Credit Quality Overview slide image

Credit Quality Overview

UAE Banking Market Update Bank deposit and loan growth* Highlights UAE Banking sector is the largest by assets in the GCC; sector is dominated by 23 local banks which account for more than 75% of banking assets; 28 foreign banks account for the remainder Total bank loan growth has been relatively stable, reaching 7.2% y/y in August. Total bank deposit growth accelerated to 11.9% y/y in August, up from 7.0% in February. The (gross) loan to deposit ratio eased to 94.8% (Aug) from ~100% at end- 2013 • In the past couple of years the Central Bank of the UAE has sought to play a stronger role in the oversight and governance of the Banking Sector in the UAE 6% 4% 2% 0% -2% -4% Composition of UAE Banking Market (AED Bn) Gross Loans 275 1,158 1,433 Deposits 250 1,172 1,422 Assets 354 1,919 Emirates NBD 18% 16% 14% Bank deposits (% y/y) Bank Loans (% y/y) 12% 10% 8% Aug-09 Oct-09 Dec-09 Feb-10 Apr-10 Jun-10 Aug-10 Oct-10 Dec-10 Feb-11 Apr-11 Jun-11 Aug-11 Oct-11 Dec-11 Feb-12 Source: UAE Central Bank, *loan growth gross of provisions GCC Banking Market Banking Assets USD Bn Assets % GDP(3) UAE(1) KSA Qatar Kuwait 2,273 Bahrain(2) 49 Emirates NBD Other Banks Source: UAE Central Bank Statistics as at Aug 2014, ENBD data as of Q3 2014. Oman 63 619 547 272 196 73 71 106 125 140 1) Includes Foreign Banks; 2) Excludes Foreign Banks; 3) GDP data is for FY 2014 forecasted. Oman and Bahrain as at Jul 2014; UAE, Kuwait and Saudi as at Aug 2014; Qatar as at Sep 2014; Source: UAE Central Bank; National Central Banks and Emirates NBD forecasts 146 8 ん Feb-14 Apr-14 Jun-14 Aug-14
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