UAE Ministry Of Finance Launches Retail Sukuk Initiative For Individual Investors In Islamic Treasury Bonds

The Ministry of Finance (MoF) has introduced 'Retail Sukuk', a new initiative allowing individuals to invest in Shariah-compliant, government-backed Treasury Sukuk (T-Sukuk). This is made possible through fractionalised digital investment platforms managed by participating banks in the UAE. The initiative aims to enhance financial inclusion and broaden the investor base for government financial instruments, with a minimum investment starting at AED4,000.

H.H. Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, First Deputy Ruler of Dubai, Deputy Prime Minister, and Minister of Finance of the UAE, stated that the 'Retail Sukuk' initiative aligns with the UAE's vision to empower communities. It encourages participation in national development through financial policies prioritising human wellbeing. "The ‘Retail Sukuk’ initiative reflects the UAE’s vision and its leadership’s directives to empower the community and enhance participation in the national development journey through financial policies that prioritise human wellbeing," he said.

The initiative is part of the 'Year of Community', which promotes solidarity and giving while enhancing individual and family wellbeing. It encourages active community involvement in building a sustainable future. The Ministry of Finance aims to transform investment in government bonds into an accessible digital experience for all societal segments, offering high-quality financial instruments previously limited to institutional investors.

Mohamed bin Hadi Al Hussaini, Minister of State for Financial Affairs, highlighted that this initiative marks a significant advancement in developing government investment instruments. It enhances individual participation in economic growth and provides a direct way to contribute to national development. "The ‘Retail Sukuk’ initiative represents a qualitative leap in the development of government investment instruments," he noted.

The 'Retail Sukuk' aligns with the objectives of promoting responsible saving habits and increasing financial awareness across society. It reflects public-private sector partnerships fostering values of giving and active economic participation. This contributes to building a balanced economy serving future aspirations.

The Ministry emphasised that T-Sukuk were previously available only to institutional investors but are now accessible to all citizens and residents in the UAE. This marks a milestone in expanding inclusive access to government-backed Islamic financial instruments. Retail Sukuk are denominated in UAE Dirhams and linked to government-backed T-Sukuk already traded on the market.

Investment Opportunities

The initiative seeks to raise awareness about T-Sukuk investment opportunities among citizens and residents, encouraging broader individual investor participation. It aims to build confidence by highlighting easy registration processes and full compliance with Shariah standards. Long-term investment in T-Sukuk is promoted as a secure savings tool.

Investment will be available through participating banks, with details about the first bank announced on 3rd November 2025. The implementation will adhere to high standards of transparency and quality. This offers retail investors a chance for savings diversification by adding stable, government-backed instruments to their portfolios.

This strategic step advances financial inclusion by promoting long-term savings culture while ensuring sustainability of UAE's financial resources supporting various sectors' goals.

With inputs from WAM