The UAE’s banking sector closed 2025 on a strong footing, with total banking assets rising by more than AED780 billion over the year to reach approximately AED5.34 trillion, underscoring continued momentum across lending, deposits, and money supply, according to new data from the Central Bank of the UAE (CBUAE).
Gross banks’ assets increased by 1.7 percent month on month, climbing from AED5.25 trillion at the end of November to AED5.34 trillion by the end of December 2025.
Gross credit expanded by 1.5 percent to AED2.57 trillion, supported largely by foreign currency lending, which accounted for about two thirds of the monthly increase. Domestic credit also rose, driven by higher lending to the private sector, government related entities, and other financial corporations.
Banks’ deposits grew by 2.2 percent to AED3.31 trillion, reflecting increases in both resident and non-resident deposits. Resident deposits reached AED3.01 trillion, while non-resident deposits surged by 12.2 percent to AED297.8 billion.
Within resident deposits, private sector balances climbed 2.8 percent to AED2.25 trillion, while deposits from government related entities rose 4.8 percent to AED296.2 billion. Government sector deposits declined by 10.4 percent to AED393.4 billion.
Money supply indicators also strengthened. M1 increased 2.2 percent to AED1.07 trillion, while M2 rose 3.2 percent to AED2.75 trillion, driven mainly by growth in quasi-monetary and corporate deposits. M3 edged up 1.2 percent to AED3.26 trillion.
The monetary base expanded by 5.4 percent to AED895.7 billion, reflecting higher currency issuance and a sharp rise in banks’ and financial institutions’ balances at the central bank.
News Source: Emirates News Agency
