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Real estate secures Dh306.6b financing

The UAE Central Bank figures revealed that real estate received the highest funding from banks, reaching around Dh306.6 billion, an increase of Dh8.5 billion compared to 2017-end, reflecting how it is still one of the fastest growing sectors in the country.
The real estate sector made up 6.4 per cent of the country's non-oil GDP and its overall value reached Dh81.2 billion in 2017, compared to Dh79 billion in 2016.
The trade sector, both wholesale and retail, also witnessed considerable activity since the start of 2018, and it received around Dh157 billion from banks till the end of June, an increase of Dh4.5 billion compared to last December. This sector made up 16.6 per cent of the country's non-oil GDP at the end of 2017.
The situation is similar for the water and electricity sector, which received funding valued at Dh1 billion, raising its total funding to Dh17.7 billion at the end of June, compared to Dh16.7 billion in December 2017.
The statistics also highlight a rise in the contribution of the water and electricity sector to the country's non-oil GDP to 4.6 per cent in 2017.
UAE banks funded the mining and quarrying sector with around Dh800 million during the first six months of the current year, which raised its total funding to Dh12.9 billion while the funding total of financial institutions rose to Dh129 billion, an increase of Dh1.5 billion over the same period last year.
The banks are also offering personal funding for commercial purposes, totalling Dh3.2 billion, raising the total to Dh83.2 billion since the end of June.
The UAE is a leading country in diversifying its economic base, as the contribution of its non-oil sectors rose to 77.7 per cent in 2017 while those of its oil sectors declined to 22.3 per cent.
- waheedabbas@khaleejtimes.com