The UAE has secured AED1.1 billion ($300 million) through the auction of its first treasury bonds denominated in UAE dirhams since the outbreak of the US-Israel-Iran conflict.
Strong interest was recorded during the auction, with primary dealers placing substantial bids for the T-bonds set to mature in September 2027 and January 2031. Total bids reached AED4.9 billion, reflecting an oversubscription of 4.4 times, according to the finance ministry cited by the state-run WAM news agency.
The yield to maturity, representing the expected return for investors, was set at 3.73 percent for the tranche maturing in September 2027 and 3.85 percent for the tranche due in January 2031.
Officials from the ministry noted that the strong demand highlights sustained investor confidence in the UAE’s financial system and the resilience of its economy despite prevailing global market volatility.
The yields achieved indicate a relatively narrow spread of up to 16 basis points above comparable US Treasury securities at the time the bonds were issued.
The bonds will be listed on , enhancing investor participation and liquidity in the secondary market. The will act as the issuing and payment agent.
Earlier in February, the order book for a two-tranche US dollar bond issuance by surpassed $11 billion.
In October, the approved the federal budget for 2026, projecting revenues of AED92.4 billion alongside balanced expenditure at the same level.
Meanwhile, in July the UAE announced a federal allocation of AED900 billion for its 2027–2029 budget cycle, reinforcing long-term fiscal planning.
