Nasdaq Dubai has recently welcomed a significant development in the Islamic finance sector with the listing of a $500 million Sukuk by The Arab Energy Fund. This marks the fund's third issuance on the exchange, further cementing its reputation as a leading multilateral impact financial institution.

The 10-year Sukuk, issued under the Trust Certificate Issuance Programme, carries a profit rate of 4.721% and has attracted robust investor demand, with an order book exceeding $1.6 billion. This level of interest highlights the broad participation from both regional and international investors, reflecting a strong confidence in The Arab Energy Fund's credit strength and long-term mandate.

The listing of this Sukuk also contributes to the depth and diversity of Nasdaq Dubai's Sukuk market. With the total outstanding value of Sukuk listed on the exchange now exceeding $104.9 billion, Nasdaq Dubai continues to reinforce its position as a leading venue for Islamic finance and international Sukuk listings.

Hamed Ali, CEO of Nasdaq Dubai and Dubai Financial Market (DFM), emphasized the significance of this listing, stating that it reflects continued confidence among supranational issuers in their international debt capital markets. This confidence is further underscored by The Arab Energy Fund's recent regulatory approval to issue onshore Renminbi-denominated Panda Bonds in China, marking a first for a multilateral financial institution in the MENA region.

Given the strong investor demand and the strategic moves by The Arab Energy Fund, this development could potentially attract more issuers to Nasdaq Dubai, further enhancing its role in the global Islamic finance market. Investors might consider holding onto their investments in Nasdaq Dubai, especially given the exchange's growing prominence and diversified issuer base.