DASHBOARD | Dubai Debt Market
The Next Step
Forward
The UAE remains the largest bond market in the GCC in terms of issuance with around USD 19 billion of new bond issuances in 2013,
representing a 41% market share of total new issuances in the GCC. In addition, Dubai accounted for about 72% of the total bond
issuances in the UAE in 2014 and has become the world leader in the Islamic bond industry overcoming other Islamic debt markets
with a $36.7 billion nominal value of listed Sukuk in 2014. Nevertheless, the UAE lags behind other GCC countries in terms of total debt
issuances (rather than bond issuance only) given that the central bank of UAE does not currently issue other type of debt products,
such as treasury bills, notes and Sukuk denominated in local currencies.
Bond issuances in
Dubai by sector in 2013
Bond issuance by entity type in the UAE
37%
33%
32%
27%
36%
35% 35%
26%
26%
26%
Government
and GREs
74%
Banks and
DIFC corporates
5%
4%
Q4 2014
Sovereign bonds
4%
Q1 2015
Banks
Other financial corporations
Q2 2015
Non-financial corporations
Issuances in
Dubai by currency
0.2%
2.1%
54
Issuances in Dubai represented about 72% of total bond issuances in the UAE in 2014,
of which issuances by banks and DIFC corporates comprised approximately 74% as
opposed to 26% issuances by the Government and GREs. Moreover, approximately 58%
of these new issuances were denominated in USD followed by CHF (22%) and EUR
(17%), while the issuances in AED represented just 0.2% of the total debt issuances.
58.8%
17.0%
21.9%
USD
CHF
EUR
AED
www.wealth-monitor.com | April 2016
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