Gross credit provided by Islamic banks in the UAE rose by 1.1 percent in the first four months of 2024 to AED433.7 billion ($118 billion), making up over 21 percent of aggregate bank loans and financial facilities, according to banking indicators from the Central Bank of the UAE (CBUAE).
The central bank data reveals that gross credit extended by conventional banks during the first four months of 2024 rose 4.3 percent to AED1.629 trillion.
Apex bank data reveals that investments by Islamic and commercial banks grew by 9.8 percent and 3.7 percent in the period under review to AED145.7 billion and AED520.5 billion, respectively.
Meanwhile, assets of Islamic banks operating in the UAE’s local market amounted to AED737.4 billion, constituting 17.16 percent of the total assets of the banking sector. Meanwhile, assets of commercial banks reached AED3.559 trillion by the end of April 2024.
In terms of deposits, Islamic banks in the UAE recorded a 7.4 percent growth during the first four months of the year to AED532.3 billion, while deposits at commercial banks grew by 7.8 percent to over AED2.185 trillion.
Read: UAE banking sector transfers surpass $1.66 trillion in first four months of 2024
The UAE’s central bank data also reveals that the value of transfers executed in the UAE banking sector through the UAE Funds Transfer System (UAEFTS) reached around AED6.12 trillion ($1.66 trillion) in the first four months of 2024, rising by over 20 percent year-on-year. In addition, the value of cash deposits in the central bank during January 2024 reached over AED58 billion, while the value of cash withdrawals reached about AED69 billion.
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