The Central Bank of the United Arab Emirates (CBUAE) published its 2025 annual report, summarising macroeconomic and financial-sector developments and the supervisory, legal and digital initiatives it pursued to support financial stability. Key highlights include reported real GDP growth of 5.6% in 2025, inflation of 1.3%, and prudential measures including additional capital buffers and adoption of a 0.5% neutral buffer. Banking sector assets reached AED 5.4 trillion, with the credit portfolio up 17.9% and deposits up 16.2%. The report notes that stress test results showed capital adequacy ratios remained above regulatory thresholds and asset quality improved, while the insurance sector recorded 15.5% growth in gross written premiums to AED 75.2 billion and total assets of AED 166.7 billion. Supervisory priorities were expanded to incorporate climate risks and IT governance, supported by more on-site supervision and greater use of supervisory technology tools and large-scale data analytics. The report also references Federal Decree-Law No. 6 of 2025, which integrates banking and insurance supervision and provides early-intervention and restructuring powers, a strengthened liquidity backstop role and increased sanctions. On digital and market infrastructure, licensed fintech firms increased to 36, the Jisr international settlement platform was launched, the Digital Dirham was completed as an official payment instrument and used for initial government transactions, and the Al Tareq open finance platform was activated; the CBUAE also highlighted the National Financial Inclusion Strategy 2026–2030 and Emiratisation progress under the Ethraa programme (160% of the 2025 target).
Central Bank of the UAE 2026-04-09
Central Bank of the UAE publishes 2025 annual report highlighting 5.6% GDP growth and a 0.5% neutral capital buffer
The Central Bank of the United Arab Emirates’ 2025 annual report highlights real GDP growth of 5.6%, inflation of 1.3%, strengthened prudential buffers including a 0.5% neutral buffer, and robust banking and insurance sector growth with capital adequacy above regulatory thresholds. Supervisory priorities expanded to climate risks and IT governance, supported by enhanced supervision and supervisory technology, while a new federal decree-law integrated banking and insurance oversight and strengthened intervention and liquidity backstop powers. The report also notes progress on digital and market infrastructure, including the Jisr settlement platform, initial Digital Dirham government transactions, the Al Tareq open finance platform, and advances in financial inclusion and Emiratisation.