We are thrilled to share the breaking news that investments of banks operating in the UAE have reached an unprecedented milestone, soaring to an extraordinary AED 580 billion as of July 2023 – the highest level in history!
According to the latest statistics released by the UAE Central Bank, this remarkable achievement reflects an impressive year-on-year growth of 18.8%. Such a substantial increase showcases the unwavering strength and resilience of the UAE banking sector in navigating a rapidly evolving economic landscape.
What’s even more remarkable is that investments have witnessed a steady surge on a monthly basis too, with a 0.91% increase from June 2023. This further reinforces the confidence instilled in the banking industry and emphasizes its pivotal role in driving economic prosperity in the UAE.
Breaking down the investment composition, bonds held until maturity claim the lion’s share, accounting for an outstanding AED 266.8 billion at the end of July 2023. This impressive figure marks a 1.3% increase from the previous month, underscoring the stability and attractiveness of such investment vehicles.
Furthermore, debt securities, representing debts owed to others, constitute approximately 43% of the total investments, amounting to an impressive AED 249.9 billion. This showcases a 0.6% growth from June 2023, highlighting the trust placed by banks in this specific investment avenue.
The stock market has also played a pivotal role in elevating banks’ investment portfolios. As of July 2023, bank investments in stocks have surged to AED 12.5 billion, a notable 3.3% increase from the previous month. These impressive figures manifest a year-to-date growth of 5.9%, propelling banks to explore new opportunities and expand their market presence.
Additionally, other investments by banks have witnessed staggering growth, amounting to AED 50.3 billion at the end of July 2023. This represents a remarkable 12.5% increase from July 2022, further highlighting the diverse investment strategies adopted by banks in the UAE.
We applaud the remarkable achievements of the UAE banking sector, as these extraordinary figures reaffirm the trust and confidence placed by investors in the banking industry’s prudence and foresight.
As we witness and celebrate these historic financial milestones, we reaffirm our commitment to keeping you well-informed about the dynamic UAE banking sector.
