DUBAI: The Central Bank of the UAE has launched a financial support package to bolster the country’s banking sector amid global uncertainty.
The move was approved at a board meeting chaired by Sheikh Mansour bin Zayed Al Nahyan, Vice President, Deputy Prime Minister, Chairman of the Presidential Court and Chairman of the Board of the Central Bank of the UAE.
The central bank said the UAE’s financial system remains strong, with no major impact from the current global challenges.
The UAE has foreign exchange reserves of over AED 1 trillion (about $270 billion), demonstrating strong financial backing. Banks are also highly liquid, with around AED 920 billion ($250 billion) in the central bank, including more than AED 400 billion ($109 billion) in reserves.
The package will give banks easier access to cash, relax some rules and allow them to use extra capital to continue lending. It also provides flexibility to support customers facing financial pressures.
“CBUAE’s precautionary policies and proactive framework have consistently demonstrated their effectiveness,” Sheikh Mansour said.
The central bank added that it is ready to take more steps if necessary to protect the economy and the financial system.
