UAE banks continued to expand in July 2026, with gross banking assets rising 1.3% during the month to AED 5.67 trillion, according to the Central Bank of the UAE’s latest Monetary and Banking Developments report. Credit and deposits also increased, with growth recorded across private-sector, government and overseas lending. Non-resident deposits saw particularly strong monthly growth, rising 6.8% as overall deposits reached AED 3.51 trillion.
Original article: UAE gross banks’ assets rise 1.3 percent to $1.54 trillion in July 2026 by Economy Middle East.
Key Insights:
Credit Rises to AED 2.8 Trillion
Gross credit increased by 1.5% in July to reach AED 2.8 trillion. Domestic credit rose 1.4% to AED 2.21 trillion, while foreign credit increased 1.8% to AED 592.9 billion, with both contributing to the overall increase in lending during the month.
Private-sector lending was the main contributor to domestic credit growth. Credit to individuals increased by 2.3%, or AED 13.9 billion, while corporate lending rose 1.1%, or AED 10.9 billion. Government lending also increased by 1.7%, equivalent to AED 4.2 billion.
The figures show that credit growth was spread across households, businesses, government borrowers and overseas lending rather than being concentrated in a single segment. This contributed to a broader increase in banking activity alongside rising assets and deposits during July.
Bank Deposits Increase to AED 3.51 Trillion
Total deposits at UAE banks rose 1.1% during July to reach AED 3.51 trillion, supported by increases in both resident and non-resident deposits. Resident deposits increased 0.5% to AED 3.198 trillion, while non-resident deposits recorded a stronger monthly increase of 6.8% to AED 311.4 billion.
Within resident deposits, private-sector deposits reached AED 2.34 trillion after increasing 0.7%. Deposits from government-related entities rose 3.7% to AED 347.3 billion, while government-sector deposits stood at AED 445.4 billion at the end of the month.
The simultaneous increase in lending and deposits provides a broader picture of activity across the UAE banking system during July, with growth recorded across several customer and lending categories.
Banking Liquidity Continues to Increase
The UAE’s main money supply measures also increased during July. M1 rose 0.7% to AED 1.047 trillion, while M2 increased 0.8% to AED 2.9 trillion and M3 grew 0.4% to AED 3.44 trillion.
The monetary base increased by 1.2% to AED 792.7 billion, while UAE banks’ reserve balances with the Central Bank recorded a larger monthly increase of 4.7%, reaching AED 256.9 billion.
Together with the increases in assets, credit and deposits, these figures show that expansion during July extended across several measures of banking activity and liquidity.
Banking Activity Continued to Expand in July
The July data shows broad monthly expansion across the UAE banking system, with assets, lending, deposits, money supply and reserve balances all moving higher.
The increase in credit to individuals and businesses provides useful context around wider financing activity in the UAE. However, the Central Bank data does not provide enough sector-specific detail to draw conclusions about changes in real estate lending or mortgage availability from these figures alone.
