The Ministry of Finance has signed a third agreement under the “Individual Sukuk” initiative with Emirates Islamic, a leading Islamic financial institution in the UAE. This partnership aims to facilitate investment opportunities for citizens and residents in government Islamic treasury sukuk through an innovative digital platform.
The initiative allows individuals in the United Arab Emirates to invest in government Islamic treasury sukuk in small denominations, starting from a minimum of 4,000 dirhams, via the EI+ mobile banking application. Investors will benefit from a seamless and secure digital experience, aligning with the Ministry’s goals of broadening the investor base and enhancing financial inclusion within the country.
This initiative seeks to increase access to Islamic treasury sukuk, promote financial literacy, and instill a culture of saving and financial responsibility, which are essential components for long-term financial sustainability in the UAE.
The platform facilitates electronic registration for investors holding an Emirates ID or UAE PASS, allowing them to fulfill Know Your Customer (KYC) requirements and create risk profiles directly through digital channels. Additionally, users can clearly view sukuk terms and transaction details with transparency.
Establishing Financial Sustainability
Mariam Mohammed Al Amiri, Assistant Undersecretary for Government Financial Management at the Ministry of Finance, stated, “Collaborating with Emirates Islamic marks a significant step in expanding the Ministry’s national initiatives that provide individuals with direct access to government financial tools via secure and advanced digital channels. The involvement of leading national institutions in the Individual Sukuk initiative supports our efforts to promote financial inclusion and empower community members to access stable, government-backed investment tools.”
She further added, “The initiative contributes to embedding a culture of sustainable saving and investing among citizens and residents, while also fostering the development of the Islamic finance sector and supporting the growth of local capital markets. By expanding institutional participation in providing secure and transparent financial products, we lay the groundwork for financial sustainability and contribute to supporting vital sectors and sustainable economic growth in the UAE.”
Encouraging Innovation
Fathi Al Mulla, CEO of Emirates Islamic, commented, “We are proud to partner with the Ministry of Finance on the Individual Sukuk initiative, which reaffirms our standing as a leading bank compliant with Sharia principles in the UAE. Offering Islamic treasury sukuk to individual investors through the EI+ mobile banking application underscores our commitment to fostering innovation in the field of Islamic finance.”
Meanwhile, Mohammad Kamran Wajid, Deputy CEO at Emirates Islamic, stated, “The Ministry of Finance’s Individual Sukuk initiative is a pioneering innovation that aligns with our approach at Emirates Islamic. We consistently strive to introduce advanced products that cater to the evolving needs of individual investors, enabling them to build their wealth in compliance with Sharia principles.”
Broader Partnership Framework
All Islamic treasury sukuk issued by the Ministry of Finance will be listed on the Emirates Islamic platform. This bank provides an easy process for investors to subscribe or trade by offering sovereign financial instruments either through initial allocations or transactions in the secondary market. Additionally, Emirates Islamic will organize financial awareness and education sessions, offer a dedicated section for frequently asked questions, and conduct regular surveys to gather investor feedback ensuring a transparent and user-friendly investment experience.