First Abu Dhabi Bank (FAB) has entered into a partnership with the Abu Dhabi Housing Authority (ADHA) to offer subsidised Islamic home loans to eligible Emirati citizens. The collaboration, facilitated through FAB’s Islamic and National Housing Loan divisions, is designed to support government initiatives aimed at increasing sustainable homeownership and enhancing family financial stability.
The new service aligns with the UAE’s “Year of Community” initiative by providing comprehensive digital housing solutions. Eligible customers can access secured FAB National Housing Loans, along with additional Shari’ah-compliant financing from FAB Islamic. Profit rates start at 3.89% fixed for five years.
Under the agreement, the Abu Dhabi government will subsidise 50% of the profit rate on additional Islamic home financing up to AED 500,000. Financing above this amount will be offered at competitive market rates.
Jasim Al Hammadi, Director of Loans and Benefits at ADHA, stated: “At the Abu Dhabi Housing Authority, we are committed to empowering UAE Nationals to choose homes that meet their needs by providing housing finance solutions tailored to the diverse requirements of Emirati families. Through this partnership, First Abu Dhabi Bank offers additional home finance solutions above the AED 1.75 million housing loan amount, for those who wish to apply, with 50% government-supported profit rates. This reflects the Authority’s dedication to offering solutions and benefits that meet citizens’ needs and promote long-term family stability.”
FAB says that eligible customers will also have access to value-added benefits such as direct support from relationship managers at dedicated home finance centers and a responsive after-sales team. The application process is fully digital via the FAB NHL app using UAE PASS credentials.
Fahad Al Shaer, Head of FAB Islamic said: “FAB Islamic remains committed to building strong community partnerships and delivering market-leading Islamic banking solutions that enable more Emiratis to own, build, or renovate their homes with confidence. Our collaboration with ADHA builds on this commitment, offering a simplified and Shari’ah-compliant home financing solution that supports the UAE’s vision for community empowerment. Through this service, we are proud to provide Emirati families with greater financial flexibility, dignity, and peace of mind as they invest in their future homes and create a successful future.”
Customers may partially settle their finances during any period without penalty; competitive rates remain even for amounts exceeding AED 500,000. New clients transferring their salary or obtaining a FAB Emirati Islamic Credit Card are eligible for cashback rewards and fee waivers in their first year.
Khaled Alzaabi, Head of FAB National Housing Loans added: “Our collaboration with ADHA reflects our continued efforts to enhance housing solutions that directly serve the needs of Emirati citizens. By subsidising the profit rate on additional Islamic home financing and strengthening strategical partnerships with trusted suppliers, this solution aims to ease financial pressures and contribute to greater family stability supporting our goal of a more inclusive and empowered community.”
