Latest news with #Central Bank
Khaleej Times
12 hours ago
- Business
- Khaleej Times
UAE money supply tops Dh1 trillion in May, spurred by rise in monetary deposits
The Central Bank of the UAE (CBUAE) announced the increase in money supply aggregate M1 by 0.4 per cent, from Dh1.0119 trillion at the end of April 2025 to Dh1.0156 trillion at the end of May 2025. The increase was due to Dh3.4 billion growth in monetary deposits, and Dh0.3 billion increase in currency in circulation outside banks. In its Monetary & Banking Developments for May 2025, the CBUAE said that the money supply aggregate M2 increased by 1.6 per cent, from Dh2,435.6 billion at the end of April 2025 to Dh2,474.0 billion at the end of May 2025. M2 increased due to an elevated M1, and Dh34.7 billion increase in quasi monetary deposits. The money supply aggregate M3 increased by 1.7 per cent, from Dh2,898.2 billion at the end of April 2025 to Dh2,948.1 billion at the end of May 2025. M3 increased due to the growth in M2, and Dh11.5 billion increase in government deposits. The monetary base increased by 2.2 per cent, from Dh819.0 billion at the end of April 2025 to Dh836.7 billion at the end of May 2025. The increase in the monetary base was driven by increases in currency issued by 2.1 per cent, reserve account by 29.2 per cent, and in monetary bills and Islamic certificates of deposit by 6.6 per cent overriding the decrease in banks & OFCs' current accounts & overnight deposits of banks at CBUAE by 48.8 per cent. Gross banks' assets, including bankers' acceptances, increased by 2.7 per cent from Dh4.7498 trillion at the end of April 2025 to Dh4.8783 trillion at the end of May 2025. Gross credit increased by 1.5 per cent from Dh2.2594 trillion at the end of April 2025 to Dh2.2934 trillion at the end of May 2025. Gross credit increased due to the combined growth in domestic credit by Dh7.1 billion and foreign credit by Dh26.9 billion. The growth in domestic credit was due to increases in credit to the; government sector by 2.0 per cent, private sector by 0.8 per cent, while credit to the public sector (government-related entities) decreased by 2.4 per cent, and non-banking financial institutions decreased by 2.5 per cent. Banks' deposits increased by 1.8 per cent, from Dh2.9654 trillion at the end of April 2025 to Dh3.0185 trillion at the end of May 2025. The increase in bank deposits was driven by the growth in resident deposits by 1.9 per cent, settling at Dh2.7413 trillion and in non- resident deposits by 0.6 per cent, reaching Dh277.2 billion. Within the resident deposits; government sector deposits increased by 3.4 per cent, private sector deposits increased by 1.9 per cent, and government-related entities deposits increased by 1.3 per cent, while non-banking financial institutions deposits decreased by 6.1 per cent by the end of May 2025.
Zawya
12 hours ago
- Business
- Zawya
CBUAE: Gross banks' assets reach $1328.3 billion at end of May 2025
The Central Bank of the UAE (CBUAE) announced the increase in money supply aggregate M1 by 0.4%, from AED1,011.9 billion at the end of April 2025 to AED1,015.6 billion at the end of May 2025. The increase was due to AED3.4 billion growth in monetary deposits, and AED0.3 billion increase in currency in circulation outside banks. In its Monetary & Banking Developments for May 2025, the CBUAE said that the money supply aggregate M2 increased by 1.6%, from AED2,435.6 billion at the end of April 2025 to AED2,474.0 billion at the end of May 2025. M2 increased due to an elevated M1, and AED34.7 billion increase in Quasi Monetary Deposits. The money supply aggregate M3 increased by 1.7%, from AED2,898.2 billion at the end of April 2025 to AED2,948.1 billion at the end of May 2025. M3 increased due to the growth in M2, and AED11.5 billion increase in government deposits. The monetary base increased by 2.2%, from AED 819.0 billion at the end of April 2025 to AED836.7 billion at the end of May 2025. The increase in the monetary base was driven by increases in: currency issued by 2.1%, reserve account by 29.2%, and in monetary bills & Islamic certificates of deposit by 6.6% overriding the decrease in banks & OFCs' current accounts & overnight deposits of banks at CBUAE by 48.8%. Gross banks' assets, including bankers' acceptances, increased by 2.7% from AED 4,749.8 billion at the end of April 2025 to AED 4,878.3 billion at the end of May 2025. Gross credit increased by 1.5% from AED2,259.4 billion at the end of April 2025 to AED2,293.4 billion at the end of May 2025. Gross credit increased due to the combined growth in domestic credit by AED7.1 billion and foreign credit by AED26.9 billion. The growth in domestic credit was due to increases in credit to the; government sector by 2.0%, private sector by 0.8%, while credit to the public sector (government-related entities) decreased by 2.4%, and non-banking financial institutions decreased by 2.5%. Banks' deposits increased by 1.8%, from AED2,965.4 billion at the end of April 2025 to AED3,018.5 billion at the end of May 2025. The increase in bank deposits was driven by the growth in resident deposits by 1.9%, settling at AED2,741.3 billion and in non- resident deposits by 0.6%, reaching AED277.2 billion. Within the resident deposits; government sector deposits increased by 3.4%, private sector deposits increased by 1.9%, and government-related entities deposits increased by 1.3%, while non-banking financial institutions deposits decreased by 6.1% by the end of May 2025.
CNA
7 days ago
- Business
- CNA
Sri Lanka's central bank governor on country's recovering economy
Sri Lanka has made a dramatic recovery since the depths of its 2022 economic crisis. Growth rebounded to 5 per cent last year, interest rates have fallen and foreign reserves have climbed to more than US$6.5 billion. But the road ahead is far from smooth - poverty is high, structural reforms are still underway and there are new US tariffs. CNA's Roland Lim spoke with Sri Lanka's Central Bank Governor Nandalal Weerasinghe on his outlook of the country's economy. Sri Lanka has made a dramatic recovery since the depths of its 2022 economic crisis. Growth rebounded to 5 per cent last year, interest rates have fallen and foreign reserves have climbed to more than US$6.5 billion. But the road ahead is far from smooth - poverty is high, structural reforms are still underway and there are new US tariffs. CNA's Roland Lim spoke with Sri Lanka's Central Bank Governor Nandalal Weerasinghe on his outlook of the country's economy.
Zawya
06-08-2025
- Business
- Zawya
Central Bank of UAE imposes financial sanction on finance company
ABU DHABI - The Central Bank of the UAE (CBUAE) imposed a financial sanction of amount AED600,000 on a finance company, pursuant to Article (137) of the Decretal Federal Law No. (14) of 2018 regarding the Central Bank and Organisation of Financial Institutions and Activities, and its amendments. The financial sanction is based on the results of the findings of examinations conducted by the CBUAE, which revealed that the finance company had failed to comply with the Market Conduct and Consumer Protection Regulations and Standards. The CBUAE, through its supervisory and regulatory mandates, endeavours to ensure that all finance companies and its staff abide by the UAE laws, regulations and standards established by the CBUAE to maintain transparency and integrity of the finance companies industry and safeguard the UAE financial ecosystem.
Irish Times
05-08-2025
- Business
- Irish Times
Lobby other EU countries to allow Irish Central Bank to drop Israeli war bonds, TDs recommend
An Oireachtas committee has recommended the Government lobby other EU states to change rules that stop the Irish Central Bank from refusing to act as a competent authority in Europe for Israeli war bonds. Third-country issuers, such as Israel, can choose any EU state as their home member state and competent authority. That authority reviews its bond prospectus and, in this case, authorises Israel to sell bonds in the EU market. Before 2021, the UK was the EU home member state under the regulation for the state of Israel. Ireland was chosen as the new home member state following the UK's departure from the EU after Brexit in 2016. Politicians from all parties have expressed concern that Ireland is the competent authority that gives authority to Israel to sell bonds in the EU market, including what Israel markets as 'war bonds'. However, the committee has been told by the Central Bank that it is powerless to refuse to act as the competent authority under current rules. The rules and criteria that determine approval of the prospectus do not cover Israel's continuing military activities in Gaza , but rather include risk rules based on financial and fiscal criteria. The governor of the Central Bank, Gabriel Makhlouf, told the Oireachtas Committee on Finance in June that Ireland had no power to unilaterally remove itself from being the competent authority. Any decision to change that situation, he said, would be made by the third country, in this case Israel, and by that third country alone. The committee, chaired by Sinn Féin TD Mairéad Farrell , published a report on Tuesday, the main recommendation of which was that the Government engage at EU level with a 'view to amending the EU Prospectus regulations to permit each individual European Central Bank to refuse to act as a Competent Authority'. It has also recommended that the Central Bank conduct an immediate internal review in advance of any renewal in September of the Israeli bond prospectus. It said that review should determine whether it is in compliance with the levels of disclosure, accuracy and transparency required by the EU Prospectus. At the meeting in June, committee members expressed concern that the continuing destruction and deaths in Gaza were not being taken into consideration in determining the right of Israel to sell bonds, which several committee members pointed out were being openly marketed as 'war bonds'. The report states: 'In response to questions around whether enhanced scrutiny is applied to sovereign bond issuers involved in armed conflict or under international investigation, representatives of the Central Bank told the Committee that a judgement is made as to whether a prospectus is particularly complex and if there are issues that are challenging to articulate. 'Ultimately, however, the judgement rests on whether the disclosure is appropriate to the financial risk.' At the meeting, members expressed concern with regard to both the exposure of the EU financially to Israel and the current situation in Israel. 'Members further described the prospectus regulatory regime as 'narrow and arguably amoral ... Jesuitical in the way that it is interpreted and applied, which is mindful of only its basic, legalistic obligations in satisfying the regulatory framework in place', the report stated. Amid cross-party opposition to the Central Bank continuing in that role, the committee has also recommended that any future review of its role as the competent authority by the regulator should take into account the nature of the case taken by South Africa against Israel under the Genocide Convention and the interim findings of the International Court of Justice (ICJ) in that regard. It also said the illegal situation created by Israel in the Occupied Palestinian Territories should also be taken into account.
