A monitoring conducted by "Emirates Today", from the latest official data issued by the Central Bank, showed that the banking sector in the UAE registered the largest increase in assets since its inception, during the past four years, specifically from the end of December 2015 to December 2019, to increase by 608 billion dirhams equivalent to Growth of 24.5%, so that the cumulative balance of the largest Arab and Gulf sector reaches three trillion and 86 billion dirhams, compared to two trillion and 478 billion dirhams at the end of 2015.

The data also revealed that banks own foreign assets, the percentage of which has gradually increased during the comparison period, from 20% in 2015 to 25% at the end of 2019.

Sector assets

The assets held by the banking sector in the state include reserves, invested money, bank deposits, current accounts, cash on demand, in addition to a huge credit portfolio that generates an annual return of between 6 and 7%, despite unfavorable global market conditions, along with other assets that include major buildings, And branches spread inside and outside the Emirates.

According to the «Central», the banking sector assets are equivalent to more than twice the state’s GDP of 1.4 trillion dirhams.

On the Arab level, the banking sector in the UAE leads with a share of 23% of the total assets of Arab banks combined.

Open market

To that, the banking expert, Mustafa Al-Rikabi, said that the banking sector in the UAE operates according to the mechanisms of the open market, and in it a great competition for providing the best services, developing the technical structure, increasing investments, attracting deposits, and expanding lending, all of which are factors that increase the value of assets , Pointing out that the mergers that took place in the sector contributed to boosting the growth of bank assets.

High rankings

For its part, the banking expert, Sheikha Al-Ali, said that the regulation of the banking sector by the central bank provides a stimulating environment for growth and expansion internally and externally, which is reflected in the rise in assets and the increase in confidence by dealers.

She added that the UAE bank rankings by international rating agencies are high, and this gives external weight to them, which helps them to attract non-resident deposits and increase investments, and this all leads to the growth of the sector's assets.

Banks own foreign assets, whose percentage has gradually increased from 20% in 2015 to 25% at the end of 2019.