CBUAE March 2024 Report: Growth Trends in UAE's Monetary and Banking Sectors

UAE, 12 June, 2024 : The Central Bank of the UAE (CBUAE) has released its March 2024 report, highlighting notable developments in monetary and banking sectors. The report indicates a 3.7% increase in the M1 money supply aggregate, reaching AED 878.1 billion by the end of March. This rise is attributed to a surge in currency circulation outside banks and an increase in monetary deposits.

Moreover, the M2 money supply aggregate saw a 1.4% increase, totaling AED 2,134.8 billion by the end of March. This growth primarily stems from an elevated M1, offsetting a reduction in Quasi-Monetary Deposits.

Additionally, the M3 money supply aggregate expanded by 1.9%, reaching AED 2,583.7 billion by the end of March. The increase is mainly due to amplified M2 and an uptick in government deposits.

The monetary base also experienced growth, expanding by 2.1% to AED 703.7 billion by the end of March. This expansion was driven by increases in currency issued, reserve account, and monetary bills & Islamic certificates of deposit.

Furthermore, gross banks’ assets, including bankers’ acceptances, rose by 1.3% to AED 4,254.5 billion by the end of March.

On the credit side, gross credit grew by 1.7% to AED 2,047.0 billion by the end of March, driven by increases in domestic and foreign credit.

Total bank deposits climbed by 1.9% to AED 2,657.1 billion by the end of March, attributed to growth in resident and non-resident deposits.

The CBUAE's report underscores significant developments in the UAE's monetary and banking sectors, reflecting ongoing economic dynamics and regulatory measures.

Source : www.centralbank.ae/en