Sharjah lists $750 million sukuk at Nasdaq Dubai

Business Bureau, Gulf Today

Nasdaq Dubai on Wednesday welcomed the listing of a $750 million Sukuk issued by the Emirate of Sharjah.  It is the second Sukuk listing this year on Nasdaq Dubai by the Emirate of Sharjah, following a one billion US dollar listing in April. The total value of all the Emirate’s Sukuk listed on the Middle East’s international financial exchange has now reached 4.2 billion US dollars from five listings, with the first listing taking place in 2014.

Dubai’s total Sukuk listings have now reached $63.7 billion, strengthening Dubai’s role as one of the largest Sukuk listing centres in the world by value.

Nasdaq Dubai is the international financial exchange serving the region between Western Europe and East Asia. It welcomes regional as well as global issuers that seek regional and international investment. The exchange currently lists shares, derivatives, Sukuk (Islamic bonds), conventional bonds and Real Estate Investment Trusts (REITS).

The majority shareholder of Nasdaq Dubai is Dubai Financial Market with a two-thirds stake. Borse Dubai owns one third of the shares. The regulator of Nasdaq Dubai is the Dubai Financial Services Authority (DFSA). Nasdaq Dubai is located in the Dubai International Financial Centre (DIFC).

Emaar Properties also recently celebrated the listing of a $500 million Sukuk.

The capital raised will support Emaar Properties’ regional and international expansion plans. The 10-year Sukuk has an annual return rate of 3.875% and is part of Emaar’s $2 billion bond issuance programme.

Mohamed Alabbar, Chairman of Emaar Properties, said: “The growth of the sukuk market has been tremendous and has helped bridge the gap in infrastructure financing particularly with projects linking to the real economy. Listing our Sukuk on Nasdaq Dubai provides our issuance with a well-regulated platform with high visibility and close links to market participants regionally and around the world.”