11.42 PM Thursday, 7 December 2023
  • City Fajr Shuruq Duhr Asr Magrib Isha
  • Dubai 05:29 06:47 12:13 15:10 17:33 18:51
07 December 2023

NPLs of UAE banks expected to peak this year

By Waheed Abbas

The non-performing loans (NPLs) of UAE banks will continue rising and are likely to peak this year, while the property sector is yet to bottom out, according to a senior analyst in Dubai.

Jan Randolph, Director of Sovereign Risk, IHS Global Insight, a US consulting firm specialising in investment risk assessment, said the NPLs in the UAE could rise to 6.6 per cent this year from 4.4 per cent the previous year. These estimates are underestimated as banks continue to allocate provisioning. Provisions will also peak this year.