UAE Central Bank says bank lending is within prudential ratios

Speech was Governor Mubarak Al Mansouri's first since he was appointed to the central bank's helm in September
UAE Central Bank says bank lending is within prudential ratios
Mansouri: Bank lending remains within prudent limits set by the central bank.
By Reuters
Mon 17 Nov 2014 11:51 AM

Bank lending in the United Arab Emirates remains within prudential ratios set by the central bank, new central bank governor Mubarak Al Mansouri said in a speech on Monday.

The speech, to a regional banking conference in Dubai, was read on his behalf by assistant governor for banking supervision Saeed Abdullah Al Hamiz. It was Mansouri's first public speech since he was appointed to the central bank's helm in September.

"Bank lending remains within prudent limits set by the central bank, with the ratio of loans and advances to stable resources of banks reaching 86 percent," Mansouri said.

"The loan book on a gross basis has been increasing by an annual average rate of about 5 percent during 2010-2013 and about 8 percent during nine months of this year...while bank deposits increased by an average of about 7 percent and 11 percent respectively.

"Such indicators support healthy growth of the banking sector."

Gross year-on-year bank lending growth in the UAE climbed to 8.6 percent in September from 7.2 percent in August, according to the latest central bank data.

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