UAE’s bank deposits rise 1.5% in 2011

UAE’s Central Bank announced today that total bank deposits in the country increased by 1.5% during the month of December 2011 to close at AED 1,069.7 billion. 

Meanwhile, total bank loans and advances (net of provisions and interest in suspense) decreased by 0.3% to reach AED 1,071.0 billion and total bank assets decreased by 0.6% to reach AED 1,662.1 billion, at the end of December 2011. 

Money supply M0 (currency in circulation + currency at banks) decreased by 2.1% from AED 53.2 billion at the end of November 2011 to AED 52.1 billion at the end of December of the same year.

Money supply aggregate M1 (currency in circulation plus monetary deposits, i.e., current accounts and call accounts at banks) decreased by 0.2%, from AED 264.6 billion at the end of November to AED 264.1 billion at the end of December of 2011. 

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), increased by 0.5%, from AED 822.1 billion at the end of November to AED 825.8 billion at the end of December 2011. Money supply aggregate, M3 (M2 plus government deposits at bank operating in the UAE as well as at the Central Bank) decreased by 0.8%, from AED 1,009.8 billion at the end of November to AED 1,001.4 billion at the end of December 2011, WAM reported.

During the year 2011, intermediary monetary aggregate M2 increased by 5.0 %, while bank loans and advances increased by 3.8% and bank deposits by 1.9%.