UAE Central Bank's 2024 Annual Report Signifies Significant Year of Progress, Creative Advancements, and Steadfast Qualities
The Central Bank of the United Arab Emirates (CBUAE) has published its 2024 Annual Report, titled the 2024 Financial Stability Report, highlighting significant achievements, economic growth, and future projections for the UAE.
The report affirms the robustness of the UAE's banking sector, with strong capital and liquidity buffers, improved asset quality, and continued growth. Banks passed multiple stress tests, confirming their resilience even under adverse conditions. The Central Bank emphasized proactive risk monitoring, innovation, transparency, and collaboration with global and local partners to enhance the UAE's status as a global financial hub.
In 2024, the UAE's real GDP grew by 3.9%, driven primarily by non-oil sector momentum, reflecting successful economic diversification efforts. This growth underpinned the financial system's strong performance and contributed to the nation's economic resilience. The CBUAE projects a further acceleration to 4.7% GDP growth in 2025 and 5.4% in 2026.
The banking sector in the UAE reported robust growth, with total assets reaching AED4.56 trillion. The sector is at the forefront regionally, and the UAE rose to third globally in Islamic finance rankings. The insurance sector in the UAE saw total gross written premiums climb to AED64.8 billion.
The CBUAE's initiatives underscored the UAE's success in exiting the Financial Action Task Force's "enhanced monitoring" list. The Bank launched a domestic card scheme called "Jaywan" and introduced an instant payment system named "Aani". Governor Khaled Mohamed Balama reaffirmed the Bank's commitment to innovation and sustainable development.
Non-oil foreign trade in the UAE surged by 13.8% in 2024, surpassing AED2.8 trillion. Emiratisation efforts in the sector grew by over 150%. The CBUAE advanced the "Sustainable Monetary Sukuk" programme, implementing the world's first Open Finance regulation.
The report reviews domestic and global macroeconomic trends, financial market conditions, regulatory developments, and emerging risks, underscoring the UAE's prudent policies and effective risk management that together maintain financial stability amid global challenges. The report highlights a year of economic resilience, financial innovation, and regulatory transformation for the CBUAE.
- The Central Bank of the United Arab Emirates (CBUAE) has emphasized proactive risk monitoring, innovation, transparency, and collaboration with global and local partners on various platforms to enhance the UAE's status as a global financial hub.
- In 2024, the nation's economic growth, driven primarily by the non-oil sector, was significant, with the UAE's real GDP growing by 3.9%.
- The banking sector in the UAE reported robust growth, with total assets reaching AED4.56 trillion, making it a frontrunner regionally and third globally in Islamic finance rankings.
- The comfortable capital and liquidity buffers, improved asset quality, and continued growth of the UAE's banking sector were highlighted in the CBUAE's 2024 Financial Stability Report.
- The CBUAE launched a domestic card scheme called "Jaywan" and introduced an instant payment system named "Aani," demonstrating its commitment to innovation and sustainable development in the realm of finance and business technology.
