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Oman’s Dhofar Islamic has issued sukuk worth OMR 5 million ($13 million) via private placement, under its newly established OMR 250 million Sukuk Al Musharaka Programme.
The Islamic banking arm of Bank Dhofar said the sukuk will be listed on the Muscat Stock Exchange.
Musharaka-based sukuk are considered closely aligned with the core Islamic finance principle of risk-sharing, whereby investors participate in the returns generated by underlying assets or ventures.
Dhofar Islamic is expected to issue additional tranches under the programme, subject to funding requirements and market conditions. Proceeds from the issuance will be used to support financing growth and optimise its balance sheet.
In December last year, Fitch Ratings upgraded Bank Dhofar 'BB+', from 'BB', with Stable outlook. Meanwhile, the ratings agency estimates the Omani Islamic finance industry reached around $36 billion at the end of 2025 and could approach $45 billion in 2026.
(Writing by Brinda Darasha; editing by Seban Scaria)
