UAE launches first sovereign retail T-Sukuk programme for individual investors

The UAE has opened subscriptions for its inaugural Sovereign Retail T-Sukuk Programme, marking the country’s first government-backed retail sukuk offering and expanding access to sovereign investment products for individual investors.

Launched by the Ministry of Finance (MoF) in collaboration with the Central Bank of the UAE (CBUAE), the AED50 million ($13.6 million) issuance is open for subscription from June 24 to June 30, 2026, through approved digital platforms. The programme enables UAE citizens and residents to invest in a sovereign instrument fully backed by the government and structured in line with Islamic Shariah principles.

The debut issuance has a two-year tenor and offers an annual profit rate of 4.30%, with returns paid every six months. The minimum subscription amount is AED1,000.

The launch is part of the UAE’s efforts to broaden access to government-backed investment products and encourage long-term saving and investing among retail investors.

Mohamed bin Hadi Al Hussaini, Minister of State for Financial Affairs, described the programme as a milestone in strengthening the country’s sovereign investment ecosystem.

“The opening of subscriptions for the Sovereign Retail T-Sukuk Programme marks a pivotal milestone in bolstering the readiness of the UAE’s sovereign investment ecosystem by providing structured, fully digital subscription channels that enable individual investors to access government investment products efficiently and transparently,” he said.

According to Al Hussaini, the initiative reflects the Ministry’s commitment to creating a seamless digital investment journey, from subscription and allocation to trading or holding the sukuk until maturity.

The sukuk will be available through Dubai Financial Market’s subscription platform, the DFM app, the iVestor app, and the digital banking channels of Emirates NBD, the lead receiving bank. Other participating banks include Emirates Islamic Bank, Abu Dhabi Islamic Bank, Ajman Bank, and Mashreq Bank.

Allocations will be made after subscriptions close, with issuance scheduled for July 1, 2026. The sukuk are expected to be listed on Nasdaq Dubai and begin secondary market trading on July 2.

Investors will be able to trade their holdings through licensed Nasdaq Dubai members, with market makers and liquidity providers supporting trading activity throughout the life of the instrument.

The programme forms part of broader efforts by the Ministry of Finance to diversify investment opportunities and expand access to Shariah-compliant financial products.

Unlike the UAE’s Fractional T-Sukuk and Bonds Initiative launched in 2025, which allows investors to buy portions of existing sukuk and bonds from AED4,000, the new programme offers direct access to newly issued sovereign sukuk at par value with a minimum investment of AED1,000.

The launch is expected to expand retail participation in capital markets while providing individual investors with a new government-backed investment option through a fully digital process.