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Home > Products > Debt Instruments

Debt Instruments

Owed to the vision of His Highness Sheikh Mohammed Bin Rashid Al Maktoum, Vice President of the UAE, Prime Minister and Ruler of Dubai, with his initiative to develop Dubai into The Capital of Islamic Economy and transform Dubai into a global Sukuk centre, the Dubai Financial Market (DFM) aims to realize this vision as one of the first Islamic capital markets in the world and continues steadfastly to operate according to Sharia principles with a dedicated Fatwa and Shari'a Supervisory Board.

As the Sukuk and bond market increases momentum globally on a significant scale, the Dubai capital markets have witnessed positive growth of Sukuk listings, providing an even wider choice of investments for local, regional and international investors. 

Sukuk (Islamic Bonds):

Dubai Financial Market (DFM) along with Nasdaq Dubai, offer a selection of Sukuk through a single trading platform, including Sukuk listed by equity issuers, government bodies and institutions. DFM and Nasdaq Dubai listed Sukuk are tradable on-exchange.  
 
Sukuk are bonds that are structured to comply with Shari’a principles. Unlike conventional bonds, they do not pay interest. Sukuk are based on collecting funds from their owners and investing them through appropriate financing and investment contracts. Immediate money is not offered to finance-seekers in exchange for future money; rather the dealings are conducted on assets, usufructs and financial rights.

Sukuk can be structured in a number of different ways to produce payments for investors. Structures include Sukuk Al Ijara, based on ownership of an asset; Sukuk Murabaha, based on ownership of a debt; Sukuk Al Musharaka, based on ownership of a business; and Sukuk Al Istithmar, based on ownership of an investment.

View the full list of Sukuk here.

Bonds:

Dubai Financial Market (DFM) along with Nasdaq Dubai offer a selection of bonds including bonds listed by equity issuers, government bodies and institutions.  DFM and Nasdaq Dubai listed bonds are tradable on-exchange.

Essentially, a bond is a debt instrument sold by companies or governments where the issuer of the bond undertakes to pay annual or semi-annual interest, known as a coupon, set in the issuing contract and written on the bond itself. The issuer also acknowledges its debt to the person or entity who owns the bond through the face value mentioned on the bond itself, and undertakes to amortize the bonds within the time limit agreed upon and known as the ‘maturity date’.
 
View the full list of Bonds here.

For information on how to trade on the market and its products, download the “How to Trade on DFM and Nasdaq Dubai” and the “DFM and Nasdaq Dubai Products & Services” online guides, or visit DFM Customer Service, DFM Trading Floor, World Trade Centre, Dubai, or a DFM-licensed or Nasdaq Dubai-licensed brokerage