Abu Dhabi's Tourism Development & Investment Co (TDIC) has been assigned the top ratings for its $1.45 billion sukuk certificate issuance program by different rating agencies. TDIC has been empowered to issue up to $1.45 billion certificates (sukuk al-ijara) under the program.

TDIC Sukuk Ltd, a Cayman Islands-based special purpose vehicle for the implementation of program, is expected to reap the benefits of the high ratings. The proceeds from the certificates would be used to meet the capital needs of the musataha rights.

It has been assigned an AA rating by Fitch Ratings and Standard & Poor's for its Islamic bonds on preliminary basis, while Moody's gave it Aa2 for the same program. Standard & Poor's, in its upgraded government-related entity (GRE) criteria, believes that government of Abu Dhabi would definitely help TDIC, as it is the sole owner of the company, through the Abu Dhabi Tourism Authority (ADTA).

S&P said in a note, 'Although the Abu Dhabi government has not formally guaranteed TDIC's liabilities, the company has a high-profile policy role in diversifying the Abu Dhabi economy through its real estate and tourism activities.'

TDIC, set up in 2005 for developing tourism industry, has a large land bank in the country, making it one of the largest real estate developers in Abu Dhabi.