September 14, 2015

Indonesia lists world biggest sukuk in Dubai

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Monday 14 Sep 2015 - 17:32 Makkah mean time-1-12-1436

(Image from Khaleej Times)

Dubai, (IINA) - Indonesia listed on Sunday four sukuk valued at Dh22 billion, the largest ever carried out by a sovereign issuer on Nasdaq Dubai as Dubai further reinforced its position as the world's leading hub for Islamic economy, Khaleej Times reported.
Indonesia's Finance Minister Bambang Bodjonegoro, who rang the market-opening bell to celebrate the listing of the Islamic bonds, said it was an important step forward in further strengthening his country's ties with the UAE and the wider Middle East.
With the new listings, Dubai, which had already overtaken rival financial centres to become the world's leading sukuk hub in line with the goal set by the leadership, has boosted the listed nominal value of sukuk to Dh135 billion, with Nasdaq Dubai accounting for 93 percent of that amount.
Sunday's sukuk listings are the largest ever carried out by a sovereign issuer in Dubai, underscoring the Emirate's growth as the global capital of the Islamic economy.           
Bodjonegoro said Indonesia, the biggest Muslim nation with a total population of 255 million people, is a frequent sukuk issuer in the global market. "Since our international debut in 2009, we have issued global sukuk valued at 7.65 billion dollars," he said.
The minister note that the latest listings underlined importance of sukuk as a global sovereign financial tool for investment and development and strengthen confidence in Islamic finance regulatory environment in Dubai and the UAE.
For his part, Mohammad Abdulla Al Gergawi, the UAE Minister for Cabinet Affairs and Chairman of the Dubai Islamic Economy Development Centre, said the listing of the Indonesian sukuk was a milestone in the drive by Dubai to become the capital of the global Islamic economy. 
Gergawi said Sunday's listing would play a significant role in attracting further sukuk from around the world and further strengthen global confidence in Dubai as the capital of the Islamic economy. It will encourage more countries and corporations to utilize sukuk as a financial sovereign and investment tool in their development plans in the medium and long term.
Nasdaq Dubai attracted sukuk listings valued at $13.4 billion in 2014 and has added $12.6 billion so far in 2015.
SM/IINA

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