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01 Jul, 2020Nasdaq Dubai welcomes listings of three Sukuk valued at USD 2.5 billion by Indonesian government

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  • The Sukuk supporting the development of Indonesia achieved nearly 6.7 times subscription

  • One Sukuk is a green issuance, further expanding exchange’s leadership role in ESG sector

  • Indonesia is largest Sukuk issuer on exchange with USD 17.5 billion from 14 issuances

Nasdaq Dubai has welcomed the listing of three Sukuk issued by the government of Indonesia with a total value of 2.5 billion US dollars. The Sukuk achieved nearly 6.7 times subscription by investors, including international investors in Asian and Middle East countries.

The listings comprise a 10-year issuance of one billion US dollars and two issuances of 750 million US dollars each, one of a five-year maturity and the other for 30 years. The capital raised will fund the economic and social development of Indonesia.

The five-year 750 million US dollar Sukuk is a green issuance that is earmarked for sustainable development projects.

Indonesia now has three green Sukuk listings on Nasdaq Dubai, including the world’s first sovereign green Sukuk issuance of 1.25 billion US dollars that listed in March 2018.

Abdul Wahed Al Fahim, Chairman of Nasdaq Dubai, said: "Nasdaq Dubai is strengthening its support for the Sukuk sector through outreach initiatives in our region and internationally to issuers who can benefit from the high global profile that the exchange provides. We are preparing for a wide range of new listings in coming months, drawing on our close relationships within the Islamic capital markets."

Hamed Ali, Chief Executive of Nasdaq Dubai, said: "Dubai’s longstanding capital markets partnership with Indonesia supports the economic development of both nations and the growth of the Sharia’a-compliant financial markets across the world. As we increase our focus on promoting financial markets activity in the sustainable sector, we are delighted to welcome Indonesia’s latest green Sukuk together with its other listings."

Nasdaq Dubai now hosts six green and one sustainable Sukuk with a total value of 6.55 billion US dollars, underlining its leading regional role in the Environmental, Social and Governance (ESG) sector.

The Indonesian government is the largest Sukuk issuer on Nasdaq Dubai by both value and number of listings, with securities totalling 17.5 billion US dollars from 14 issuances. The latest three Indonesian government Sukuk listings took place on June 23, 2020.

Indonesia’s green Sukuk framework is rated Medium Green by CICERO.