Abdul Aziz Al Ghurair, chairman of the UAE Banks Federation (UBF), highlighted the continuous development of the UAE banking sector and the increase in consumer confidence from 84 percent in 2022 to 90 percent in 2023.
He underscored the importance of customer trust as a crucial element in banking and finance.
He explained that the Trust Index indicates that the UAE ranks above the global average and surpasses prominent international financial centers, demonstrating the banking sector’s ability to meet the needs of diverse customer segments.
During a press conference held at Mashreq Bank’s headquarters in Dubai, organized by the UAE Banks Federation and attended by local and international media, Al Ghurair stated that under the direct supervision of the Central Bank of the UAE, the banking sector is committed to excellence. It is actively pursuing digital transformation and developing innovative solutions that leverage artificial intelligence, blockchain, and data analytics. These initiatives aim to provide services that not only meet but exceed customer expectations.
Read more: UAE banks to exhibit strong performance with 7 percent credit growth in 2023
Additionally, he said the sector is focused on enhancing digital infrastructure and improving cybersecurity to ensure a secure and seamless banking experience.
Proactive strategies for adapting to market conditions
According to Al Ghurair, the performance of UAE banks in recent years, including the first quarter of this year, demonstrates the resilience and strength of the banking sector. Net profits, operating profits, revenues, and assets have all seen significant increases. The sector maintains sound financial indicators characterized by high capital efficiency ratios, provisions, and reserves that exceed the requirements of Basel 3 principles followed by the global banking system.
Al Ghurair further emphasized the ability of UAE banks to navigate fluctuating international interest rates through the implementation of proactive strategies that enable them to adapt to changing market conditions.
Integrating sustainability into banking operations
“Banks in the UAE are endeavouring to integrate sustainability into their operations and services by offering green financing products specifically designed to support sustainable projects, including those for SMEs investing in renewable energy and sustainable technologies. With national banks pledging AED1 trillion for sustainability projects by 2030, we expect to see a significant increase in green financing initiatives in the coming years and further steps towards a more sustainable banking sector,” Al Ghurair noted.
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