Energy Product Derivatives - Qatar

Qatar

The nominal value in the Energy Product Derivatives market is projected to reach US$31.98bn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 6.27% resulting in a projected total amount of US$43.35bn by 2029.
The average price per contract in the Energy Product Derivatives market amounts to US$0.12 in 2024.
From a global comparison perspective it is shown that the highest nominal value is reached in the United States (US$26,910.00bn in 2024).
In the Energy Product Derivatives market, the number of contracts is expected to amount to 295.20k by 2029.

Market

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Analyst Opinion

In recent years, the Energy Product Derivatives market in Qatar has been experiencing significant growth and development.

Customer preferences: Investors and financial institutions in Qatar have shown a growing interest in Energy Product Derivatives as a way to diversify their portfolios and hedge against market volatility. With a focus on risk management and potential for high returns, these financial instruments have gained popularity among sophisticated investors in the country.

Trends in the market: One of the key trends in the Energy Product Derivatives market in Qatar is the increasing demand for derivatives linked to energy commodities such as oil and natural gas. As a major player in the global energy market, Qatar's economy is closely tied to the fluctuations in energy prices. This has led to a higher demand for energy derivatives as market participants seek to capitalize on price movements and manage their exposure to risk.

Local special circumstances: Qatar's strategic location in the Middle East, along with its vast reserves of natural gas, has positioned the country as a key player in the global energy market. This unique position has created a favorable environment for the development of the Energy Product Derivatives market in Qatar. Additionally, the country's stable political environment and well-established regulatory framework have further supported the growth of this market.

Underlying macroeconomic factors: The growth of the Energy Product Derivatives market in Qatar can also be attributed to broader macroeconomic factors such as the government's efforts to diversify the economy away from oil dependence. As Qatar looks to strengthen its non-energy sectors and attract foreign investment, the development of a robust financial market, including derivatives trading, has become a priority. This, combined with the country's strong economic fundamentals and ambitious infrastructure projects, has created a conducive environment for the expansion of the Energy Product Derivatives market in Qatar.

Methodology

Data coverage:

Figures are based on commodity derivatives, their notional value, the number of contracts traded, the open interest (outstanding contracts at the end of a year), and the average value of a contract.

Modeling approach / Market size:

Market sizes are determined by a Bottom-Up approach, based on a specific rationale for each market segment. As a basis for evaluating markets, we use market research & analysis, and data of World Bank, as well as the World Federation of Exchanges. Furthermore, we use relevant key market indicators and data from country-specific associations and national data bureaus such as GDP, wealth per capita, and the online banking penetration rate. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. In this market, we use the HOLT-damped Trend method to forecast future development. The main drivers are GDP per capita an the online banking penetration rate.

Additional Notes:

The market is updated twice per year in case market dynamics change.