UAE Central Bank says money supply aggregate increases by 0.1%

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ABU DHABI - The UAE Central Bank has announced that the Money Supply aggregate M1 increased by 0.1 percent, from AED485.6 billion at the end of December 2018 to AED486 billion at the end of January 2019.

The Money Supply aggregate M2 decreased by 0.2 percent, from AED1308.4 billion at the end of December 2018 to AED1305.5 billion at the end of January 2019.

The Money Supply aggregate M3 increased by 0.05 percent, from AED1602.3 billion at the end of December 2018 to AED1603.1 billion at the end of January 2019.

The increase in M1 was mainly due to an increase of AED0.6 billion in Currency in Circulation outside Banks, overshadowing an AED0.2 billion reduction in Monetary Deposits. The reduction in M2 was brought about by an AED3.3 billion reduction in Quasi-Monetary Deposits, dominating the increase in M1.

M3 mainly rose due to an AED3.7 billion increase in Government Deposits and an increased M1, overriding the reduction in M2.

Gross bank assets, including bankers’ acceptances, increased by 1.2 percent, rising from AED2878 billion at the end of December 2018 to AED2913.2 billion at the end of January 2019.

Gross credit also increased by 0.3 percent from AED1656.6 billion at the end of December 2018 to AED1662 billion at the end of January 2019.

During January 2019, total bank deposits fell by AED1 billion AED, due to AED0.1 billion and AED0.9 billion decreases in Resident Deposits and Non-Resident Deposits, respectively.