UAE Bank Deposits Drop In May

Total bank deposits in the UAE reduced by 1.2 per cent during May this year to close at Dhs1,125.1 billion, according to figures released by the UAE Central Bank.

The overall bank assets in the country also fell 0.9 per cent to reach Dhs1,725.8 billion at the end of the month, official news agency WAM reported. Meanwhile, bank loans and advances during the period increased by 0.2 per cent to Dhs1,074.7 billion.

According to the data, money supply M0 (currency in circulation plus currency at banks) rose by 0.4 per cent during the month to reach Dhs53.8 billion at the end of May.

Money supply aggregate M1 (currency in circulation plus monetary deposits) decreased by 1.5 per cent; money supply aggregate M2 (M1 and quasi-monetary deposits), decreased by 3.2 per cent; and money supply aggregate, M3 (M2 plus government deposits at all the banks) decreased by 1.3 per cent.

The Central Bank also said that during the first five months of the year, total bank deposits increased by 5.2 per cent, while bank loans and advances rose by 0.3 per cent.