UAE banking sector net international reserves increase by 8.1% to Dh1.2 trillion in H1 2024
Central bank’s gold reserves grew by 22.1% year over year
Abu Dhabi: Net international reserves of the UAE’s banking sector increased by 8.1 per cent, or Dh 92.3 billion, during the first half of 2024 (H1 2024), reaching Dh1.238 trillion at the end of June, compared to Dh1.145 trillion at the end of the same period last year, state news agency WAM reported Friday.
The Central Bank of the UAE’s June statistical bulletin showed that the Central Bank accounted for Dh769.7 billion of the sector’s net international reserves at the end of June, marking a 14.3 per cent increase compared to its balance of Dh673.42 billion at the end of last year. By the end of June, the net international reserves of banks operating in the country reached Dh468.13 billion.
According to the bulletin, the Central Bank’s gold reserves grew by 22.1 per cent year over year, reaching Dh20.467 billion by the end of June, compared to Dh16.768 billion in June 2023, an increase of Dh 3.7 billion.
Its gold reserves grew by 12.8 per cent during the first half of this year, compared to Dh18.147 billion at the end of last year.
Gold is among the Central Bank’s diversified assets, which also encompass liquid funds, certificates of deposit, and securities held to maturity.
The Central Bank’s gold reserves have grown significantly in recent years, rising to Dh12.862 billion at the end of 2020, compared to Dh4.044 billion at the end of 2019 and Dh1.134 billion at the end of 2018.
Rise in employees
The bulletin also highlighted that the number of employees in the UAE’s banking sector rose to 37,811 by the end of June, compared to 36,737 employees in June 2023, an increase of 1,074 new employees over 12 months.
The distribution of banking employees showed that national banks employed 31,628 people at the end of June, an increase of 2,051 employees compared to 29,577 in June 2023. Foreign banks operating in the UAE employed 6,183 people during the same period.
The number of employees in the UAE’s banking sector has seen a notable rise in recent years, growing from 33,444 at the end of 2020 to 33,491 at the end of 2021, and reaching 35,830 by the end of 2022.
More licensed commercial banks
In a related context, the Central Bank noted that the number of licensed commercial banks in the UAE reached 61 in the first half of this year, comprising 23 national banks and 38 foreign banks.
The number of bank branches stood at 554, with national banks accounting for 482 branches, and foreign banks for 72 branches.
By the end of the first half of this year, the number of e-banking service units affiliated with national banks reached 46, while the number of exchange offices reached 21. Meanwhile, the number of e-banking service units of foreign banks remained at 21.
Banking operations statistics released by the Central Bank today showed that the value of transactions processed through the UAE Funds Transfer System (UAEFTS) exceeded Dh9.32 trillion during the first half of this year, reflecting a 16 per cent year-on-year increase compared to transfers amounting to Dh8.01 trillion during the same period in 2023.
According to the statistics, transfers during the first half were distributed as Dh5.829 trillion in interbank transfers and Dh3.49 trillion in customer transfers.
Growth in transfers
The value of transfers reached Dh1.512 trillion in January, Dh1.449 trillion in February, Dh1.565 trillion in March, Dh1.592 trillion in April, Dh1.78 trillion in May, and Dh1.42 trillion in June 2024.
It is worth noting that the UAEFTS, which the Central Bank has operated since August 2001, facilitates real-time money transfers among entities registered in the system.
The Central Bank’s statistics also revealed that the value of cleared cheques using their images amounted to Dh646.6 billion, distributed across 11.03 million cheques during the first half of this year. Cheque clearances, using their images, were distributed as follows: Dh109.4 billion for approximately 1.965 million cheques in January, Dh106.7 billion for 1.837 million cheques in February, Dh112.6 billion for 1.855 million cheques in March, Dh92.9 billion for 1.66 million cheques in April, Dh122.7 billion for 2.01 million cheques in May, and Dh102.17 billion for 1.689 million cheques in June.
The statistics further indicated that the value of cash deposits at the Central Bank amounted to Dh93.6 billion during the first half of this year, while the value of cash withdrawals from the Central Bank reached Dh103.2 billion during the same period, including Dh103.19 billion in paper currency and Dh33.2 million in coins.