UAE banks' international reserves hit record high of AED404.3 bn

The net international reserves in the UAE banking sector hit an all-time high of AED404.3 billion by the end of November, up 23.1 percent of AED76 billion from AED328.3 billion during the same month last year, according to the Central Bank of United Arab Emirates figures.

The remarkable growth in net international reserves reflects the distinctive financial and economic status boasted by the UAE, which is affirmed by global credit rating agencies that classify the country among the key international hubs in the Middle East and North Africa region.

This is driven by a significant rise in the net international reserves held by the UAE-based banks, which hit around AED60.2 billion by the end of November against AED16.8 billion in December 2017.

The CBUAE's net reserves amounted to AED344.1 billion by the end of November, up 19.1 billion as compared to October of the same year.

As the UAE currency is pegged to the US dollar, the CBUAE maintains minimum a foreign reserve requirement to ensure its full coverage, holding internationally recognised reserves of at least 70 percent of the currency in circulation and demand deposits.

Follow Emirates 24|7 on Google News.