The Central Bank of the UAE (CBUAE) concluded 2024 with significant achievements across the financial, banking and insurance sectors, setting the stage for a bright future for the UAE’s financial sector.
The central bank’s achievements underscore its pivotal role in fostering monetary and financial stability, managing reserves, developing secure financial infrastructure through cutting-edge digital innovation, stimulating sustainable economic growth and strengthening the UAE’s global competitiveness and leadership.
Central bank assets grow to AED896 billion
The UAE central bank achieved record financial results in 2024 across all indicators. Total assets are estimated to reach approximately AED896 billion, driven by increased net inflows into the national economy, compared to AED721 billion in 2023.
The central bank also implemented initiatives to support national housing programs by providing flexibility in applying certain mortgage requirements. Support provided through national housing funds reached AED6.1 billion in 2024.
To develop the local capital market and effectively implement the dirham’s monetary framework, outstanding Certificates of Deposit (CDs) reached AED209 billion in 2024, compared to AED169 billion in 2023, reflecting high market liquidity.
The CBUAE is also among the first central banks globally to issue Islamic CDs, with outstanding balances reaching AED42 billion in 2024, compared to AED45 billion in 2023.
Under the Treasury Bonds Program, AED28.3 billion in dirham-denominated Treasury bonds and Sukuk were issued in 2024, compared to AED16.7 billion in 2023.
Key initiatives driving digital growth
To solidify the UAE’s position as a leading global financial hub, the central bank is implementing the FIT Program, comprising nine key initiatives, with a completion rate of 85 percent. The FIT Program projects span several areas and aims to foster a more efficient and secure financial environment.
Introducing innovative digital payment solutions, the Domestic Card Scheme “Jaywan”, was launched at a celebration marking the CBUAE’s 50th Anniversary (1973-2023). The first cross-border payment for the central bank’s digital currency ‘Digital Dirham’ was also made directly through the “mBridge” platform.
Other achievements included the launch of the Instant Payment Platform “Aani” and the Real Time Gross Settlement (RTGS) system.
The UAE’s digital transformation projects aim to attract 260 global FinTech companies as part of a strategy to enhance economic opportunities and improve quality of life. These initiatives also aim to open new markets, attracting 180 million new customers and 600 million e-commerce customers.
UAE banking sector assets hit AED4.457 trillion
The UAE’s national economy continues its exceptional performance under the wise leadership’s vision, driven by positive growth across all economic sectors and the vital role of the central bank. Real GDP growth is estimated at 4 percent, with nominal GDP projected to reach approximately AED2 trillion in 2024, compared to AED1.9 trillion in 2023.
The UAE’s financial, banking and insurance sectors also experienced substantial growth. The UAE banking sector, the largest in the Middle East, reached total assets of AED4.457 trillion at the end of November 2024, compared to AED4.075 trillion in 2023.
The net non-performing loan ratio decreased to 2.1 percent in 2024 from 2.4 percent in 2023, highlighting improved asset quality in the banking sector.
The insurance sector also grew significantly in 2024, with gross written premiums reaching approximately AED64.5 billion, compared to AED53.3 billion in 2023.
Emiratization in finance remains strategic priority
Emiratization in the financial sector remains a strategic priority for the UAE central bank. Several initiatives, including the “Ethraa” program, have been launched to strengthen efforts to develop qualified Emirati professionals, supporting the nation’s economy and its ambitious future plans.
The “Ethraa” program achieved exceptional success in 2024, exceeding Emiratization targets in the banking, insurance and financial sectors by over 152.85 percent, placing 2,866 Emirati nationals in roles against a target of 1,875 positions.
The CBUAE also signed agreements and MoUs with 71 local and 63 international entities and contributed to nine Comprehensive Economic Partnership Agreements (CEPAs) and Free Trade Agreements (FTAs) signed by the UAE with global partners.
It also maintains multiple international partnerships and agreements with BRICS nations, the International Monetary Fund (IMF), and the G20.
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UAE central bank wins Leading Federal Entity Award
In light of the significant progress the central bank achieved in building a robust and stable financial system equipped for the modern age, and a new era of digital transformation facilitated by FinTech and innovation initiatives, it garnered numerous prestigious local, regional and international awards.
Most recently, the CBUAE received the Leading Federal Entity Award at the Mohammed bin Rashid Government Excellence Award 2024, embedding excellence as a core value and practice across its operations and activities by adopting integrated strategies and policies aligned with global best practices. This award, the UAE’s highest award for institutional achievement, is granted to the federal entity that demonstrates the strongest performance across all criteria of the government excellence framework.
Khaled Mohamed Balama, Governor of the CBUAE, was also named “Central Banker of the Year 2024 for the Middle East” by The Banker in recognition of the central bank’s concerted efforts to enhance the UAE’s financial and monetary stability and growth, fortify its anti-money laundering and combating the financing of terrorism (AML/CFT) measures, and increase cooperation with global central banks through several partnership agreements.
Furthermore, the UAE central bank won the ‘Best New Banknote’ award for its new AED1,000 banknote characterized by unique designs, technical characteristics and innovative security features.
