UAE Bank Assets Increased 0.4 Per Cent To AED 1,732.7 Billion By End Of June

Figures released by the Central Bank of the UAE show that money supply M0 (currency in circulation + currency at banks) decreased by 1.3 per cent from AED 53.8 billion at the end of May 2012 to AED 53.1 billion at the end of June 2012.

Emirates news agency WAM reports UAE money supply aggregate M1 (currency in circulation plus monetary deposits, i.e., current accounts and call accounts at banks) increased by 0.9 per cent, from AED 281.7 billion at the end of May 2012 to AED 284.3 billion at the end of June of the same year.

Money supply aggregate M2 which comprises of M1 and quasi-monetary deposits (resident time and savings deposits in Dirhams, commercial prepayments in Dirhams and resident deposits in foreign currencies), decreased by 0.6 per cent, from AED 832.1 billion at the end of May 2012 to AED 827.1 billion at the end of June of the same year.

Money supply aggregate, M3 (M2 plus government deposits at bank operating in the UAE as well as at the Central Bank) decreased by 2.6 per cent, from AED 1,055.7 billion at the end of May to AED 1,028.6 billion at the end of June of the same year.

Total bank deposits decreased by 1.6 per ccent during the month of June 2012 to close at AED 1,107.0 billion. Meanwhile, total bank loans and advances (net of provisions and interest in suspense) increased by 1.5 per cent to reach AED 1,090.4 billion, and total bank assets increased by 0.4 per cent to reach AED 1,732.7 billion, at the end of June.

During the first 6 months of 2012, intermediary monetary aggregate M2 increased by 0.2 per cent, while bank loans and advances increased by 1.8 per cent and bank deposits increased by 3.5 per cent.

Cpifinancial