fire, things are changing fast with Qataris having found an easier and quicker way to make money.
For many Qatari families facing financial hardships, the money-spinning stocks have come as a saviour as they have not only escaped humiliation and bankruptcy but made enough wealth overnight.
Bread winners of several families facing the spectre of spending time in prison for having failed to fulfil financial commitments and issued cheques that bounced, are basking in new-found luxury.
A Qatari who sold his wife's jewellery to repay a huge debt only a few months ago, has now enough cash to buy a new Land Cruiser after having silenced his lenders. He was summoned by the police for having issued a bounced cheque and pleaded for time to repay the loan.
In the mean time he sold his Land Cruiser to apply for Qatar Gas Transport Company (QGTC) primary issue in his and his family members' name and is said to have made QR180,000 overnight.
The mad rush for shares and share trading that one witnesses among Qataris now, is quite understandable as there is quick and easy money involved.
The common Qatari has actually been averse to stocks and stock trading with equity awareness being very low in their community.
But the state-sponsored primary issue of QGTC launched recently, has brought an enormous change and share culture has suddenly penetrated so deep in their midst that one can expect even a 10-year-old Qatari child to know what stocks are and what they mean in terms of wealth generation.
It all began 10 months ago when the state announced to float a mega primary issue of a gas transport venture (QGTC) early this year, and offer 280 million shares to nationals literally for a song.
The index of the Doha Securities Market (DSM) was ruling a little over 4,000 points at the time, with market capitalisation being around QR100bn.
Qataris were so excited about the offer that many sold surplus properties and shares to organise funds to apply for the initial public offering (PIO). A number of them sought bank loans.
In all, the issue which aimed at mobilising QR1.4bn, was oversubscribed by 9.5 times, mobilising over QR13.5bn. Entire families had applied for the IPO, triggering enormous equity awareness in the society.
The allotment announced recently disappointed many as only 1,233 shares were given away to some 193,000 subscribers.
But that was a huge figure as the last IPO, that of Industries Qatar (IQ) launched a little less than two years ago, had evoked response from less than a 100,000 applicants.
More than QR12bn refunded for un-subscribed portions of QGTC shares were routed by investors into the secondary market.
The result was that the index of the Doha Securities Market (DSM) began shooting up (it has crossed 11,000 mark) with share prices going sky-high and stocks like IQ being unavailable for trading due to heavy demand.
In the 10 months since the QGTC issue was announced Qatari investors have become richer by over QR230bn, given the rise in DSM's market capitalisation to more than QR330bn ever since.
The craze for share trading among Qataris has led many real estate agencies to convert their businesses overnight into share consultancies. There has been a substantial increase in Internet connections as people, including women, now want to track share trading and price movements on-line.
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