The UAE Central Bank has reported a significant increase in its foreign assets, with a boost of Dh176 billion over the course of a year, from April 2023 to the end of April 2024. Foreign assets saw a 2.55% surge in April alone, reaching Dh750.29 billion by the end of the month, compared to Dh731.62 billion at the end of March. Bank balances and deposits with foreign banks also rose to Dh508.78 billion in April, up from Dh489.31 billion in March. The value of foreign securities and other foreign assets also saw an increase during this period.
The Central Bank of the UAE’s balance sheet posted a 25% year-on-year jump to reach a record Dh789.82 billion in April 2024, marking the first time in its history. The balance sheet increased by 9.6% in the first four months of the year, with asset allocations including cash and bank balances, investments, deposits, loans and advances, and other assets. On the liabilities and capital side, the balance sheet comprised current and deposit accounts, monetary bills, issued banknotes and coins, capital and reserves, and other liabilities.
Total investments by banks operating in the UAE continued to rise steadily, reaching Dh666.2 billion at the end of April 2024, showing growth on a monthly basis and since the beginning of the year. Investments included debt securities, equities, held to maturity securities, and other investments. Gross banks’ assets, including bankers’ acceptances, increased by 1.0% from the end of March to the end of April, with gross credit also growing by 0.8% during the same period.
The CBUAE’s monetary deposits increased by over 1.74% in April, with government deposits rising to Dh508.8 billion and quasi-monetary deposits settling at Dh1.256 trillion. Currency issued reached Dh146.8 billion in April, with currency circulated outside banks totaling Dh128.4 billion. The monetary base expanded by 1.5% to Dh714.3 billion, comprising currency issued, reserve account, current accounts in banks and OFCs, and certificates of deposit and monetary bills.
Overall, the Central Bank of the UAE has shown significant growth in its foreign assets, balance sheet, investments, and credit activity in the first four months of 2024. These figures indicate a positive trend in the UAE’s financial sector, pointing towards a stable and expanding economy. With a focus on prudent financial management and strategic investments, the CBUAE continues to strengthen its position as a key player in the country’s financial landscape.
