Dubai Islamic Bank (DIB), the largest Islamic bank in the UAE, recently listed a USD 500 million Sukuk on Nasdaq Dubai, further strengthening its position in the global Islamic finance sector. The Sukuk, issued at a profit rate of 5.25 percent per annum, attracted strong investor demand and witnessed substantial oversubscription. Adnan Chilwan, Group Chief Executive Officer of DIB, highlighted the successful reception of the Sukuk listing as a testament to market confidence in the bank.
Hamed Ali, CEO of Nasdaq Dubai and Dubai Financial Market (DFM), expressed the platform's delight in welcoming DIB's latest Sukuk listing to Nasdaq Dubai. Ali emphasized the growing demand for Islamic finance globally and the UAE's robust capital markets. Ali further pointed out that the listing not only elevates DIB's global reach but also enhances its investor relations, solidifying Nasdaq Dubai's status as a leading global hub for Sukuk.
The Sukuk issuance from DIB, which is dual-listed on Nasdaq Dubai and Euronext Dublin, received significant interest from a diverse range of investors, including financial institutions, private banks, and fund managers from Europe, Asia, and the Middle East. This interest underscores the increasing appeal of Islamic financial instruments and demonstrates investor confidence in the UAE's financial market.
In line with its commitment to supporting Islamic finance and fixed-income products, Nasdaq Dubai celebrated the listing of DIB's Sukuk with a market-opening ceremony where Saeed Wajdi, Chief of Treasury at Dubai Islamic Bank, rang the bell alongside Hamed Ali. DIB's outstanding value on Nasdaq Dubai currently stands at over USD 9 billion through 11 Sukuk listings, reinforcing its leadership in the sector.
The Sukuk issuance execution, achieving a reset spread of 133.4 basis points over US Treasuries, is noted as the lowest for an AT1 instrument globally since the 2009 financial crisis. This achievement is seen as a strong endorsement of the UAE's economic resilience and future ambitions, aligning with the country's transformational vision to lead in Islamic finance globally. Dr. Adnan Chilwan emphasized DIB's dedication to providing a platform that supports issuers and investors, fostering growth and innovation in Islamic finance worldwide.
