The banking system has a Dh110 billion (US$29.94bn) shortfall between loans and deposits that the Government must make further efforts to close, says Sultan al Suwaidi, the Central Bank Governor.
"The current situation requires a stimulus plan for banks and the economy in view of this 'gap', which could be bridged in collaboration with the Ministry of Finance," Mr al Suwaidi said at the 10th meeting of the Dubai Economic Council, according to a statement published on WAM yesterday.
Mr al Suwaidi was referring to one of the most persistent challenges for the country's banks, and for the economy, in the current financial crisis: how to keep banks lending while keeping to a Central Bank rule that requires the amount of loans not to exceed deposits. As a group, banks' loans now exceed deposits by a significant margin and many banks are cutting back lending in an effort to bring the ratio back into line.
The country has taken several steps to regenerate the economy, including promises from Federal and local governments to continue spending, despite lower oil prices and a general economic slowdown. The Federal Government has also pledged up to Dh120bn in emergency funding for local banks.
Hani al Hamli, the director general of the Dubai Economic Council, suggested that the Government could issue more long-term bonds to stabilise the economy. Last month, Dubai launched a $20bn bond programme to help the emirate raise money.
Yesterday, the Minister of Economy, Sultan al Mansouri, said discussions on the merger of the Dubai property companies Amlak Finance and Tamweel were nearing completion, and should be announced soon. "Dubai is very much addressing these issues and they have done a wonderful job in terms of coming up with solutions ... I am very impressed with these solutions, with more to come as they go on," Mr al Mansouri said.
He also said that inflation should fall this year, possibly between five and eight percentage points. The country's inflation rate has been estimated at 12 to 13 per cent.
But he added: "There are many variables: these variables will always influence the inflation. So prediction is one thing, reality - dealing with all these variables - is another thing. We always will continue to have positive GDP growth in our economy," he added.
tpantin@thenational.ae
Is it worth it? We put cheesecake frap to the test.
The verdict from the nutritionists is damning. But does a cheesecake frappuccino taste good enough to merit the indulgence?
My advice is to only go there if you have unusually sweet tooth. I like my puddings, but this was a bit much even for me. The first hit is a winner, but it's downhill, slowly, from there. Each sip is a little less satisfying than the last, and maybe it was just all that sugar, but it isn't long before the rush is replaced by a creeping remorse. And half of the thing is still left.
The caramel version is far superior to the blueberry, too. If someone put a full caramel cheesecake through a liquidiser and scooped out the contents, it would probably taste something like this. Blueberry, on the other hand, has more of an artificial taste. It's like someone has tried to invent this drink in a lab, and while early results were promising, they're still in the testing phase. It isn't terrible, but something isn't quite right either.
So if you want an experience, go for a small, and opt for the caramel. But if you want a cheesecake, it's probably more satisfying, and not quite as unhealthy, to just order the real thing.
SPECS
Engine: 4-litre V8 twin-turbo
Power: 630hp
Torque: 850Nm
Transmission: 8-speed Tiptronic automatic
Price: From Dh599,000
On sale: Now
START-UPS IN BATCH 4 OF SANABIL 500'S ACCELERATOR PROGRAMME
Saudi Arabia
Joy: Delivers car services with affordable prices
Karaz: Helps diabetics with gamification, IoT and real-time data
Medicarri: Medical marketplace that connects clinics with suppliers
Mod5r: Makes automated and recurring investments to grow wealth
Stuck: Live, on-demand language support to boost writing
Walzay: Helps in recruitment while reducing hiring time
UAE
Eighty6: Marketplace for restaurant and supplier procurements
FarmUnboxed: Helps digitise international food supply chain
NutriCal: Helps F&B businesses and governments with nutritional analysis
Wellxai: Provides insurance that enables and rewards user habits
Egypt
Amwal: A Shariah-compliant crowd-lending platform
Deben: Helps CFOs manage cash efficiently
Egab: Connects media outlets to journalists in hard-to-reach areas for exclusives
Neqabty: Digitises financial and medical services of labour unions
Oman
Monak: Provides financial inclusion and life services to migrants
The specs
Engine: 2.0-litre 4cyl turbo
Power: 261hp at 5,500rpm
Torque: 400Nm at 1,750-4,000rpm
Transmission: 7-speed dual-clutch auto
Fuel consumption: 10.5L/100km
On sale: Now
Price: From Dh129,999 (VX Luxury); from Dh149,999 (VX Black Gold)
The five stages of early child’s play
From Dubai-based clinical psychologist Daniella Salazar:
1. Solitary Play: This is where Infants and toddlers start to play on their own without seeming to notice the people around them. This is the beginning of play.
2. Onlooker play: This occurs where the toddler enjoys watching other people play. There doesn’t necessarily need to be any effort to begin play. They are learning how to imitate behaviours from others. This type of play may also appear in children who are more shy and introverted.
3. Parallel Play: This generally starts when children begin playing side-by-side without any interaction. Even though they aren’t physically interacting they are paying attention to each other. This is the beginning of the desire to be with other children.
4. Associative Play: At around age four or five, children become more interested in each other than in toys and begin to interact more. In this stage children start asking questions and talking about the different activities they are engaging in. They realise they have similar goals in play such as building a tower or playing with cars.
5. Social Play: In this stage children are starting to socialise more. They begin to share ideas and follow certain rules in a game. They slowly learn the definition of teamwork. They get to engage in basic social skills and interests begin to lead social interactions.
Profile Idealz
Company: Idealz
Founded: January 2018
Based: Dubai
Sector: E-commerce
Size: (employees): 22
Investors: Co-founders and Venture Partners (9 per cent)
The specs
Engine: four-litre V6 and 3.5-litre V6 twin-turbo
Transmission: six-speed and 10-speed
Power: 271 and 409 horsepower
Torque: 385 and 650Nm
Price: from Dh229,900 to Dh355,000