Gross banks' assets reach Dh4.378 trillion by August-End: CBUAE

The Central Bank of the UAE (CBUAE) on Wednesday announced that gross banks’ assets, including bankers’ acceptances, increased by 0.7 per cent from Dh4,348.6 billion at the end of July 2024 to Dh4,378.0 billion at the end of August 2024.

In its Monetary and Banking Developments for August 2024, the Central Bank said that gross credit increased by 0.5 per cent from Dh2.102 trillion at the end of July 2024 to Dh2.112 trillion at the end of August 2024.

Gross credit increased due to increases in domestic credit by 0.5 per cent and foreign credit by 0.8 per cent.

Domestic credit expansion was primarily due to increase in credit to the private sector by 0.8 per cent, overriding the reductions in credit to the public sector (government related entities) by 0.3 per cent and the non-banking financial institutions by 3.0 per cent. Credit to the government sector remained constant during August 2024.

Banks’ deposits increased by 0.2 per cent, from Dh2.736 trillion at the end of July 2024 to Dh2.74 trillion at the end of August 2024. The growth in total bank deposits was the result of the rise in resident deposits by 0.8 per cent, overshadowing the decrease in the non-resident deposits by 6.4 per cent.

Resident deposits grew as a result of increases in government sector deposits by 2.6 per cent, in private sector deposits by 1.2 per cent and in non-banking financial institutions deposits by 4.2 per cent, overriding the decrease in government related entities deposits by 5.9 per cent.

The growth in the monetary base was driven by increases in; currency issued by 0.6 per cent, reserve account by 6.2 per cent and monetary bills & Islamic certificates of deposit by 6.1 per cent, overriding the reduction in banks & OFCs’ current accounts and overnight deposits of banks at CBUAE by 10.2 per cent.