Chetan Suri

<h1>&nbsp;</h1> <p>Dubai: The UAE&rsquo;s banking sector maintained steady asset growth, improved profitability and asset quality in 2018 and is expected to deliver similar performance in 2019, according to bankers, rating agencies and banking sector analysts.</p> <p>&ldquo;In spite of volatility across global markets and regional challenges, the sector delivered strong profitability during the current year and we expect next year to be a good year for banks in the UAE,&rdquo; said Abdul Aziz Al Ghurair, Chairman of UAE Banks Federation.</p> <p>After going through a three-year cycle of provisioning, and deleveraging from risky sectors and asset classes, most banks have cleaned up the legacy non-performing assets from their balance sheets.</p> <p>Improved asset quality and stronger loan yields are expected to lift the margins of banks as they can quickly reprice loans in the context of the rising interest rate environment</p> <h1>Revealed: where UAE banks invested their money in 2018</h1> <p>The United Kingdom has attracted the highest level of investment from UAE banks during the first nine months of 2018, according to official figures.</p> <p>The UAE Central Bank figures, cited by state news agency WAM, show that the value of investments by UAE banks, their subsidiaries and affiliates totalled AED53 billion ($14.4 billion) in the UK.</p> <p>Investment in Saudi Arabia and Egypt was also significant between January and September, WAM added.</p> <p>The UAE&#39;s banking system is the largest in terms of assets in the Middle East and North Africa. By the end of September, its total assets stood at AED2.84 trillion.</p> <p>The total value of the investments of UAE&rsquo;s banks in Egypt reached AED47.2 billion, while the value of its investments in Saudi Arabia was AED40 billion.</p> <p>Source: Gulf news</p>

UAE’s banking sector profitability to remain strong in 2019

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