87 billion dirhams increase in the assets of Islamic banks in the country within 12 months

The assets of Islamic banks operating in the country increased by about 87 billion dirhams within 12 months, according to the latest statistics of the Central Bank of the Emirates.

Statistics showed that the assets of Islamic banks reached 694.4 billion dirhams at the end of last October, an increase on an annual basis of 14.3%, compared to about 607.8 billion dirhams at the end of October 2022, according to what was reported by the Emirates News Agency (WAM), today, Wednesday, January 3, 2024.

Increase in the assets of Islamic banks

The assets of Islamic banks increased during the first ten months of last year by 10.1%, or the equivalent of 63.7 billion dirhams, compared to about 630.7 billion dirhams at the end of December 2022, while they increased on a monthly basis by 0.33% compared to about 692.1 billion dirhams in September 2023.

Central Bank statistics showed that bank credit to Islamic banks increased to 425.4 billion dirhams at the end of last October, an increase on an annual basis of 6.6% compared to about 399.1 billion dirhams in October 2022, while it increased during the first ten months of last year by 6.9% compared to about 397.8 billion dirhams in End of December 2022.

Increase in deposits in Islamic banks

Deposits in Islamic banks increased to 494.5 billion dirhams at the end of last October, an increase on an annual basis of about 15.4% compared to about 428.5 billion dirhams in October 2022, an increase equivalent to 66 billion dirhams in 12 months, while they increased during the first ten months of last year by 12.4%. Compared to about 440 billion dirhams in December 2022.

According to statistics, the total investments of Islamic banks reached 129.3 billion dirhams at the end of last October, an annual increase of 24%, or the equivalent of 24.9 billion dirhams, compared to investments of about 104.4 billion dirhams in October 2022, while they increased during the first ten months of last year. By about 26.02%, compared to about 102.6 billion dirhams in December 2022.

Islamic banking investments

The investments of Islamic banks were distributed by 98.1 billion dirhams in bonds held until maturity, 18.2 billion dirhams in securities that represent debts to others (debt bonds), 2.3 billion dirhams in stocks, and 10.7 billion dirhams in other investments.

At the level of traditional banks operating in the country, their total assets reached 3.301 trillion dirhams at the end of last October, an increase on an annual basis of 10% compared to about 3.007 trillion dirhams in October 2022, while they increased by about 8.7% during the first ten months of last year compared to 3.037 trillion dirhams. One trillion dirhams at the end of December 2022.

According to statistics, conventional banks accounted for about 82.6% of the total assets of the banking system in the country at the end of last October, which amounted to 3.995 trillion dirhams, compared to the share of Islamic banks, which amounted to 17.4%.

Total bank credit rises

The total bank credit to traditional banks reached 1.549 trillion dirhams at the end of last October, with an annual increase of 4.7%, compared to 1.479 trillion dirhams in October 2022, while bank deposits in traditional banks increased to 1.961 trillion dirhams at the end of last October, with an annual growth of 10.4%. Compared to about 1.776 trillion dirhams in October 2022.

The total investments of traditional banks grew on an annual basis by 20.6% to 471.7 billion dirhams by the end of last October, distributed by 228 billion dirhams in securities that represent debts to others (debt bonds), 195.6 billion dirhams in bonds reserved until maturity, and 9. 8 billion dirhams in stocks, and 38.3 billion dirhams in other investments.