UAE Bank Lending Hits Record Dh2.8 Trillion Amid Economic Recovery
The United Arab Emirates banking sector witnessed a significant boost in July, with total credit reaching a staggering Dh2.8 trillion. According to data from the Central Bank of the UAE, gross credit grew by Dh41.2 billion, signaling a robust 1.5 percent increase that mirrors the country's broader economic resurgence. This growth is well-supported by a healthier business environment, as evidenced by the UAE Purchasing Managers’ Index rising to 52.7, driven by stronger consumer demand and renewed confidence across both domestic and international markets.
This upward trend in lending was largely fueled by increased activity from private sector individuals, who accounted for the most significant share of domestic credit growth. Corporate borrowing and government loans also saw notable increases, reflecting a healthy appetite for investment and expansion. Furthermore, the banking sector remains in a strong liquidity position, with total deposits climbing to over Dh3.5 trillion and gross bank assets expanding to Dh5.67 trillion. The marked rise in non-resident deposits further highlights the growing global trust in the stability and reliability of the UAE's financial institutions.