UAE - Mubasher: The assets of fully-fledged Islamic banks in the UAE increased by 5% in 2020, representing around 19% of total banking system assets, according to the Central Bank of UAE's (CBUAE) Financial Stability Report.
During 2020, the UAE banking system assets rose by 3.4% to AED 3.2 trillion, representing around 240% of total nominal gross domestic product (GDP).
The UAE's Islamic financial sector comprises fully-fledged Islamic banks, Islamic windows, and Islamic finance companies with total assets of AED 782 billion.
The country has eight fully-fledged local Islamic banks and two fully-fledged foreign Islamic banks licensed to operate in the UAE.
Meanwhile, the UAE is home to 11 Islamic finance companies with AED 17.6 billion assets, representing about 55% of the total assets of the finance companies’ sector in 2020.
The report referred that Islamic windows’ assets declined by 2.4%, accounting for approximately 5% of total banking system assets.
"The strong growth of the fully-fledged Islamic banks in the UAE is reflected by a compounded annual growth rate over the last five years of 5.6%," the report remarked.
