Dubai Islamic Bank lists sustainable sukuk on Nasdaq Dubai

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Dubai Islamic Bank (DIB) rang the market-opening bell to celebrate the listing of its inaugural sustainable Sukuk with a value of US$ 750 million on Nasdaq Dubai.

The Sukuk is the first-ever sustainable Sukuk from a UAE entity and was issued in line with DIB’s Sustainable Finance Framework, which was created to facilitate financing of green and social initiatives and projects. DIB has successfully priced the 5-year senior issuance with a profit rate of 5.493 percent per annum representing a spread of 155bps over 5-Year US Treasuries.

The A3-rated bank by Moody’s and A by Fitch issued the new Sukuk under its US$ 7.5 billion Sukuk Programme. It has raised the total value of DIB’s Sukuk listed on Nasdaq Dubai under this Program to US$ 5.55 billion and the total value of all DIB Sukuk listed on the region’s international financial exchange to US$ 7.8 billion. The new listing has driven the total value of ESG-linked bonds and Sukuk listed on Nasdaq Dubai to US$ 16.825 billion.

Dr. Adnan Chilwan, Group CEO of DIB, said: “We are delighted to accomplish this deal that has achieved several landmarks as the first-ever sustainable Sukuk from a UAE entity and the largest issue size in the international capital markets from a GCC bank since February 2022. The strong demand from investors demonstrates the market’s confidence in DIB’s growth strategy and our active leadership role in empowering economic growth. Our listing on Nasdaq Dubai supports our links with investors around the world through the high visibility and well-regulated platform that the exchange provides.”—Arabian business