UAE bank deposits grow 0.7% in August to $524bln

Around $3.7bln added to accounts held in UAE banks in just one month

UAE dirhams. Image used for illustrative purpose.

UAE dirhams. Image used for illustrative purpose.

Getty Images

Around 13.5 billion dirhams ($3.7 billion) landed in deposit accounts of the banks in the UAE in just one month, increasing the total deposits to 1.928 trillion dirhams in August, the latest data from the UAE Central Bank showed. 

The total deposits as of August were 0.7 percent higher than the 1.915 trillion dirhams recorded at the end of July 2021. The growth was due to the increase in resident and non-resident deposits, the banking authority said in its latest report. 

Gross credit also climbed 0.2 percent to 1.771 trillion dirhams over the same period. The increase was due to the 0.3 percent rise in domestic credit, which overshadowed the 0.8 fall in foreign credit. 

However, gross banking assets, which include bankers’ acceptances, fell by 0.2 percent to 3.2 trillion dirhams in August. 

The UAE’s money supply (M1), which includes currency in circulation outside banks, as well as current accounts at banks, expanded to 661.1 billion dirhams in August, up by 1.1 percent from 653.9 billion at the end of July. 

The money supply aggregate M2, which includes currency in circulation and monetary deposits, including resident time and saving deposits in dirhams, and resident deposits in foreign currencies, jumped by 0.7 percent to 1.487 trillion dirhams. 

The M3 money supply, which includes currency in circulation, resident deposits and government deposits at banks operating in the UAE, as well as the central bank, grew by 0.3 percent to 1.78 trillion dirhams. 

(Writing by Cleofe Maceda; editing by Seban Scaria ) 

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© ZAWYA 2021

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