Qatar ‘Worried’ About European Regulations on Wealth Funds

(Updates to include Prime Minister’s comments in fourth paragraph.)

Oct. 22 (Bloomberg) -- Qatar is worried about the effects of European legislation on sovereign wealth funds and is willing to cooperate with Europe on its economic crisis, Qatar’s Prime Minister and Foreign Minister Sheikh Hamad bin Jassim Al Thani said.

“We have some agreements but not with everyone, not as we want,” Sheikh Hamad told reporters today at the World Economic Forum in Jordan. “Discussions are under way with some European countries to resolve certain regulatory hurdles, such as taxation. ‘‘We are worried that there will be new regulations that can make obstacles for our sovereign wealth fund.’’

Qatar has already agreed several investments in Greece, including a 1 billion-euro ($1.3 billion) commitment to invest in Greek mining companies. The Persian Gulf emirate will also acquire a 10 percent stake from Ellaktor SA and will have an option to buy another 5 percent from the Greek construction company, Ahmad al-Sayed, the chief executive officer of Qatar Holdings, said on Oct. 1.

Qatar may buy a 7.5 percent stake in European Aeronautic, Defence & Space Co. from Daimler AG with the voting rights remaining at Daimler, Handelsblatt reported Sept. 28, without saying how it got the information.

Sheikh Hamad said he is ‘‘worried’’ that European politicians have done ‘‘too little too late’’ to solve the ongoing economic crisis.

To contact the reporter on this story: Vivian Salama in Abu Dhabi at vsalama@bloomberg.net

To contact the editor responsible for this story: Andrew J. Barden at barden@bloomberg.net

Source: http://www.businessweek.com