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Total banking sector assets in the UAE, including bankers’ acceptances, rose by 0.6 per cent month-on-month to exceed Dhs4.749tn at the end of April 2025, up from approximately Dhs4.719tn in March, according to the Central Bank of the UAE (CBUAE).
Total bank credit rose by 0.9 per cent to surpass Dhs2.259tn, compared to Dhs2.240tn a month earlier.
The rise was driven by an increase of Dhs12.3bn in domestic credit and Dhs7.1bn in foreign credit.
Domestic credit expanded due to a 0.7 per cent increase in lending to the government sector, 1.2 per cent to the public sector (government-related entities), and 0.6 per cent to the private sector.
In contrast, credit to non-banking financial institutions fell 4.3 per cent.
Banking deposits in total
Total bank deposits also rose 1 per cent month-on-month to exceed Dhs2.965tn, compared to Dhs2.936tn in March.
This was driven by a 0.1 per cent rise in resident deposits to over Dhs2.689tn, alongside a 10.9 per cent jump in non-resident deposits to Dhs275.6bn.
Within resident deposits, government sector deposits climbed 0.9 per cent, and private sector deposits rose 1.1 per cent. Deposits from non-banking financial institutions dropped 9.2 per cent, while those from government-related entities decreased 6.5 per cent.
The monetary aggregate M1 grew 2.6 per cent to reach Dhs1.0119tn in April, from Dhs986.2bn in March. This was driven by a Dhs26.9bn increase in monetary deposits, which offset a Dhs1.2bn decline in currency in circulation outside banks.
Conversely, the M2 aggregate fell 0.1 per cent to Dhs2.435tn, down from Dhs2.4377tn, due to a Dhs27.8bn drop in quasi-monetary deposits.
The broader M3 aggregate rose 0.2 per cent to Dhs2.8982tn, from Dhs2.8937tn in March, supported by a Dhs6.6bn increase in government deposits.
The monetary base shrank 1.7 per cent to Dhs819bn, from Dhs833.1bn the month before, due to a 2.5 per cent fall in issued currency and a 32.0 per cent decline in reserve accounts.
This was partially offset by a 159.8 per cent surge in current accounts and overnight deposits held by banks and financial institutions at the central bank, and a 3.1 per cent rise in monetary bills and Islamic certificates of deposit.
CBUAE foreign assets
Meanwhile, the central bank’s foreign assets rose to Dhs937.5bn at the end of April, from Dhs935.2bn in March. These included Dhs403.2bn in bank balances and deposits abroad, Dhs490.1bn in foreign securities, and Dhs44.1bn in other foreign assets.
The central bank’s total balance sheet stood at Dhs972.3bn, comprising Dhs449.1bn in current and deposit accounts, Dhs279.9bn in monetary bills and Islamic certificates of deposit, Dhs165.2bn in currency in circulation, Dhs33.2bn in other liabilities, and Dhs45bn in capital and reserves.
On the asset side, the balance sheet included Dhs210.9bn in cash and bank balances, Dhs208bn in deposits, Dhs516.8bn in investments, Dhs0.5bn in loans and advances, and Dhs36.2bn in other assets.
