Qatar will launch a 10 billion riyal ($2.75 billion), eight-year bond for local banks on Tuesday, a person familiar with the matter said on Monday.   

The issue, Qatar's first local currency-denominated bond, is aimed at developing a domestic bond market and move funding away from US dollars, Qatari finance minister Yousef Kamal was quoted as saying in the Financial Times on Monday.

Qatar will announce the sale of the Islamic and conventional bonds to its domestic banks on Monday or Tuesday, Kamal told the newspaper.   

'Most of the local banks have a lot of excess cash - huge cash - and they are looking for a good client,' Kamal said. 'We have already allocated each bank its portion.'    

Qatar, the world's largest gas exporter, issued a $7 billion bond in November, marking the largest sovereign debt issuance in the region. - Reuters