Small investors can now trade a UAE government sukuk like a share. The Ministry of Finance has listed its second five-year Sovereign Retail T-Sukuk on Nasdaq Dubai and secondary-market trading has begun, following completed subscription, allocation and settlement, the ministry announced via WAM on October 2, as reported by UAE News Today.

How the offering performed

Subscription orders reached AED285 million, about 5.7 times the AED50 million target. The sukuk pays an annual profit rate of 5.06 percent, distributed every six months, over a five-year tenor, with a minimum investment of AED1,000, according to The Arabian Post. Subscriptions ran from September 23 to 28, and the instrument matures on September 30, 2031.

Investor checking a stock market app on a phone in Dubai
Investors can now add to holdings or sell before maturity through authorised brokers.

Who bought it

The participation data is the point of the programme. Applications of AED10,000 or less accounted for 75 percent of all applications. UAE nationals represented 69 percent of demand, investors from 110 nationalities took part, women accounted for 17 percent of invested capital, and nearly half of unique subscribers had also invested in the first tranche. Trading runs through authorised brokers, with market makers supporting liquidity and price discovery.

How secondary trading changes the product

Before the listing, a subscriber’s practical option was to hold the sukuk to maturity. Secondary trading on Nasdaq Dubai changes that: holders can increase their position or sell early through authorised brokers, with market makers and liquidity providers supporting order-book trading and price discovery, the ministry said. That liquidity is what turns a five-year commitment into a flexible savings product, although the traded price can move with market conditions rather than sitting fixed at the issue value.

Why a retail sukuk exists at all

The Sovereign Retail T-Sukuk programme is designed to widen public participation in government-backed, Sharia-compliant saving, and to deepen the UAE’s dirham-denominated capital markets, Minister of State for Financial Affairs Mohamed bin Hadi Al Hussaini said at the listing. For residents weighing where a first investment goes, the key facts are the AED1,000 entry point and the ability to exit on the exchange rather than waiting five years. This article is reporting, not financial advice. Visitors planning a finance-focused trip can use our Dubai trip cost guide, where to stay in Dubai and places to visit in Dubai pages for the practical side.

Dubai International Financial Centre gate building at dusk
Applications of AED10,000 or less made up 75 percent of all subscriptions.

FAQs

What is the retail T-Sukuk’s profit rate?

5.06 percent a year, paid every six months, over a five-year tenor.

What is the minimum investment?

AED1,000. Subscriptions for this tranche closed on September 28, but units can now be bought on Nasdaq Dubai through authorised brokers.

How oversubscribed was the offering?

Orders reached AED285 million against a AED50 million target, about 5.7 times covered.

When does the sukuk mature?

September 30, 2031, though holders can sell earlier on the exchange.