UAE residents get a new five-year investment option after strong first sukuk

Abu Dhabi: The UAE is launching a five-year retail T-Sukuk after its first sovereign offering attracted Dh445 million in orders, nearly nine times the initial issuance target.

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.

The profit rate for the new five-year issuance will be announced on September 22, according to the Ministry.

Investors will be able to subscribe through Dubai Financial Market’s eIPO platform, the iVestor app, the DFM app and digital channels operated by participating banks.

Once allocation and settlement are completed, the sukuk will be listed on Nasdaq Dubai and available for secondary market trading.

Dh1,000 minimum opens access to more investors

The second issuance follows strong demand for the first retail T-Sukuk offering earlier this year, which attracted Dh445 million in subscription orders against an initial issuance target of Dh50 million.

Demand prompted the Ministry to increase the inaugural issuance size to Dh100 million.

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 programme goes beyond being a government financial instrument. It serves as a key pillar in supporting long-term financial planning and fostering a culture of saving and secure investment, in direct alignment with the objectives of the Year of Family 2026 to build a more sustainable financial future for individuals and families across the UAE.”

First issuance drew strong retail demand

The first issuance showed that a large share of demand came from relatively small investments. About 76% of demand was for Dh10,000 or less, while UAE nationals accounted for 72% of the investor base.

Investors under the age of 25 and women together represented 45% of subscribers.

The inaugural T-Sukuk had a two-year tenor and carried an annual profit rate of 4.30%, with returns distributed every six months.

Allocation and settlement were completed before the sukuk was listed on Nasdaq Dubai and began secondary market trading on July 2, 2026.

Al Hussaini said: “With the launch of this second issuance, offering a five-year tenor and an accessible minimum investment threshold, the Ministry of Finance reaffirms its commitment to advancing financial innovation, developing domestic capital markets and expanding the investor base for UAE dirham-denominated government debt instruments.

“The exceptional demand for the inaugural offering demonstrated strong confidence in the UAE’s sovereign instruments. We will continue working in close coordination with our financial partners, receiving banks and financial markets to provide a seamless and transparent digital investment experience that ensures ease of access and liquidity for investors, while strengthening the foundations of the national financial ecosystem and supporting its leadership in developing innovative and sustainable financing solutions.”

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.