CBUAE convenes CEOs of banks to highlight banking sector performance

Khaled Mohamed Balama, Governor of the Central Bank of the United Arab Emirates (CBUAE), convened a meeting with the chief executive officers (CEOs) of banks operating in the UAE, in the presence of assistant governors and senior officials.

The meeting reaffirmed the CBUAE’s commitment to strengthening its partnership with the banking sector, safeguarding financial stability, and monitoring developments across the UAE’s financial system.

The meeting reviewed the latest financial indicators and data for the UAE’s financial and banking sector, which reflected the banking sector’s financial soundness and stability, underpinned by the UAE’s sustained economic growth.

CBUAE indicators at the end of August 2026 reflected the continued strength of the banking sector, with banking assets increasing by 12.9% year-on-year compared with the same period in 2025. Credit and financing also expanded, with total bank loans increasing by 18.8% year-on-year, underscoring the role of banks in supporting economic and commercial activities. Bank deposits grew by 13.0%, further demonstrating sustained confidence in the UAE’s financial and banking system.

The banking sector’s asset quality continued to improve, with the non-performing loans (NPL) ratio declining to 2.6% and the net NPL ratio improving to 1.2%. These developments highlight the effectiveness of the sector’s risk management and credit policies, as well as the strength of the CBUAE’s supervisory and prudential frameworks, which are aligned with international best practices and standards.

The participants also discussed the operational aspects and implementation progress achieved under the key pillars of the Financial Institutions Resilience Package (FIRP). Launched by the CBUAE in March 2026, the package supports continued business growth and strengthens the resilience of the national economy.

Participants commended the positive outcomes and the success of the measures introduced by the CBUAE. The package provided tangible and direct support, including payment deferrals and the waiver of commissions and fees in respect of loans amounting to Dhs 15.9 billion up to the end of August 2026. A total of 155,971 banking customers benefitted from these measures, including individuals, small and medium-sized enterprises (SMEs) and large corporations.

Approximately 849 private sector companies benefitted from the Financial Institutions Resilience Package, receiving support totalling Dhs 10.7 billion. A further 6,441 SMEs benefitted from loan repayment deferrals amounting to Dhs 2.9 billion. The package also helped safeguard the financial soundness of approximately 148,681 individual banking customers through loan repayment deferrals totalling Dhs 2.3 billion, easing financial pressures on customers and enabling them to continue meeting their financial obligations. Khaled Mohamed Balama, Governor of the CBUAE, affirmed that the positive banking sector performance indicators reflected the strength and resilience of the UAE’s financial system and the effectiveness of its supervisory and prudential frameworks.

He emphasised the importance of banks continuing to accelerate innovation and digital transformation, enhance consumer protection and financial inclusion, and maintain the highest standards of governance, risk management and compliance. These efforts support the UAE banking sector’s continued regional and international leadership and its contribution to sustainable economic growth.

He also expressed his appreciation for the efforts of the chairmen of the boards of directors and CEOs of banks operating in the UAE, reaffirming their role as key partners of the CBUAE in supporting the objectives of the UAE’s economic agenda and reinforcing the UAE’s position as a leading global financial centre.

CBUAE to organise second Climate Forum in Abu Dhabi: Under the patronage of His Highness Sheikh Mansour Bin Zayed Al Nahyan, Vice President, Deputy Prime Minister, Chairman of the Presidential Court and Chairman of the Board of Directors of the Central Bank of the United Arab Emirates (CBUAE), the CBUAE will organise its second Climate Forum on 8th October 2026 in Abu Dhabi. The Forum will bring together representatives from central banks, regulatory authorities and financial institutions to enhance the financial sector’s resilience and capacity to address climate-related risks, and support the transition to a sustainable economy.

The Forum serves as a leading platform for strengthening cooperation and sharing expertise in sustainable finance, and exploring ways to develop regulatory frameworks and banking practices that enhance financial institutions’ readiness to manage climate risks and support efforts towards the transition to net zero.

The second edition of the Forum will address the strategic implications of climate change, transition plans across economic sectors and ways to finance them, and the role of public-private partnerships in supporting these efforts.

The Forum will also examine sustainable finance priorities, the importance of climate data in informing financial and regulatory decisions, and the implications of climate-related risks for monetary policy and banking supervision.

The CBUAE will also organise its inaugural Climate Research Seminar on 9th October 2026, in collaboration with the Centre for Economic Transition Expertise at the London School of Economics and Political Science.

WAM