CBUAE’s foreign assets up to AED 592.11 billion in June

Abu Dhabi [UAE], August 22 (ANI/WAM): The UAE’s current account balances and deposits with banks abroad amounted to AED 363.23 billion by the end of June 2023, from AED 361.78 in the previous month, according to the latest figures revealed today by the Central Bank of the United Arab Emirates (CBUAE).

Foreign securities are down to AED 165.42 bn from AED 171.03 during the same reference period, with other foreign assets up to AED 63.46 bn against AED 57.38 in May, According to the apex bank, total foreign assets increased to AED 592.11 bn from AED 590.19 in May.

It’s noteworthy that the foreign assets exclude CBUAE’s Reserve Tranche Position (RTP) and SDR Holdings with the IMF.

According to the bank’s monetary & banking deployments report of June 2023, the monetary base grew by 0.1 per cent, climbing from AED 621.4 billion at the end of May 2023 to AED 622.2 billion at the end of June 2023. The main drivers of this expansion of the Monetary Base were increases in currency issued by 5.2 per cent and in Reserve Account by 28.0 per cent. However, banks & OFCs’ current accounts and overnight deposits of banks at CBUAE and monetary bills and Islamic certificates of deposit decreased by 25.7 per cent and 2.5 per cent, respectively.

Gross banks’ assets, including bankers’ acceptances, rose by 0.1 per cent, from AED3,868.9 billion at the end of May 2023 to AED 3,873.1 billion at the end of June 2023. Domestic Credit expanded because of 2.5 per cent, 3.7 per cent and 3.4 per cent increases in credit to the Government Sector, Public Sector and non-banking financial institutions, correspondingly. Whereas, credit to the private sector declined by 0.6 per cent.

Total bank deposits decreased by 1.0 per cent, falling from AED 2,405.9 billion at the end of May 2023 to AED 2,382.1 billion at the end of June 2023. The fall in total bank deposits was due to a reduction in non-resident deposits by 11.8 per cent, overshadowing the increase in resident deposits by 0.2 per cent. Resident deposits rose owing to increases in government sector deposits. Private sector deposits and non-banking financial institutions’

deposits by 2.5 per cent, 0.4 per cent and 18.1 per cent, respectively. However, public sector deposits decreased by 8.3 per cent.