The UAE banking credit fell 1.3% from 1.778 trillion dirhams at the end of February 2021 to 1.754 trillion dirhams at the end of March 2021 as a result of 0.9% in domestic credit and a decline in foreign credit by 4.7%.
The Emirates Bank attributed the decline in domestic credit to a decline of 1.8%, 1.2%, and 0.7% in credit granted to the government sector, the public sector (relevant government) and the private sector, despite a 0.6% rise in credit Non-bank financial institutions.
The monetary base expanded by 2.5%, from 426.3 billion dirhams at the end of February 2021 to AED 437.1 billion at the end of March 2021. As a result of the higher compulsory reserves for banks, deposit certificates, and cash narratives by 9.8% and 8.4%, respectively, compared with low source of cash, ongoing accounts, and monotonous per night for banks and other financial institutions by 0.4% and 10.1%, respectively.
The total bank deposits rose by 0.2% from 1.879 trillion dirhams at the end of February 2021 to 1.881 trillion dirhams at the end of March 2021 because of an increase of 0.04% and 1.1% in resident deposits and non-resident deposits. Resident departments have risen as a result of rising government sector deposits by 3.9%, despite a drop of 3.6% and 0.8% in public sector deposits and non-bank financial institutions, respectively.
Source (UAE Newspaper, Edited)
