The UAE plans two more sovereign investment issuances this year after the successful launch of its UAE retail sukuk programme. Officials expect continued investor interest following the strong response to the first offering.
The Ministry of Finance confirmed it will consider launching two additional issuances before the end of the year. Officials said they may choose either sukuk or conventional bonds. They also noted that each issuance will likely start at Dh50 million or more.
Financial adviser Mukesh Sodani said authorities will decide the final size at a later stage. He added that future issuances could appear on both Nasdaq Dubai and the Abu Dhabi Securities Exchange. Officials continue to evaluate the best listing options for upcoming offerings.
The first UAE retail sukuk offering attracted exceptional demand from investors across the country. Subscription requests reached Dh445 million despite an initial target of only Dh50 million. As a result, the Ministry increased the issuance size to Dh100 million.
Officials described the response as a major milestone for the country’s retail investment market. They believe the outcome shows rising confidence in government-backed investment products. Furthermore, they expect future offerings to attract similar levels of interest.
Sodani said he expects both UAE citizens and expatriate investors to participate strongly in future issuances. He added that the first programme created significant momentum for retail fixed-income investments.
The inaugural sukuk carried a two-year maturity period. It offered an annual profit rate of 4.30 percent. Investors will receive profit distributions every six months throughout the investment period.
Moreover, investors can now trade the sukuk through authorised exchange brokers in the secondary market. Dedicated market makers and liquidity providers support trading activity. These measures aim to improve price discovery and increase market liquidity.
The subscription data highlighted broad participation across different investor groups. Investors subscribing up to Dh10,000 formed the largest category. They accounted for 76 percent of the total subscriber base.
UAE nationals represented 72 percent of all subscribers. However, the programme also attracted strong participation from expatriate investors. Officials welcomed this broad mix because it reflects growing public interest in government investment opportunities.
Additionally, young investors and women played an important role in the programme’s success. Together, these groups accounted for 45 percent of the subscriber base. Their participation demonstrates expanding financial awareness among different sections of society.
Minister of State for Financial Affairs Mohamed bin Hadi Al Hussaini said the overwhelming demand exceeded expectations. He explained that the results reflect stronger investment awareness among individuals. He also said the programme successfully expanded access to trusted government investment products.
Furthermore, he noted that the initiative supports wider financial inclusion. According to the minister, secure investment opportunities encourage more people to participate in long-term wealth building.
Undersecretary Younis Haji AlKhoori said the Ministry worked closely with the Central Bank and financial sector partners. Together, they designed a programme that connects sovereign financing goals with personal savings objectives.
He explained that the initiative also supports the UAE’s Year of Family 2026. The programme encourages stronger household financial planning while helping families improve long-term financial resilience.
Meanwhile, Hamed Ali, Chief Executive Officer of Nasdaq Dubai and Dubai Financial Market, highlighted another important benefit. He said the programme lowers barriers for individuals seeking government-backed fixed-income investments.
He added that transparent market access allows more investors to enter an asset class that many previously found difficult to access. Consequently, officials believe the UAE retail sukuk programme will continue expanding participation in the country’s financial markets.
Looking ahead, the Ministry expects future issuances to build on this early success. Strong investor demand, wider financial inclusion, and growing market participation position the programme for continued growth throughout the year. The UAE retail sukuk initiative remains an important step toward developing deeper retail investment opportunities.
