Second retail sukuk follows strong demand, with the profit rate due September 22
UAE residents now have a second chance to invest in the country’s sovereign Sukuk programme, after the government confirmed a new five-year retail T-Sukuk following a strong debut for the first offering.
The Ministry of Finance is rolling out the second issuance after its inaugural retail T-Sukuk drew Dh445 million in orders, nearly nine times its original Dh50 million target. Demand was so strong that officials doubled the size of that first offering to Dh100 million.
The Shariah-compliant investment instrument is fully backed by the UAE Government and is designed to give individual investors direct access to government debt instruments without requiring a large upfront investment.
Dh1,000 minimum opens access to more investors
The latest five-year sukuk retains the Dh1,000 minimum subscription threshold, giving smaller retail investors access to a sovereign investment instrument that would otherwise typically be associated with larger institutional transactions. The profit rate for the new issuance is due to be announced on September 22.
Who can apply
The programme is open to both UAE nationals and residents, part of a deliberate push by the Ministry of Finance to widen participation in sovereign debt instruments beyond large institutional investors.The first round saw broad uptake: about 76% of investors put in Dh10,000 or less, UAE nationals made up 72% of subscribers, and investors under 25 combined with women accounted for 45% of the investor base.
How to apply
Residents can subscribe through several channels:
- Dubai Financial Market’s eIPO platform
- The iVestor app
- The DFM app
- Digital channels operated by participating banks
Where investors can subscribe
Emirates NBD will act as the lead receiving bank for the second issuance.
Emirates Islamic, Abu Dhabi Islamic Bank, Ajman Bank, Mashreq, Abu Dhabi Commercial Bank and First Abu Dhabi Bank will also participate as receiving banks.
Subscriptions can be made through the participating banks’ digital channels, alongside DFM’s eIPO platform, iVestor app and DFM app.
The Ministry said the programme is intended to broaden participation in UAE sovereign investment instruments and encourage long-term saving and investment among nationals and residents.
What happens after you invest
Once the subscription period closes and allocation and settlement are completed, the sukuk will be listed on Nasdaq Dubai, which also acts as the central securities depository and settlement platform. That listing means investors are not locked in until maturity. They can trade their holdings on the secondary market if they want liquidity before the five-year term ends, similar to how the first two-year issuance worked after it listed on July 2, 2026.
For residents who missed the first round, or want to lock in a longer-term, government-backed return with a low entry point, the coming subscription window is the one to watch, with full pricing details expected within days.
Source: gulfnews