Gross banks’ assets reach Dhs4,878.3 billion at end of May 2025: CBUAE
- Last updated: August 18, 2025 | 15:58
The Central Bank of the UAE (CBUAE) announced the increase in money supply aggregate M1 by 0.4%, from Dhs1,011.9 billion at the end of April 2025 to Dhs1,015.6 billion at the end of May 2025. The increase was due to Dhs3.4 billion growth in monetary deposits, and Dhs0.3 billion increase in currency in circulation outside banks.
In its Monetary & Banking Developments for May 2025, the CBUAE said that the money supply aggregate M2 increased by 1.6%, from Dhs2,435.6 billion at the end of April 2025 to Dhs2,474.0 billion at the end of May 2025. M2 increased due to an elevated M1, and Dhs34.7 billion increase in Quasi Monetary Deposits.
The money supply aggregate M3 increased by 1.7%, from Dhs2,898.2 billion at the end of April 2025 to Dhs2,948.1 billion at the end of May 2025. M3 increased due to the growth in M2, and Dhs11.5 billion increase in government deposits.
The monetary base increased by 2.2%, from Dhs819.0 billion at the end of April 2025 to Dhs836.7 billion at the end of May 2025. The increase in the monetary base was driven by increases in: currency issued by 2.1%, reserve account by 29.2%, and in monetary bills & Islamic certificates of deposit by 6.6% overriding the decrease in banks & OFCs’ current accounts & overnight deposits of banks at CBUAE by 48.8%.
Gross banks’ assets, including bankers’ acceptances, increased by 2.7% from Dhs 4,749.8 billion at the end of April 2025 to Dhs4,878.3 billion at the end of May 2025.
Gross credit increased by 1.5% from Dhs2,259.4 billion at the end of April 2025 to Dhs2,293.4 billion at the end of May 2025. Gross credit increased due to the combined growth in domestic credit by Dhs7.1 billion and foreign credit by Dhs26.9 billion. The growth in domestic credit was due to increases in credit to the; government sector by 2.0%, private sector by 0.8%, while credit to the public sector (government-related entities) decreased by 2.4%, and non-banking financial institutions decreased by 2.5%.
Banks’ deposits increased by 1.8%, from Dhs2,965.4 billion at the end of April 2025 to Dhs3,018.5 billion at the end of May 2025. The increase in bank deposits was driven by the growth in resident deposits by 1.9%, settling at Dhs2,741.3 billion and in non- resident deposits by 0.6%, reaching Dhs277.2 billion. Within the resident deposits; government sector deposits increased by 3.4%, private sector deposits increased by 1.9%, and government-related entities deposits increased by 1.3%, while non-banking financial institutions deposits decreased by 6.1% by the end of May 2025.
WAM