For the first time, UAE residents and citizens will be able to invest directly in government-backed Islamic treasuries for as little as Dh1,000, opening up a market previously reserved mainly for institutional investors.The UAE Ministry of Finance has launched the country’s first sovereign retail T-Sukuk programme, a new Sharia-compliant investment product designed to encourage savings, expand financial inclusion and provide individuals with access to government investment opportunities. The program, developed in partnership with the Central Bank of the UAE, marks a significant expansion of the country’s retail investment landscape.Officials said the program will allow ordinary investors to participate in sovereign-backed financial instruments through a simple subscription process offered by participating UAE banks.
What is retail T-Sukuk in the UAE?
Treasury Sukuk or T-Sukuk is a Shariah-compliant government investment vehicle that functions similarly to government bonds but is structured according to Islamic finance principles.Until now, these government-issued sukuk have been largely available only to institutional investors. The new retail scheme changes this by allowing individuals to invest directly in small denomination sukuk backed by the UAE government.Mohammed bin Hadi Al Husseini, UAE Minister of State for Financial Affairs, said the initiative reflects the government’s commitment to developing innovative financial products that support long-term savings, financial planning and wider participation in the economy.The plan also aims to deepen local capital markets and strengthen the UAE’s position as a leading center for Islamic finance.
How to apply UAE Retail Sukuk
The Treasury has confirmed that investors will be able to subscribe through participating banks using digital platforms and dedicated subscription channels. The process is expected to be similar to the IPO-style subscription framework commonly used in the UAE financial market.Participating banks announced so far include:
emirates national bank (Lead beneficiary bank)Emirates Islamic Bank Abu Dhabi Islamic Bank (Adib)- ajman bank
- mashreq bank
After the initial issuance is officially open for subscription, investors will be able to apply through these institutions.The ministry said further details including subscription dates, profit margins, tenors and distribution schedule will be announced soon.The minimum investment amount is only AED 1,000, significantly lowering the threshold for residents and citizens who want to participate in government-backed investments. Officials said the move is aimed at helping individuals and families build long-term savings and diversify their investment portfolios through regulated financial instruments.The scheme follows earlier retail sukuk schemes, which required larger investment amounts, making the latest launch more accessible to first-time investors and small savers.
Can investors resell their T-Sukuk?
Yes. One of the key benefits of the program is the expected listing of the Sukuk on Nasdaq Dubai upon issuance.Once listed, investors will be able to buy and sell their holdings in the secondary market without having to wait until maturity. Nasdaq Dubai will also serve as the program’s central securities depository and settlement platform.This feature provides investors with greater flexibility and liquidity while maintaining access to government-backed investment products.
why this is important
The launch marks a significant shift in the UAE’s investment landscape.By opening sovereign sukuk to individual investors, the government is providing residents and citizens with investment opportunities that were previously primarily available to large institutions. Officials believe the program will encourage a stronger savings culture, improve financial literacy and expand participation in local capital markets.For investors, the appeal lies in three key factors: government support, Sharia compliance and low minimum investment thresholds. The scheme, with subscriptions starting at AED 1,000, is expected to appeal to both experienced investors and new investors looking for safer long-term investment options.
