The Central Bank of the UAE has provided repayment deferrals worth AED13.5 billion to more than 135,000 bank customers, underscoring the strength of a proactive support package rolled out to shore up the resilience of financial institutions across the country.
The measure, adopted in March 2026, forms part of the CBUAE's broader prudential strategy to safeguard asset quality and strengthen the banking sector against potential shocks. Data released by the regulator on 30th July showed that 135,031 customers had benefited from the scheme, including 127,753 individuals, 6,198 small and medium-sized enterprises, and 1,080 large corporates.
Of the total deferred value, AED9.1 billion was allocated to large corporates, AED2.4 billion to SMEs, and AED2 billion to individual borrowers.
The figures come alongside broader signs of banking sector strength. Total assets grew by 12.5 percent, loans by 18.1 percent, and deposits by 14 percent as of 30th June 2026 compared with the same period last year.
The sector also recorded its best asset quality levels on record. The non-performing loan ratio fell to 2.8 percent by the end of the second quarter, its lowest ever level and a sharp drop from 8.2 percent in 2020. The net non-performing loan ratio similarly declined to 1.3 percent, down from 3.6 percent in 2020.
The stock of non-performing loans dropped to AED76 billion, compared with AED84 billion in the first quarter of 2026 and AED142 billion in 2020.
The CBUAE attributed the improvement to a combination of intensive inspections, comprehensive asset quality reviews, closer engagement with industry risk officers, and the rollout of credit risk management standards, alongside new guidelines for writing off and recovering non-performing loans in line with international best practice.
News Source: Emirates News Agency
