ABU DHABI, 9th September, 2026 (WAM) -- The Central Bank of the UAE (CBUAE) issued the “Monetary and Banking Developments – July 2026” report, which showed that gross banks’ assets increased by 1.3%, amounted to AED5,669.1 billion at the end of July 2026.
Gross credit continues to grow, increased by AED41.2 billion (by 1.5%), and reaching AED2,798.9 billion at the end of July 2026. The growth was driven by 1.4% increase in domestic credit, reaching AED2,206.0 billion and 1.8% increase in foreign credit reaching AED592.9 billion, contributing positively by 1.1 p.p. and 0.4 p.p., respectively.
The expansion in domestic credit was primarily driven by higher lending to Private sector. Credit to Individuals recorded an increase by 2.3% (AED 13.9 billion), contributing by 0.6 p.p., while credit to Corporate increased by 1.1% (AED 10.9 billion), contributing by 0.5 p.p. At the same time, lending to the Government grew by 1.7% (AED 4.2 billion) and added 0.2 p.p. to the overall growth of domestic credit.
Banks’ deposits increased by 1.1%, from AED3,472.8 billion at the end of June 2026 to AED3,509.8 billion at the end of July 2026. This growth was driven by an increase in both resident and non-resident deposits. Resident deposits increased by 0.5%, reaching AED3,198.4 billion, while Non-resident rose by 6.8% reaching AED 311.4 billion.
Within resident deposits, the largest contribution to the growth came from Private sector deposits by 0.5 p.p. increasing 0.7% during the month, and reaching AED2,344.4 billion. In addition, GREs deposits increased by 3.7% reaching AED347.3 billion and contributing by 0.4 p.p. Meanwhile, OFCs deposits stood at AED61.3 billion and Government sector deposits stood at AED445.4 billion at the end of July 2026.
The money supply aggregate M1 increased by 0.7%, amounted to AED1,047.4 billion at the end of July 2026. Currency in circulation outside banks stood at AED159.2 billion, while Monetary deposits increased by 0.9%, reaching AED888.1 billion.
The report also showed that the money supply aggregate M2 increased by 0.8% in July 2026, reaching AED2,900.3 billion at the end of month. Based on the sectoral breakdown of deposits, this improvement was attributable to an increase in Corporate and Government Related Entities (GREs) deposits by 0.9% and 3.7% respectively, (contributing by 0.5 p.p. and 0.4 p.p.). Furthermore, the money supply aggregate M3 also increased over the month (by 0.4%), reaching AED3,440.8 billion at the end of July 2026.
Corporate and Government Related Entities (GREs) deposits contributed equally (by 0.4 p.p. each) to overall monthly growth of M3. Positive contribution came from Individuals deposits too, increasing by 0.2% and reaching AED896.5 billion. The monetary base increased by 1.2%, amounted to AED792.7 billion at the end of July 2026.
During the month, Reserve balances of banks with the CBUAE recorded an increase of 4.7%, reaching AED256.9 billion.