UAE Central Bank: Total assets increased by 0.4%

Central Bank of the UAE announced that money supply M0 (currency in circulation + currency at banks) decreased by 1.3% from AED 53.8 billion at the end of May 2012 to AED 53.1 billion at the end of June 2012. Money supply aggregate M1 (currency in circulation plus monetary deposits, i.e., current accounts and call accounts at banks) increased by 0.9%, from AED 281.7 billion at the end of May 2012 to AED 284.3 billion at the end of June of the same year. Money supply aggregate M2 which comprises of M1 and quasi-monetary deposits (resident time and savings deposits in Dirhams, commercial prepayments in Dirhams and resident deposits in foreign currencies), decreased by 0.6%, from AED 832.1 billion at the end of May 2012 to AED 827.1 billion at the end of June of the same year. Money supply aggregate, M3 (M2 plus government deposits at bank operating in the UAE as well as at the Central Bank) decreased by 2.6%, from AED 1,055.7 billion at the end of May to AED 1,028.6 billion at the end of June of the same year. Total bank deposits decreased by 1.6% during the month of June 2012 to close at AED 1,107.0 billion. Meanwhile, total bank loans and advances (net of provisions and interest in suspense) increased by 1.5% to reach AED 1,090.4 billion, and total bank assets increased by 0.4% to reach AED 1,732.7 billion, at the end of June. During the first 6 months of 2012, intermediary monetary aggregate M2 increased by 0.2%, while bank loans and advances increased by 1.8% and bank deposits increased by 3.5%.