Dubai Islamic Bank (DIB), the world’s first full-service Islamic bank and the UAE’s largest, has successfully executed Turkish Airlines’ first-ever Islamic aircraft financing transaction, marking a pivotal milestone in Shariah-compliant cross-border finance.
The deal sees DIB financing the acquisition of a new Airbus A350-941 for Turkish Airlines, structured through a 12-year Islamic lease (Ijarah), introducing fully Shariah-compliant structures to the Turkish national carrier’s funding portfolio.
Major Milestone in Cross-Border Islamic Finance
This collaboration underscores DIB’s continued leadership in advancing Islamic financial solutions beyond regional boundaries. The transaction demonstrates the increasing global relevance of Shariah-compliant structures in capital-intensive industries such as aviation.
Dr. Adnan Chilwan, Group CEO of DIB, stated,
“At a time when global markets are rethinking the foundations of sustainable finance, this transaction sends a clear signal that Islamic finance is no longer a niche; it is a resilient and globally relevant financial structure for the future.
For Turkish Airlines to embrace Shariah-compliant financing for the first time and to choose DIB as their Islamic finance provider reflects both the strength of our principles and the confidence they have placed in our capabilities.”
He added that the collaboration not only supports Turkish Airlines’ fleet expansion but also deepens economic ties between the UAE and Turkey, built on mutual ambition and cooperation.
Turkish Airlines Embraces Financial Innovation
With this financing arrangement, Turkish Airlines adds a new chapter to its growth story by incorporating Islamic finance into its capital strategy. The airline, one of the world’s largest with a fleet of 490 aircraft operating across 131 countries, is strengthening its funding resilience through diversification.
Prof. Ahmet Bolat, Chairman of the Board and Executive Committee at Turkish Airlines, commented,
“This transaction demonstrates our commitment to financial innovation and strengthening our fleet while also marking a new chapter in our cooperation with leading institutions in the UAE and the broader Gulf region.
We are pleased to have completed this landmark financing in collaboration with DIB and look forward to building on this partnership in the future.”
The signing ceremony took place in Istanbul, attended by senior leaders from both institutions, including Dr. Chilwan, Prof. Bolat, and Prof. Murat Şeker, Turkish Airlines’ CFO and Member of the Board.
Reinforcing DIB’s Global Position in Islamic Finance
This strategic agreement highlights DIB’s role as a trusted enabler of sophisticated, Shariah-compliant financing for global clients. With assets exceeding US$95 billion and a market capitalisation of over US$14 billion, DIB continues to shape the future of ethical finance across sectors and borders.
The deal also reflects a broader trend of GCC financial institutions expanding their footprint in emerging and developed markets alike, offering alternatives that align with sustainable and religiously guided economic principles.
By facilitating this landmark transaction, DIB reinforces its leadership in Islamic finance while supporting Turkish Airlines in navigating new funding pathways for its long-term strategic goals.
