Practice summary
Our team of specialised Islamic finance lawyers has developed and implemented best practices for a diverse range of services, and has been at the forefront of financial techniques utilising Sharia-compliant structures. We advise UAE and regional banks, sovereign and corporate issuers, sponsors, fund managers and Takaful operators on transactions that need to satisfy the most rigorous Sharia governance — without losing sight of commercial reality.
With a deep understanding of Sukuk issuances, Murabaha, Takaful deals and other contracts and structures, our attorneys have established a strong track record of advising clients across a wide range of industries on Islamic finance matters, including financing and refinancing. We have a thorough grasp of the nuances of Islamic legal principles — both conventional and religious — and are well-equipped to provide expert guidance on these complex issues.
The key takeaway
Sharia compliance is structural, not cosmetic. The single most expensive mistake in Islamic finance is to start with a conventional template and re-label it; the structure must originate from a Sharia-compliant economic transaction (lease, sale, agency) — not be retrofitted to one.
Our expertise
How we work
Sharia-board fluency
Sharia approval is not a stamp at the end of a deal — it is a structural input from day one. We work directly with the leading Sharia Supervisory Boards regionally and internationally, and we draft documents to be fatwa-ready, compressing the SSB review cycle and avoiding the late-stage structural rewrites that delay issuances.
Hybrid and parallel structures
Many of the most consequential UAE finance transactions today combine Islamic and conventional tranches — sponsors want access to both investor pools without bifurcating the security package. We structure parallel-tranche, common-security architectures that respect the integrity of each tranche while harmonising the intercreditor mechanics.
Listing and post-issuance
For listed sukuk, we coordinate with the SCA, Nasdaq Dubai or ADX, the trustee and the rating agencies to deliver issuance on schedule. Post-issuance, we advise on amendment processes, exchange offers, distress events and dissolution mechanics — all of which require parallel Sharia-board approval to maintain the certification.
Frequently asked questions
What Islamic finance instruments do you advise on?
The full menu — Sukuk (Ijarah, Mudaraba, Wakala and hybrid), Murabaha, Ijarah and IMB leasing, Mudaraba and Wakala investment management, Salam and Istisna'a, Diminishing Musharaka, Tawarruq and Takaful. Single-instrument and complex hybrid transactions.
How is Sharia compliance certified on a transaction?
Through a fatwa issued by an independent Sharia Supervisory Board (typically three or more recognised scholars). The SSB reviews structure, contracts and flow of funds to confirm AAOIFI compliance and HSA alignment. We draft documents in a structure-friendly form so the fatwa process accelerates rather than delays.
Can Islamic and conventional tranches sit in the same financing?
Yes — and we structure these regularly. The challenge is to ensure the Islamic tranche has independent commercial rationale (asset purchase, lease, agency) rather than functioning as a synthetic loan, and that intercreditor architecture respects each tranche's integrity.
What is the role of the UAE Higher Sharia Authority?
The HSA, under the UAE Central Bank, sets minimum Sharia governance standards for licensed Islamic financial institutions, approves SSB constitutional documents, issues sector-wide standards (often AAOIFI-aligned), and resolves Sharia governance disputes.
How are Sukuk listed and issued in the UAE?
Through an SPV (DIFC, ADGM or Cayman) issuing certificates of beneficial interest in an underlying asset pool. The SPV enters the Sharia-compliant contract with the originator. UAE listings on Nasdaq Dubai or ADX involve SCA coordination. We've advised from debut regional issuances to multi-billion benchmark sukuk.
Are real estate and project finance deals commonly Sharia-compliant in the UAE?
Yes. UAE real-estate finance widely uses Diminishing Musharaka and IMB. Project finance uses Istisna'a and Ijarah, often combined with conventional tranches. We routinely advise on property and project-finance mandates with single-tranche Islamic or hybrid Islamic-conventional combinations.
Last updated: 28 April 2026. General information only — not legal advice. Contact us for matter-specific advice.