• The USD 1 billion issuance marks DIB’s first Sustainability-Linked Sukuk, introducing a performance-linked structure to the Bank’s sustainable finance platform.
  • The Sukuk was more than 2x oversubscribed, reflecting strong global investor confidence in DIB’s financial performance and ESG-aligned approach.

Dubai, UAE : DIB, the world’s first Islamic bank and the largest in the UAE (rated A3 by Moody’s and A by Fitch), announced that it has successfully accessed the international Sukuk market with a USD 1 billion Sustainability-Linked Sukuk, priced at a profit rate of 4.572% per annum with a tenor of five years.

The issuance represents a significant milestone, marking the Bank's first Sukuk to be issued in a Sustainability-Linked format. This builds on the Bank's earlier achievement of being the first Islamic institution to establish a Sustainability-Linked Finance Facilities Financing (SLFFF) Framework. The issuance highlights the Bank’s commitment to innovative financial structures and sustainability, playing an important role in supporting the UAE’s Net Zero 2050 Initiative.

Building on the success of its Sustainable Finance Framework (SFF) and prior Sustainable Sukuk issuances, DIB's latest offering, the Sustainability-Linked Financing Sukuk, represents an evolution from traditional use-of-proceeds models to performance-linked impact.

This new structure advances Islamic sustainable finance by tying impact directly to measurable, independently verified performance targets. Through the new Sustainability-Linked Financing Sukuk (SLFS), the Bank will channel investor capital into a diversified portfolio of general corporate purpose sustainability-linked financing, extended to clients who have made firm commitments to achieve measurable, pre-agreed sustainability KPIs.

DIB continues to demonstrate a strong commitment to sustainability, embedding responsible finance and ESG principles at the core of its long-term strategy. The Sustainability-Linked Financing Framework underwent a comprehensive assessment and received a Second-Party Opinion from Institutional Shareholder Services (ISS), confirming its full alignment with international best practices and Sustainability-Linked Sukuk standards.

The deal attracted exceptionally strong interest, with the orderbook peaking at USD 2 billion and achieving an oversubscription of 2 times. More than 80 institutional accounts from Europe, Asia and the Middle East participated in the Sukuk. The issuance drew robust global participation, with 67% of the Sukuk allocated to the MENA region and 20% to Asia, the highest Asian allocation ever achieved in a public Sukuk issuance by DIB. The remaining 13% was distributed, among investors in the UK, Europe, and other international markets. In terms of investor type, 77% was allocated to banks and private banks, 17% to fund managers, and the remaining 6% to insurance companies, pension funds, and sovereign wealth funds.

DIB commenced marketing on Monday, 10 November with several investor calls to present its 9M’ 25 financial performance. The two-day virtual marketing exercise proved highly efficient amid a crowded primary market environment, with several concurrent transactions. Investor reception was strongly positive, enabling the Bank to open the orderbook on Wednesday, 12 November with Initial Price Thoughts of 120 basis points over US Treasuries. The orderbook rapidly grew to USD 2 billion, allowing final pricing to tighten to 90 basis points over US Treasuries, equivalent to a profit rate of 4.572% per annum.

Dr. Adnan Chilwan, Group Chief Executive Officer of DIB, commented “This Sukuk issuance is a defining step in our sustainability journey and a clear reflection of the strong confidence international investors continue to place in DIB, in the UAE’s solid credit fundamentals and in the strength of our long-term strategy. As the world’s first Islamic bank, our responsibility has always extended beyond offering compliant structures. It is to lead with purpose and to demonstrate how Islamic finance can deliver measurable and responsible impact that is transparent, independently assured and aligned with national priorities.

This Sustainability-Linked Sukuk reflects that progression. It moves us from intention to performance and reinforces our commitment to embedding long-term sustainability outcomes across our business and within the wider Islamic finance ecosystem. The depth and quality of global participation confirms that the market increasingly values institutions anchored in faith-based integrity, disciplined execution and a clear sustainability vision.

DIB will continue to advance this agenda with clarity and intent ensuring that our growth contributes to real economic value, real societal benefit and real impact.”

The Sukuk was a drawdown under the DIB USD 12.5 billion Sukuk Programme, which is dual-listed on Euronext Dublin and Nasdaq Dubai stock exchanges, and is fully aligned with the Sustainability-Linked Financing Framework, with Standard Chartered Bank acting as Sustainability Advisor.

The Joint Lead Managers and Bookrunners for this transaction were Standard Chartered Bank (acting as billing and delivery and Sustainability Advisor), Arqaam Capital, Bank ABC, DIB, Emirates NBD Capital, First Abu Dhabi Bank, HSBC, ICBC, KFH Capital, KIB Invest, Maybank, QInvest and Sharjah Islamic Bank.

About DIB:

Established in 1975, DIB is the largest Islamic bank in the UAE by assets and a public joint stock company listed on the Dubai Financial Market. Spearheading the evolution of the global Islamic finance industry, DIB is also the world’s first full service Islamic bank and amongst the largest Islamic banks in the world.  With Group assets now exceeding USD106 billion and market capitalisation of more than USD 18bln, the group operates with a workforce of more than 10,000 employees and around 500 branches in its vast global network across the Middle East, Asia and Africa. Serving over 5 million customers across the Group, DIB offers an increasing range of innovative Shariah-compliant products and services to retail, corporate and institutional clients.

In addition to being the first and largest Islamic bank in the UAE, DIB has a significant international presence as a torchbearer in promoting Shariah-compliant financial services across a number of markets worldwide. The bank has established DIB Pakistan Limited, a wholly owned subsidiary which is the first Islamic bank in Pakistan to offer Priority & Platinum Banking, The launch of Panin Dubai Syariah Bank in Indonesia early marked DIB’s first foray in the Far East, with a stake of nearly 25% stake in the Indonesian bank. Additionally, DIB was given the licence by the Central Bank of Kenya (CBK) to operate its subsidiary, DIB Kenya Ltd. DIB has been designated as D-SIB (Domestic Systemically Important Bank) in UAE. The acquisition of Noor Bank has solidified its position as a leading bank in the global Islamic finance industry. Recently, DIB has successfully acquired minority stake of 25% of T.O.M. Group which provides digital banking services in Türkiye. The bank’s ultimate goal is to make Islamic finance the norm, rather than an alternative to conventional banking worldwide. DIB has won a range of accolades that are testament to these efforts across diversified areas, including retail, corporate and investment banking, as well as CSR and consultancy services. DIB has been named the “Best Islamic Bank” in various prestigious ceremonies marking the bank’s leadership position in the Islamic finance sector. As a progressive Islamic financial institution, DIB embraces the opportunities and challenges associated with integrating sustainability into its business by delivering sustainable products and services and by advancing the green and social composition. 2025 marked DIB Golden Jubilee, with a Bold New Vision for the Future to be prepared to meet the challenges ahead and continue building a legacy of success for the years to come. For more information, please visit us at www.dib.ae