Nasdaq Dubai, the region’s international financial exchange, announced it has welcomed the listing today of a US$1 billion Sukuk by Dubai Islamic Bank, DIB, the largest Islamic bank in the UAE.
In a statement, Nasdaq Dubai added that the Sukuk was nearly 4.5 times subscribed with a profit rate of 2.95 percent per annum, with nearly 50 percent of investor interest coming from outside the MENA region. “The capital raised underpins DIB’s measures to support its customers and the business community as economies start to overcome challenging market conditions,” it said.
“DIB is the leading UAE-based Sukuk issuer by value on the exchange with a total of US$6 billion from seven instruments including the latest listing,” the statement added.
Dr. Adnan Chilwan, Group Chief Executive of DIB, said, “Our latest issuance was the first public benchmark Sukuk from a regional financial entity and its enthusiastic reception by investors demonstrates confidence in DIB’s forward-looking strategy and operations. Given that this deal opened the Islamic capital markets for financial institutions in 2020, it was befitting that it was done so by the first Islamic bank in the world.”
Dubai is one of the largest centres for Sukuk listings in the world with a total listed value now standing at $66.3 billion, Nasdaq Dubai noted.
Abdul Wahed Al Fahim, Chairman of Nasdaq Dubai, said, “The deep and longstanding relationship between Nasdaq Dubai and DIB will continue to provide important benefits to investors and promote economic well-being in the UAE and overseas. The issuance and listing of DIB’s Sukuk reflects the further development of the Sukuk market as an effective means of raising capital from regional and global investors.”
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