DIB has finalised an aircraft financing deal with Turkish Airlines, marking the first Islamic aircraft finance transaction to aid the airline's growth.
The transaction opens the door for Shariah-compliant structures to act as a catalyst for growth within one of the most well-known airline fleets in the world.
The agreement is an important step in DIB's efforts to increase the global reach of Islamic finance. By facilitating one of the world’s premier airlines in adopting a fully Shariah-compliant financing framework, DIB reinforces the credibility and adaptability of Islamic finance in executing intricate cross-border funding arrangements.
This transaction represents Turkish Airlines' inaugural foray into Islamic finance-backed aircraft financing, incorporating Shariah-compliant structures into its funding strategy as part of a wider diversification initiative. DIB served as the financier for the acquisition and integration of a new Airbus A350-941 into the Turkish Airlines fleet, with the transaction structured as a 12-year Islamic finance lease (Ijarah).
DIB officials declared that at a time when global markets are rethinking the foundations of sustainable finance, this transaction sends a signal that Islamic finance is no longer a niche, but it’s a resilient and globally relevant financial structure for the future.
Furthermore, Turkish Airlines representatives stated that this transaction highlights the company’s dedication to financial transformation and the enhancement of the fleet, while also signifying a new phase in collaboration with institutions in the UAE and the wider Gulf region.
Other developments from DIB
In July 2025, DIB announced the completion of a USD 1 billion syndicated term-finance facility for the Government of Pakistan (GoP), arranged in collaboration with a consortium of regional and international financial institutions. This five-year facility was partially backed by a Policy-Based Guarantee (PBG) from the Asian Development Bank (ADB), marking one of the first PBG transactions of its kind for the country.
The Islamic tranche, structured as an AAOIFI-compliant Commodity Murabaha, accounted for approximately 89% of the total facility. This reflected the growing demand for Shariah-compliant financing and supported Pakistan’s strategic initiative to expand its Islamic finance sector.
