8.24 AM Saturday, 9 December 2023
  • City Fajr Shuruq Duhr Asr Magrib Isha
  • Dubai 05:30 06:49 12:14 15:11 17:33 18:52
09 December 2023

Banks’ exposure to Europe limited

By Wam

Growth rate of loans in the UAE is normal and better than many countries in the region in light of the current circumstances, according to the Governor of the UAE Central Bank.

''The loan mechanism demonstrates the current market situation, Sultan bin Nasser Al Suwaidi said at a joint press conference with the visiting President of the European Central Bank, Mario Draghi, following a meeting between governors of central banks and monetary agencies in the GCC and Euro zone.

Al Suwaidi said that local banks were immune because their exposure to Europe is small.

''There is no impact of the European economic conditions on world oil prices which rose to highest standards,'' he indicated.

He painted the banking system in Europe as ''strong and vibrant'' and the situation is different from one country to another.

In general, he added, the European house needs to be set in order and economic woes in Europe would be settled but after sometime.

Al Suwaidi said the recently-signed currency swap agreement between the central banks of the UAE and China was aimed at promoting trade and investment.

Draghi said he was confident that the Euro situation will look better in 2012 despite the current debts crisis, referring to the "significant fiscal stability" the Euro zone is witnessing.