UAE Gross Banks’ Assets Rise 1.5% to AED5.56 Trillion in March 2026

Gross banks’ assets in the UAE increased 1.5% month-on-month to AED5,556.5 billion at the end of March 2026, up from AED5,472.5 billion at the end of February 2026, according to data released by the Central Bank.

Gross credit rose 2.5% to AED2,695.6 billion from AED2,630.7 billion, driven by a AED52.4 billion increase in domestic credit or lending. Credit to the government sector increased 6.9%, contributing 0.8 percentage points to domestic credit growth, while credit to Government Related Entities (GREs) rose 6.0%, contributing 0.9 percentage points. Credit to the private sector increased 1.1%, adding 0.8 percentage points.

Banks’ deposits increased 1.4% to AED3,446.0 billion from AED3,399.9 billion. Of this, resident deposits rose 1.3% to AED3,138.8 billion, contributing 1.2 percentage points, while non-resident deposits increased 1.8% to AED307.2 billion.

Within resident deposits, GRE deposits recorded the strongest growth, rising 16.3% to AED363.1 billion. Government sector deposits increased 9.0% to AED427.3 billion. In contrast, private sector deposits fell 1.9% to AED2,278.2 billion, while Other Financial Corporations (OFCs) deposits declined 2.5% to AED70.2 billion.

Meanwhile, the monetary base decreased 4.3% to AED879.5 billion from AED918.6 billion. The decline was driven by a 21.9% drop in reserve requirements and a 4.6% decline in Monetary Bills and Islamic Certificates of Deposit. However, Banks and OFCs current accounts and overnight deposits rose 32.7%, and currency issued increased 8.9%, partially offsetting the decline.

Money supply aggregate M1 decreased 2.5% to AED1,072.7 billion from AED1,099.8 billion, driven by a 4.0% decline in monetary deposits, despite a 6.9% increase in currency in circulation outside banks.

M2, on the other hand, rose 0.4% to AED2.87 trillion, supported by higher quasi-monetary deposits; while M3 increased 1.6% to AED3.41 trillion, driven mainly by higher government sector deposits.