UAE Banking Sector Surpasses AED500 Billion Milestone

In July 2024, UAE banks' capital and reserves surpassed AED500 billion, marking a 10.5% year-on-year growth. National banks contributed 86.3%, with foreign banks playing a notable role. This achievement underscores the sector's strength and its crucial role in the nation's economic stability.

In a historic achievement for the United Arab Emirates (UAE) banking sector, the combined capital and reserves of banks operating in the country surpassed AED500 billion for the first time this July, according to data from the Central Bank of the UAE (CBUAE).

The sector experienced a significant year-on-year growth of 10.5%, with figures rising from AED454.9 billion in July 2023 to AED502.6 billion in July 2024. The CBUAE report indicates a growth of approximately AED13.3 billion in the first seven months of 2024 alone, excluding subordinated borrowings and deposits but including current-year profits.

National banks have a predominant presence, constituting 86.3% of the total capital and reserves at AED433.7 billion by July 2024, while foreign banks contributed 13.7% with AED68.9 billion. This financial milestone emphasizes the robust and resilient nature of the UAE's banking sector as a pivotal element in the nation's economic development.

(With inputs from agencies.)