UAE banks’ gross assets reached AED5.669 trillion at end-July

Gross assets of banks in the UAE reached AED5.6691 trillion at the end of July 2026, according to the Central Bank’s Monetary and Banking Developments report. The figures, reported by WAM on 9 September, show a 1.3 percent increase during July. This is a monthly change in balance-sheet size, not an annual growth rate, a measure of bank profits or a standalone measure of credit risk across the financial system.

Gross credit increased by AED41.2 billion, or 1.5 percent, during the month to AED2.7989 trillion. Domestic credit rose 1.4 percent to AED2.206 trillion, while foreign credit increased 1.8 percent to AED592.9 billion. The Central Bank said the two components contributed 1.1 and 0.4 percentage points respectively to overall credit growth. The split shows that the expansion was not limited to borrowers within the UAE.

Domestic credit growth was led by individuals. Lending to individuals rose AED13.9 billion, or 2.3 percent, while corporate credit increased AED10.9 billion, or 1.1 percent. Credit to the government grew AED4.2 billion, or 1.7 percent. These amounts and rates describe movement during one month; they do not show households’ or companies’ ability to repay, the interest rates they face or the level of non-performing loans.

Bank deposits rose from AED3.4728 trillion at the end of June to AED3.5098 trillion at the end of July, a monthly increase of 1.1 percent. Resident deposits increased 0.5 percent to AED3.1984 trillion, while non-resident deposits rose 6.8 percent to AED311.4 billion. Non-resident balances therefore grew faster, but remained a smaller part of the total deposit base.

Within resident deposits, private-sector balances rose 0.7 percent during July to AED2.3444 trillion. Deposits of government-related entities increased 3.7 percent to AED347.3 billion. Government-sector deposits stood at AED445.4 billion and deposits of other financial corporations at AED61.3 billion. This breakdown shows different sources of bank funding, but the summary does not provide maturity structure, concentration risk or the cost of those deposits.

Money-supply measures also rose during the month. M1 increased 0.7 percent to AED1.0474 trillion, M2 rose 0.8 percent to AED2.9003 trillion, and M3 grew 0.4 percent to AED3.4408 trillion. M1, M2 and M3 cover different monetary aggregates and should not be added together. Banks’ reserve balances with the Central Bank rose 4.7 percent to AED256.9 billion, while the monetary base increased 1.2 percent to AED792.7 billion.

Assets, credit, deposits and money supply describe different parts of the banking system. Gross assets measure balance-sheet size; credit measures claims on borrowers; deposits measure customer and institutional balances held at banks. Adding them together as “new money entering the banking system” would be misleading. A one-month increase is also not enough to establish a lasting trend; future months could reverse or reflect seasonal factors.

A fuller assessment would track the distribution of credit by sector and maturity, borrowing costs, asset quality, deposit maturities and subsequent monthly changes. July’s data show more lending to individuals and companies alongside an increase in total deposits. Assessing financial resilience or the effect of credit growth on economic activity would also require bank-stability and real-sector indicators. The release should therefore be read as a monthly snapshot of monetary conditions at the end of July.