UAE Sets 5.06 Percent Profit Rate on Second Retail Treasury Sukuk as Subscriptions Open
The UAE Ministry of Finance set the annual profit rate on the second issuance of its sovereign retail Treasury Sukuk at 5.06 percent, with subscriptions opening on Wednesday and running to 28 September. The issuance carries a five year tenor, a target size of 50 million dirhams and a minimum subscription of 1,000 dirhams, and profit is paid every six months.
A longer tenor and a higher rate than the first issuance
The inaugural retail issuance carried a two year tenor at 4.30 percent and listed on 2 July 2026. It drew subscription orders of 445 million dirhams against a 50 million dirham target, nearly nine times the amount offered, and the ministry raised the size to 100 million dirhams. Tickets of 10,000 dirhams or less accounted for 76 percent of that demand, UAE nationals made up 72 percent of the investor base, and investors under 25 together with women accounted for 45 percent of subscribers.
| Item | Second issuance | First issuance |
|---|---|---|
| Tenor | 5 years | 2 years |
| Annual profit rate | 5.06% | 4.30% |
| Target size | 50 million dirhams | 50 million dirhams, raised to 100 million |
| Minimum subscription | 1,000 dirhams | 1,000 dirhams |
| Listing | 1 October 2026 | 2 July 2026 |
UAE Ministry of Finance announcements of 17 and 22 September 2026.
The calendar is fixed to the day
Subscriptions close on 28 September, allocation follows on 29 September, issuance and the refund of excess funds on 30 September, and listing and secondary trading on Nasdaq Dubai on 1 October. Emirates NBD is the lead receiving bank, with Emirates Islamic, Abu Dhabi Islamic Bank, Ajman Bank, Mashreq, Abu Dhabi Commercial Bank and First Abu Dhabi Bank participating, and orders are taken through the Dubai Financial Market platforms and the banks’ digital channels. The issuance is delivered in collaboration with the Central Bank of the UAE, Nasdaq Dubai as depository and listing platform, and the Dubai Financial Market.
Why it matters: this is a dirham denominated instrument sold directly to individuals, with a 1,000 dirham entry point and a listed secondary market, which is how a retail savings market gets built. The profit rate is 76 basis points above the inaugural issuance, on our calculation, on a tenor three years longer, and the ministry says the rate was set in line with prevailing market conditions.
Outlook: the first issuance was upsized after orders came in at nearly nine times the target, the ministry describes 50 million dirhams as the target size, and allocation is set for 29 September. Pricing on any third issuance will be read against the five year rate set here.
Sources: UAE Ministry of Finance.
