Today's Edition
YOUSSEF AL BUSTANJI (ABU DHABI)
The net international reserves of the Central Bank of the UAE (CBUAE) increased by 30 percent during the year, equivalent to an increase of Dh175 billion, reaching their highest historical levels at Dh764 billion by the end of May 2024, compared to Dh589 billion by the end of May 2023, according to data issued on Monday by the CBUAE.
The data showed that the Central Bank maintains current accounts and bank deposits with banks abroad worth Dh529 billion, in addition to foreign investments worth Dh186 billion, a balance with the International Monetary Fund, and special drawing rights worth Dh14.6 billion, and other foreign assets worth Dh52 billion.
The data confirmed that the CBUAE increased its balance of gold bullion by nearly 20 percent, equivalent to an increase of Dh3.42 billion during the year, reaching Dh20.62 billion by the end of May 2024, compared to Dh17.2 billion by the end of May 2023.
The data indicated that the net international reserves of the banking sector increased by Dh288 billion during the year, equivalent to a growth of 30.4 percent, reaching Dh1.237 trillion by the end of May 2024 (equivalent to $337 billion), compared to Dh949 billion by the end of May 2023.
The increase in net international reserves at the CBUAE and the banking sector reflects the surplus in the country’s balance of payments.
This surplus results from the increase in the flow of foreign currencies to the local market, supported by new foreign direct investments, increased national commodity and service exports to foreign markets, and improved remittances.
These factors confirm the improvement in the competitiveness of the national economy in its trade and investment relations with foreign markets and reflect the increased confidence of consumers and the country’s trading partners in the UAE dirham.
On the other hand, the total balance of financial transfers in the country increased by Dh1.15 trillion, equivalent to a growth of 17 percent during the first five months of this year, reaching Dh7.9 trillion, compared to Dh6.75 trillion in the first five months of 2023.
Remittances by bank customers and consumers in the country increased by Dh454 billion during the first five months of 2024, equivalent to a growth of 18.3 percent, reaching Dh2.932 trillion, compared to Dh2.478 trillion in the corresponding period of 2023.
Transfers between banks operating in the country increased by Dh699 billion during the comparison period, equivalent to a growth of 16.4 percent, reaching Dh4.969 trillion in the first five months of 2024, compared to Dh4.27 trillion in the first five months of 2023.
The total balance of cheque clearing in the country also increased by 5.85 percent during the year, equivalent to an increase in the value of cheques that entered the clearing system by about Dh30.1 billion, reaching Dh544.5 billion in the first five months of 2024 compared to Dh514.4 billion in the first five months of 2023.
