Nasdaq Dubai lists UAE sovereign bonds
Global books to the UAE debt issue peaked at $22.5 b
The listing of UAE sovereign bonds on Nasdaq Dubai was marked by the ringing of the market-opening bell by Mohammed bin Hadi Al Hussaini, Minister of State for Financial Affairs yesterday.
The sovereign bonds package — which is the first of its kind to be issued by the UAE Government — raised $4 billion, with the Ministry of Finance representing the UAE government in this issuance.
The bell ringing was attended by Essa Kazim, Governor of the Dubai International Financial Centre (DIFC) and Chairman of the Dubai Financial Market (DFM); Younis Haji Al Khoori, Undersecretary of Ministry of Finance; Hamed Ali, CEO of Nasdaq Dubai and Deputy CEO of the DFM; Saeed Rashid Al Yateem, Assistant Under Secretary of the Resource and Budget Sector at the Ministry of Finance; Mariam
Al Amiri, Undersecretary, Financial Management Sector; and senior officials from both parties.
“The UAE has recorded an unprecedented achievement in issuing these bonds, which came in accordance with the UAE government’s strategy that has firm objectives and directives, and prioritises the prosperity of the UAE people. This issuance coincides with the adoption of the largest budget in the history of the UAE, thereby reaffirming the country’s strong and balanced economy,” said Al Hussaini.
Three tranches
The US dollar-denominated multi-tranche sovereign bonds are comprised of three tranches: a 10-year tranche, a 20-year tranche, in addition to a 40-year dual-listed Formosa tranche. The bonds captured the demand of international and regional investors.
Global books peaked at over $22.5 billion, representing a 5.6 per cent oversubscription. .
“The (bond) issuances shall give more momentum to UAE’s development efforts,” said Essa Kazim.