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Dubai Islamic Bank : DIB Arranges Landmark US$1 Billion Sovereign Financing for the Government of Pakistan in Collaboration with Regional and International Financial Institutions
Dubai Islamic Bank : DIB Arranges Landmark US$1 Billion Sovereign Financing for the Government of Pakistan in Collaboration with Regional and International
About this update from Dubai Islamic Bank Pjsc
[{"type":"text","content":"\n Five-year syndicated facility partially guaranteed by an ADB Policy-Based Guarantee\n \n \n DIB acted as Sole Islamic Global Coordinator; DIB and Standard Chartered acted as Joint Mandated Lead Arrangers and Bookrunners; Other financiers include Abu Dhabi Islamic Bank (ADIB) as the Mandated Lead Arranger and Ajman Bank, Sharjah Islamic Bank and HBL as Arrangers.\n \n \n Strong participation from Islamic banks, with Islamic tranche representing 89% of total US$1 billion facility.\n \n DIB, the world's first Islamic bank and the largest in the UAE, has announced the successful completion of a landmark US$1 billion syndicated term-finance facility for the Government of Pakistan, arranged in collaboration with a consortium of regional and international financial institutions. The five-year facility is an innovative transaction, partially guaranteed by a Policy-Based Guarantee (PBG) from the Asian Development Bank (ADB) - marking the first PBG transaction of its kind undertaken by ADB for the country.\n \n \n The Islamic tranche, structured as an AAOIFI-compliant Commodity Murabaha, represents approximately 89% of the total facility which reflects the growing demand for Shariah-based financing and supports Pakistan's strategic objective of expanding Islamic finance.\n \n \n DIB acted as the Sole Islamic Global Coordinator and alongside Standard Chartered also served as the Joint Mandated Lead Arranger and Bookrunner. Other leading Islamic banks from the region included Abu Dhabi Islamic Bank, Ajman Bank and Sharjah Islamic Bank.\n Minister of Finance, Government of Pakistan Mr. Muhammad Aurangzeb, stated that: \"This landmark financing arrangement not only underscores the strong confidence of regional and international financial institutions in Pakistan's economic reform trajectory, but also marks an important step in expanding our access to innovative and Shariah-compliant funding solutions. We deeply value the role of partners like DIB and ADB in supporting our efforts to ensure macroeconomic stability and sustainable growth.\"<\n Dr. Adnan Chilwan, Group Chief Executive Officer, DIB, commented: \"This transaction marks a key milestone in demonstrating how Sharia-compliant financing can be scaled effectively to meet sovereign objectives while upholding partnership and prudence. DIB is delighted to have re-introduced Pakistan'...