Youssef Al Bustanji (Abu Dhabi)
The net international reserves of the UAE banking sector (at banks and the Central Bank) exceeded the trillion dirhams barrier for the first time in its history, reaching 1.026 trillion dirhams (equivalent to 279.4 billion dollars) by the end of July 2023, after increasing by 165 billion dirhams since the beginning of this year, recording a growth of 19.1%. Compared to its balance of 861 billion dirhams at the end of 2022, according to data issued yesterday by the UAE Central Bank.
The total increase came as a result of an increase in the net international reserves of the UAE Central Bank by 118.7 billion dirhams, equivalent to a growth of 24.9% during the first seven months of this year, reaching record levels of 595.6 billion dirhams at the end of July 2023 compared to 476.9 billion dirhams at the end of December 2022. The reserves exceed The international requirement for the Central Bank of the Emirates is the mandatory minimum required in accordance with the bank law, amounting to 158.1 billion dirhams by the end of July 2023.
The increase in the net international reserves of the UAE Central Bank is considered an indication of a significant increase in the state’s overall account surplus (balance of payments), which reflects the improvement in the competitiveness of the national economy in its commercial and financial relations with foreign markets, in terms of an improvement in the foreign trade balance surplus and an increase in the flow of foreign investments. to the local market and growth in the tourism sector and other activities and businesses that support the flow of foreign currencies to the local market.
The growth in net international reserves was also supported by the growth in net international reserves of banks operating in the country, whose balance increased by about 46.3 billion dirhams during the same period, bringing their net international reserves to 430.5 billion dirhams by the end of July 2023. The data shows that the bank’s balance The Emirates Central Bank of Gold Bullion rose by 1.18 billion dirhams during the first seven months of 2023, reaching 17.223 billion dirhams by the end of July 2023, compared to 16.045 billion dirhams by the end of December 2022.
On the other hand, Central Bank data show that the balance of bank deposits of companies operating in the country increased by about 81.5 billion dirhams during the first seven months of this year, a growth of 10.3%, to reach 871.6 billion dirhams by the end of July 2023, compared to 790.1 billion dirhams by the end of December 2022.
The balance of individual deposits also increased by about 63.3 billion dirhams during the same comparison period, recording a growth of 11.3% to reach 622.8 billion dirhams at the end of July 2023, compared to 559.5 billion dirhams at the end of December 2022.
2023-09-14 21:15:36
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