ABU DHABI (ALETIHAD)
The UAE banking sector’s gross assets increased by 1.3% to Dh5.7413 trillion at the end of August 2026, according to the latest data released by the Central Bank of the UAE (CBUAE).
Gross credit rose by Dh72.4 billion, or 2.6%, to Dh2.8714 trillion during the month. Domestic credit increased by 2.8% to Dh2.2688 trillion, contributing 2.2 percentage points to overall credit growth.
Foreign credit rose by 1.6% to Dh602.6 billion, contributing 0.3 percentage points. Credit to individuals increased by Dh34.4 billion, or 5.6%, contributing 1.6 percentage points to overall credit growth.
Lending to the corporate sector rose by Dh22.8 billion, or 2.4%, contributing one percentage point. Credit to the government increased by Dh7.2 billion, or 2.8%, contributing 0.3 percentage points.
Total bank deposits increased by 0.7%, from Dh3.5098 trillion at the end of July to Dh3.5348 trillion at the end of August.
Resident deposits rose by 1% to Dh3.2293 trillion, while non-resident deposits stood at Dh305.5 billion.
Private-sector deposits increased by 0.7% to Dh2.3615 trillion, while government-sector deposits rose by 3.5% to Dh461.1 billion. Each category contributed 0.5 percentage points to the increase in resident deposits.
Deposits by other financial corporations increased by 0.8% to Dh61.8 billion.
The UAE’s M1 money supply stood at Dh1.0389 trillion at the end of August. Currency in circulation outside banks increased by 2.1% to Dh162.6 billion, while monetary deposits stood at Dh876.3 billion.
M2 increased by 0.7% to Dh2.9199 trillion. The increase was mainly driven by a 1.4% rise in corporate deposits, which contributed 0.7 percentage points to M2 growth.
M3 also rose by 0.7% to Dh3.4656 trillion. Corporate deposits contributed 0.6 percentage points to the increase, while government deposits grew by 1% to Dh545.7 billion.
The monetary base expanded by 4.2% to Dh825.9 billion. Banks’ and other financial corporations’ current accounts and overnight deposits at the CBUAE increased by 66.9% to Dh156.1 billion, while currency issued rose by 1.1% to Dh184 billion.
M1 comprises currency in circulation outside banks and monetary deposits, including current accounts and call accounts at banks.
M2 comprises M1 plus quasi-monetary deposits, which include residents’ time and savings deposits in dirhams and their deposits in foreign currencies.
M3 comprises M2 plus government deposits held at banks operating in the UAE and at the CBUAE.