The Securities and Commodities Authority (SCA) has revealed that the cumulative value of green and sustainability-linked bonds and Sukuk recorded with the authority has reached approximately AED 15.45B in the first 11 months of 2023.
During COP28, Mohamed Ali Al Shorafa, Chairman of the SCA Board, commended the UAE’s dedication to a sustainability approach, aligning with the vision of the late founding father, Sheikh Zayed bin Sultan Al Nahyan, and the directives of the wise leadership, as he spoke to the Emirates News Agency (WAM).
Al Shorafa emphasised the authority’s decision to regulate the issuance of green and sustainability-linked bonds and Sukuk, stating, “Issuing green bonds and Sukuk is one of the transformational projects in supporting the efforts to make the UAE the new global economic hub for the next ten years.”
SCA’s Waiver of 2023 Registration Fees Sparks Surge in Demand for Green Bonds
Regarding the SCA’s choice to waive registration fees for 2023 for companies looking to list their green or sustainability-linked bonds or Sukuk in a local market, Al Shorafa noted, “marked a significant start in the growing demand for the issuance of these Sukuk and bonds.”
According to WAM, Dr. Maryam Al Suwaidi, CEO of SCA, emphasized that federal government entities signed performance agreements in 2022, covering the issuance of green bonds and Sukuk as one of the transformational projects.
In the presence of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President, Prime Minister, and Ruler of Dubai, these agreements represent forward-looking quality projects that will enhance the country’s competitiveness. The new government action model of the UAE government anticipates a substantial impact on all sectors in the short term through the implementation of transformational projects.
