The Dar es Salaam Stock Exchange Dar es Salaam Stock Exchange (DSE), in collaboration with the Government of Uganda through the Ministry of Finance, Planning and Economic Development Ministry of Finance, Planning and Economic Development (Uganda) and Yusra Sukuk Company Limited Yusra Sukuk Company Limited, has hosted the Uganda Sovereign Sukuk Roadshow in Dar es Salaam, aimed at strengthening regional financial cooperation and expanding Islamic capital market participation across East Africa.
The engagement brought together investors, financial institutions, capital market regulators and development partners to explore opportunities within Shariah-compliant financing instruments, while deepening cross-border investment linkages in the region.
At the centre of the discussions was the Uganda Infrastructure Sovereign Sukuk valued at €205 million, with an additional €30 million Green Shoe Option, forming part of a broader €495 million Sukuk issuance programme designed to support key infrastructure development projects in Uganda.
Speaking during the event, Uganda’s Deputy Permanent Secretary in the Ministry of Finance, Planning and Economic Development, Mr. Patrick Ocailap, said the Sukuk initiative is part of the government’s strategy to diversify financing sources beyond conventional borrowing while attracting both regional and international investors.
He noted that Islamic finance instruments such as Sukuk are increasingly becoming a viable option for funding large-scale infrastructure projects due to their transparency, risk-sharing structure, and growing global investor demand.
The Sukuk is structured as an asset-backed and tradable financial instrument, offering investors enhanced security and flexibility.
It is also supported by Takaful insurance arrangements, which safeguard coupon payments and redemption obligations, further strengthening investor confidence in the instrument.
In addition, the issuance is undergoing a rating process by the International Islamic Rating Agency (IIRA), a step expected to enhance its credibility and market attractiveness once completed.
The Government of Uganda has also introduced tax exemptions on investor returns, a move aimed at improving the competitiveness of the Sukuk in both regional and international markets.
DSE officials emphasized that the roadshow reflects the exchange’s continued commitment to positioning Tanzania as a regional hub for capital markets and investment facilitation.
They noted that such initiatives also contribute to expanding financial inclusion and diversifying investment products available to East African investors.
Market participants attending the session highlighted the importance of deepening awareness of Islamic capital markets, noting that Sukuk instruments present an alternative financing model that aligns with ethical investment principles while supporting infrastructure development needs across the region.
The event also provided a platform for stakeholders to exchange views on strengthening regulatory cooperation, improving cross-border investment flows, and developing a more integrated East African financial market ecosystem.
The initiative underscores the growing relevance of Islamic finance in East Africa, as governments and private sector players increasingly turn to Sukuk and other Shariah-compliant instruments to mobilize long-term capital for development projects.
