NIB chief says UAE banks 'could need another $6.8bn'

  • Share via facebook
  • Tweet this
  • Bookmark and Share
MORE MONEY: Noor Islamic Bank's CEO says the UAE banking system needs continued capital injection.

MORE MONEY: Noor Islamic Bank's CEO says the UAE banking system needs continued capital injection.

The chief executive of Dubai-based Noor Islamic Bank has said the banking system could need as much as AED25bn ($6.8bn) on top of AED120bn already spent on shoring up bank finances since 2008.

“The banking sector in the UAE needs continued capital injection,” Hussein al Qemzi told UAE daily The National. “I can say we need another AED20bn to AED25bn.”

According to the newspaper, the International Monetary Fund (IMF) last week estimated that growth in the UAE would be close to zero this year. The IMF had previously projected a 2.4 percent expansion in 2010.

Last year banks set aside an extra AED13bn to cover bad loans, bringing total provisions to AED32.6bn, the newspaper said.

Related:
Companies
Join the Discussion

Disclaimer:The view expressed here by our readers are not necessarily shared by Arabian Business, its employees, sponsors or its advertisers.

Please post responsibly. Commenter Rules

  • No comments yet, be the first!

Enter the words above: Enter the numbers you hear:

All comments are subject to approval before appearing

Further reading

Features & Analysis
Shuttered banks, ATM queues and $77 daily limits: Greece plunges into crisis

Shuttered banks, ATM queues and $77 daily limits: Greece plunges into crisis

Breakdown in talks between Athens and its creditors plunged the...

Malaysia fund's $4.5bn rescue may weigh on Abu Dhabi's IPIC

Malaysia fund's $4.5bn rescue may weigh on Abu Dhabi's IPIC

International Petroleum Investment Co came to the aid of Malaysia...

Debt market beckons as Saudi bourse opens to foreigners

Debt market beckons as Saudi bourse opens to foreigners

Corporate bond issuance in the kingdom is the most active in...

Most Popular
Most Discussed