The UAE banking sector injected AED 105.6 billion into the private sector during the first nine months of this year, increasing the total private sector credit by 8.5% to AED 1.34 trillion by the end of September, compared to AED 1.24 trillion at the end of last year, according to data from the Central Bank of the UAE.
Growth in Commercial, Industrial, and Personal Credit
- Commercial and Industrial Credit:
Credit to the commercial and industrial sectors grew by 6.1%, equivalent to AED 50.1 billion, reaching AED 872.5 billion. This includes AED 82.7 billion allocated to small and medium enterprises (SMEs). - Personal Credit:
Credit for individuals surged by 13.3%, an increase of AED 55.5 billion, totaling AED 473.3 billion by the end of September.
Banking Investments Expand
The UAE banks’ investments rose by 12.5% during the first nine months of the year, adding AED 79.3 billion to reach a total of AED 714.4 billion. These investments are distributed as follows:
- Debt Securities: AED 308.7 billion
- Held-to-Maturity Securities: AED 333.6 billion
- Other Investments: Remaining balance
Deposits See Significant Growth
Bank deposits recorded a 9.5% increase, exceeding AED 2.76 trillion. This includes AED 2.54 trillion in resident deposits and AED 213.5 billion in non-resident deposits. Additionally, banks’ reserves with the Central Bank rose by 14.1%, reaching AED 595.6 billion.
Strong Performance of National and Foreign Banks
- National Banks:
National banks grew their assets by 7.9%, reaching AED 3.89 trillion, while their total credit rose by 9%, hitting AED 1.99 trillion. - Foreign Banks:
Foreign banks’ assets increased by 9.7%, amounting to AED 507.1 billion, with credit growing by 3.5% to AED 172.7 billion.
Resilience of the UAE Banking Sector
The UAE’s banking sector surpassed total assets of AED 4.4 trillion, reflecting the robustness of the financial system and its critical role in supporting national economic growth.