UAE banking sector sees AED263 billion in savings deposits until March 2023

Abu Dhabi, June 13 / BNA /: Savings deposits in the banking sector in the UAE, excluding interbank deposits, exceeded 263 billion dirhams by the end of March 2023, according to the latest statistics issued by the UAE Central Bank.

Central Bank statistics showed that savings deposits increased by 7.4 percent on a monthly basis, or 18.1 billion dirhams, to reach 263.14 billion dirhams at the end of March 2023. This is an increase of 4.7 percent on an annual basis, equivalent to what the Emirates News Agency (WAM) reported. That 11.8 billion dirhams compared to 251.33 billion dirhams in March 2022.

The local currency, the dirham, accounted for the largest share of savings deposits, at about 80.4 percent, which is equivalent to 211.6 billion dirhams. The share of foreign currencies amounted to 19.6 percent, with a value of 51.52 billion dirhams.

Savings deposits in banks have witnessed a remarkable growth over the past few years. In 2018, these deposits amounted to AED 152 billion. This rose to AED 172.2 billion in 2019, AED 215.2 billion in 2020, AED 241.8 billion in 2021 and AED 245.8 billion in 2022.

Demand deposits also rose to 918.95 billion dirhams at the end of March 2023, at an annual growth rate of 3.25 percent. This represents an increase of AED 28.9 billion compared to AED 890.02 billion in March 2022. The demand deposits were distributed as follows:

Local currency (dirham): 659.64 billion dirhams (71.8 percent)

Foreign currencies: 259.30 billion dirhams (28.2%)

Demand deposits have also grown steadily over the past few years. In 2018, these deposits amounted to AED 577.6 billion. This rose to 599.6 billion dirhams in 2019, 696.8 billion dirhams in 2020, 848 billion dirhams in 2021, and 907.3 billion dirhams in 2022.

According to the Central Bank’s bulletin, time deposits amounted to 659.63 billion dirhams by the end of March 2023, an increase of 29.5 percent year on year, equivalent to 150.1 billion dirhams. Time deposits also increased on a monthly basis by 3.45 percent, or 22 billion dirhams, from 637.61 billion dirhams at the end of February 2023. The share of the local currency (dirham) in time deposits reached 58.8 percent, or 387.56 billion dirhams. The share of foreign currencies amounted to 41.2 percent, with a value of 272.06 billion dirhams.

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