Bank loans, advances up 1.4% to Dh1.147trn

Central Bank announced that money supply aggregate M0 (currency in circulation + currency at banks) decreased by one per cent from Dh60 billion at the end of May 2013 to Dh59.4 billion at the end of June of the same year.

Money supply aggregate M1 (currency in circulation plus monetary deposits, i.e., current accounts and call accounts at banks) increased by 1.6 per cent, from Dh341.4 billion at the end of May 2013 to Dh346.7 billion at the end of June of the same year.

Money supply aggregate M2 which comprises of M1 and quasi-monetary deposits (resident time and savings deposits in Dirhams, commercial prepayments in Dirhams and resident deposits in foreign currencies), increased by 1.3 per cent, from Dh917.9 billion at the end of May 2013 to Dh929.8 billion at the end of June of the same year.

Money supply aggregate M3 (M2 plus government deposits at banks operating in the UAE as well as at the Central Bank) increased by 0.6 per cent from Dh1,174.9 billion at the end of May 2013 to Dh1,182.5 billion at the end of June of the same year.

Total bank deposits increased by 0.7 per cent during the month of June 2013 to close at Dh1,255.6 billion, as a result of an increase in resident deposits by 0.8 per cent. Total bank loans and advances (net of provisions and interest in suspense) increased by 1.4 per cent to reach Dh1,147.4 billion, and total bank assets increased by 0.2 per cent to reach Dh1,878.1 billion, at the end of June 2013.

During the first six months of 2013, Monetary aggregate M2 increased by 7.8 per cent, while bank loans and advances increased by 4.4 per cent and total bank deposits increased by 7.5 per cent, as a result of an increase in resident deposits by 9.2 per cent

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