Islamic Banking Assets in UAE Surge Past Dh 700 Billion in 2023

UAE, 20 March, 2024 : Islamic banking assets in the UAE reached a historic milestone, surpassing Dh 700 billion by the end of 2023, as reported by the Central Bank of the UAE (CBUAE). This marked an 11.5% annual increase from Dh630.7 billion in December 2022. Bank credit at Islamic banks rose to Dh428.9 billion, while deposits increased to Dh495.5 billion, representing annual growth rates of 7.82% and 12.6%, respectively.

Total investments of Islamic banks stood at Dh132.7 billion, with significant allocations to bonds held to maturity, financial instruments, shares, and other investments. Meanwhile, traditional banks recorded total assets of Dh3.372 trillion by December 2023, showing an 11% increase from the previous year. Conventional banks accounted for approximately 82.7% of the banking system's total assets, amounting to Dh4.075 trillion.

Conventional banks also experienced growth in bank credit, deposits, and investments. Bank credit reached Dh1.563 trillion, with deposits totaling Dh2.026 trillion and investments at Dh488.8 billion. Notably, investments in financial instruments and bonds held to maturity constituted substantial portions of conventional banks' investment portfolios.

Source : www.khaleejtimes.com