Total bank deposits rise in Emirates

The amount of cash in circulation in the Emirates fell in June while total bank deposits rose, Central Bank data showed yesterday.

The bank announced that money supply aggregate M0 (currency in circulation plus currency at banks) fell 1 per cent from Dh60 billion at the end of May to Dh59.4bn at the end of June.

Money supply aggregate M1, which is currency in circulation plus monetary deposits, or current accounts and call accounts at banks, rose 1.6 per cent, from Dh341.4bn at the end of May to Dh346.7bn at the end of June.

Money supply aggregate M2, which comprises M1 and savings deposits, commercial prepayments and residents' deposits in foreign currencies, rose 1.3 per cent, from Dh917.9bn at the end of May to Dh929.8bn at the end of June.

Money supply aggregate M3, made up of M2 plus government deposits at banks operating in the UAE as well as at the Central Bank, increased 0.6 per cent from Dh1.17 trillion at the end of May to Dh1.18tn at the end of June.

Total bank deposits rose 0.7 per cent during the month of June to close at Dh1.25tn. This was due to an increase in resident deposits, which went up by 0.8 per cent.Total bank loans and advances increased 1.4 per cent to reach Dh1.147tn, and total bank assets were up 0.2 per cent to reach Dh1.87tn at the end of June.

During the first six months of this year, monetary aggregate M2 rose 7.8 per cent.

Bank loans and advances climbed 4.4 per cent in the period, and total bank deposits increased 7.5 per cent, as a result of more resident deposits, which rose by 9.2 per cent, Central Bank data revealed.

* Wam