UAE banks' investments surpass Dh650 billion mark to reach their highest level in history
Statistics showed a 20.6% year-on-year increase in bank investments in the country
Abu Dhabi: The investments of UAE banks have surpassed the Dh650 billion mark by the end of February 2024. This achievement, a record high in the history of UAE banks, is revealed in the latest statistics from the Central Bank of the UAE (CBUAE).
The statistics released in today's Banking Indicators Report showed a 20.6 per cent year-on-year increase in investments of banks operating in the country, reaching Dh652.7 billion by the end of February 2024, compared to about Dh541.4 billion in February 2023, an increase equivalent to Dh111.3 billion over 12 months.
According to the Central Bank, bank investments increased by 2 per cent every month compared to Dh640.1 billion in January 2024, equivalent to Dh12.6 billion in one month. Additionally, they increased by about 2.9 per cent since the beginning of the current year, or the equivalent of Dh18.3 billion, compared to about Dh634.4 billion at the end of the previous year.
As of the maturity date, held-to-maturity bonds accounted for the largest share of bank investments, reaching approximately 49.1 per cent with a value of Dh320.6 billion by the end of February 2024. This represented a monthly increase of 3.02 per cent and a yearly increase of about 39.2 per cent.
Banks' investments in securities representing debts to others, specifically 'debt bonds,' constituted around 40.9 per cent of total assets, reaching Dh267 billion by the end of February 2024. Investments marked a monthly increase of about 1.3 per cent and a yearly increase of 7.3 per cent.
Bank investments in stocks reached Dh15.8 billion in February 2024, indicating a yearly increase of approximately 31.7 per cent compared to Dh12 billion in February 2023. However, there was a monthly decrease of 1.25 per cent compared to around Dh16 billion in January 2024.
Other investments for banks amounted to approximately Dh49.3 billion at the end of February 2024, the same figure recorded in January of the previous year.