Question

How independent the Monetary policy of Qatar?

Answer 1

Qatar has pegged its currency to the US dollar like most other midde eastern countries. So, to manage its currency against dollar, the Qatari central bank needs to follow interest rates trend in line with the US federal reserve policy decisions mainly related to interest rates. This means Qatari central bank is left with very less room to adjust its monetary policy, they can go for money supply influsion etc but interest rate depedency makes the case difficult. So we will say monetary policy of Qatar is not independent.