ABU DHABI, 23rd January, 2023 (WAM) — The Central Bank of the United Arab Emirates (CBUAE) announced that Gross banks’ assets, including bankers’ acceptances, increased by 0.7 percent, rising from AED 3.615 trillion at the end of October 2022 to AED 3.639 trillion at the end of November 2022.
According to figures published in CBUAE’s November summary report on monetary and banking developments, gross credit rose by 0.5 percent from around AED 1.878 trillion at the end of October 2022 to around AED 1.887 trillion at the end of November 2022. Gross credit increased due to 0.8 percent rise in domestic credit, overriding the 1.7 percent reduction in foreign credit. Domestic credit grew because of 0.4 percent, 2.0 percent and 0.7 percent climbs in credit to the government sector, public sector (government related entities) and private sector, correspondingly; overriding the reduction in credit to the non-banking financial institutions by 3.8 percent.
Total bank deposits increased by 1.6 percent, mounting from around AED 2.204 trillion at the end of October 2022 to some AED 2.239 trillion at the end of November 2022. The growth was due to the rise in resident deposits by 2.5 percent, overshadowing the reduction in non-resident deposits by 6.2 percent. The deposits increased owing to 0.6 percent, 9.8 percent, 2.0 percent and 1.3 percent expansions in government sector deposits, public sector (government related entities) deposits, private sector deposits and non-banking financial institutions deposits, respectively.
The report also revealed that the monetary base expanded by 3.7 percent climbing from AED 468.8 billion at the end of October 2022 to AED 486.0 billion at the end of November 2022. The main drivers of this expansion were increases in currency issued and Banks & OFCs’ current accounts & overnight deposits of banks at CBUAE by 4.8 percent and 58.3 percent, respectively. Whereas, reserve account and certificates of deposit and monetary bills decreased by 23.7 percent and 1.9 percent, individually.
The Money Supply aggregate M1 increased by 0.9 percent (m-o-m) reaching AED729.7 billion at the end of November 2022. This was due to AED 1.7 billion and AED 4.9 billion rise in currency in circulation outside banks and in monetary deposits, respectively.
The Money Supply aggregate M2 ascended by 3.0 percent, from around AED 1.629 trillion at the end of October 2022 to around AED1.678 trillion at the end of November 2022. M2 swelled due to an improved M1 and an increase of AED 42.1billion in quasi-monetary deposits.
The Money Supply aggregate M3 also rose by 2.5 percent, from around AED 2.058 trillion at the end of October 2022 to around AED 2.110 trillion at the end of November 2022. M3 grew because of an increased M2 and AED 2.7 billion expansion in government deposits.
Stay connected with us on social media platform for instant update click here to join our Twitter, & Facebook
We are now on Telegram. Click here to join our channel (@TechiUpdate) and stay updated with the latest Technology headlines.
For all the latest Business News Click Here
