Barclays is raising up to £7.3 billion of capital from investors including from a Qatar sovereign wealth fund.

The bank’s share price rose 9.14 per cent by 08:36 GMT as investors welcomed the news Barclays will not have to go to the government for cash.

Barclays has looked to the Middle East for investment, and said HH Sheikh Mansour Bin Zayed Al Nahyan, a member of the Royal Family of Abu Dhabi, and HH Sheikh Mansour Bin Zayed Al Nahyan of Qatar have subscribed.

New rules introduced in the wake of the credit crisis mean UK banks must raise £25 billion in capital in total to ensure their stability.

Although the government has offered to put up the cash, it comes with strings attached, prompting Barclays to quickly announce it would raise the money from existing investors.

By securing investment from the Middle East rather than the UK government, Barclays will be able to set its own bonuses and continue to pay shareholders dividends.

“As a result of the capital raising, Barclays expects to fully satisfy its commitment, as announced to the market on October 13th 2008, to raise new external capital as part of its overall plan to achieve the new higher capital targets set by the UK Financial Services Authority (FSA) for all UK banks,” Barclays said in a statement.

Barclays said the capital raising means its tier one ratio – a regulatory measure of a bank’s strength – will be 11.3 per cent.

Marcus Agius, chairman of Barclays, said: “Given the continuing uncertainties in world capital markets, the board of Barclays resolved to satisfy the capital raising requirements agreed with the UK authorities without delay.

“This we have done. The board believes that this maintains Barclays as a strong, independent and well capitalised bank.”

Barclays also announced group profit for the first nine months was slightly ahead of 2007, despite credit market writedowns of £129 million.