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UAE banking sector assets to record up to 10pc growth in 2022: UBF Chairman

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UAE Banks Federation (UBF) Chairman AbdulAziz Al Ghurair has projected that the UAE’s banking sector assets will surge in the range of 8 to 10 percent next year.

He said the banking sector will benefit from the economic revival as the country’s economy will also increase about 5 per cent in 2022.

AbdulAziz Al Ghurair said that the UAE’s economy will reap benefits from Expo 2020 for about nine years with more international investors attracting to the country.

He highlighted that banks are already seeing improvements in key performance matrixes such as asset quality, capitalisation, loans and deposit growth, profitability, loans to deposit ratio, costs, and liquidity.

Al Ghurair predicts that the non-performing loans ratio of the UAE’s banking sector will moderate from the current 8 per cent to 2 per cent in 2022.

Even before the third quarter 2021 results, figures show that the UAE banks are entering a period of healthy growth in assets and profits.

The UBF chairman said that the coronavirus pandemic has already expedited digitalisation, especially in the banking sector as most of the customers have been forced to try digital solutions of their banking problems. It is indeed a good development for banks, customers and all other stakeholders in the economy, he added.

Al Ghurair said that increased digitalisation is helping the banks reduce the number of branches and overall costs while offering a better customer experience.

Meanwhile, the latest data from the Central bank showed the digitalisation has resulted in a decline in the number of bank branches from 534 at the end of first quarter this year to 522 at the end of second quarter. Likewise, the number of bank employees fell by 414 to 32,623 at the end of June 2021.

Al Ghurair said the central bank’s support was timely and substantial but the banking sector in the country is ready for the phasing out of the support under the Targeted Economic Support Scheme (TESS) of the Central Bank of UAE.

As the Central Bank is set for a gradual withdrawal of its direct liquidity support, Al Ghurair said the banking sector no longer needs funding. He said that some 95 per cent of the banks have already surrendered their TESS quotas. He expected a decline in loan impairments over the next few quarters.

UBF Chairman Al Ghurair said the UAE’s healthy banking system is supportive of the economic growth momentum, while banks are also gaining benefit from the underlying strength of the operating environment. He said the post-COVID-19 recovery in the economy is going to benefit all sectors that were negatively impacted during the pandemic.

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Kuwait launches 15-year residency visa: How it compares to UAE Golden Visa

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Kuwait has unveiled a new long-term residency programme that will allow eligible foreign investors and business leaders to live in the country for up to 15 years, marking one of the region’s latest efforts to attract international capital and strengthen economic growth.

The residency scheme is designed to provide greater stability for investors looking to establish, operate and expand businesses in Kuwait, while supporting the country’s broader plans to diversify its economy and enhance its competitiveness as an investment destination.

Who can apply?

Under the new framework, residency permits of up to 15 years will be available to:

  • Foreign investors meeting approved investment criteria
  • Immediate family members of eligible investors
  • Senior executives accredited by approved investment entities
  • Recognised business partners linked to qualifying investment projects

Authorities say the programme aims to encourage long-term commitments from investors while creating a more attractive business environment.

Investment requirements

To qualify, applicants must satisfy a number of conditions set by Kuwaiti authorities.

Eligible investors must own or be associated with investment entities licensed by the Kuwait Direct Investment Promotion Authority (KDIPA). Businesses must also maintain active operations within Kuwait and comply with national workforce requirements, including quotas related to the employment of Kuwaiti citizens.

The framework requires a minimum investment capital of KD1 million in approved business activities. In addition, licensed investment entities must maintain a total investment value of at least KD5 million.

Officials believe these requirements will help attract high-quality investments that contribute to economic development and job creation.

How it compares with UAE Golden Visa

One of the most prominent examples is the UAE’s Golden Visa programme, which was launched in 2019 and offers eligible individuals residency of up to 10 years.

The scheme is available to investors, entrepreneurs, skilled professionals, scientists, exceptional students, creatives and humanitarian contributors. It allows holders to live, work and study in the UAE without requiring a national sponsor, while also enabling them to sponsor family members.

The programme has become a key pillar of the UAE’s strategy to attract talent, innovation and long-term investment, helping cement its reputation as one of the region’s leading destinations for business and residency.

Kuwaiti authorities said the programme builds on existing investment legislation and forms part of ongoing efforts to modernise Kuwait’s business and regulatory environment.

Kuwait’s latest move reflects a growing trend across the Gulf, where governments are introducing long-term residency options to attract investors, entrepreneurs and highly skilled professionals.

Countries across the region have increasingly adopted residency programmes designed to encourage foreign investment, support economic diversification and attract global talent.

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Dubai motorist alert: Who can skip vehicle inspection bookings under new RTA rules?

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Dubai’s Roads and Transport Authority (RTA) has announced that certain motorists will not need to book vehicle inspections in advance, offering greater flexibility while maintaining its appointment-based testing system across the emirate.

The move applies to five specific customer groups and service categories, allowing eligible motorists to access vehicle inspection services without securing a prior appointment at approved testing centres.

Who is exempt?

According to the RTA, the following categories are exempt from advance booking requirements:

  • Senior citizens and People of Determination
  • Vehicles undergoing a repeat inspection after failing a previous technical test
  • Vehicles being inspected for export or transfer purposes without registration plates
  • Inspections linked to vehicle sale transactions
  • Vehicle data verification and confirmation inspections

The authority said the exemptions are intended to make services more accessible while ensuring smoother operations at testing facilities across Dubai.

Appointment system remains in place

The RTA continues to encourage customers to book inspections in advance to help reduce waiting times, improve service efficiency and manage customer flow across vehicle testing centres.

Motorists who do not qualify for an exemption can still access inspection services without a booking by paying an additional service fee.

The authority added that its Licensing Agency, together with approved testing centres, will continue to guide booking procedures and eligible services to improve customer awareness and transparency.

Expansion of vehicle testing services

The announcement comes as Dubai expands its vehicle testing and registration network to meet growing demand driven by population growth and urban development.

Earlier, the RTA invited investors and operators to establish new vehicle testing and registration centres in Deira, Bur Dubai and Mohammed Bin Rashid City, subject to regulatory approvals.

The expansion is expected to increase testing capacity and improve accessibility for residents.

Sunday testing option

To further enhance convenience, the RTA recently introduced Sunday vehicle inspection services at nine testing centres across Dubai. The initiative aims to provide additional scheduling options for motorists and ease pressure on facilities during the working week.

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Free Public Parking Announced In Dubai For Hijri New Year

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Dubai’s Road and Transport Authority (RTA) has announced free public parking and a revised public transport schedule for the Hijri New Year 1448 holiday on Monday June 15.

Public parking across Dubai, except for multi-storey parking facilities will be free with parking fees will resume on Tuesday June 16.

All RTA Customer Happiness Centres will be closed on Monday, but customers will still be able to access services through the Customer Happiness Centre in Umm Ramool and Smart Kiosks located in Deira, Al Barsha, Al Tawar, Al Kifaf and the RTA Headquarters.

Dubai Metro services on both the Red and Green Lines will run from 5am until midnight on Monday while Dubai Tram services will operate from 6am until 1am the following day.

Passengers using public buses are advised to check the S’hail app for updated holiday schedules.

The RTA also announced that Bus Route E100, which normally operates between Al Ghubaiba Bus Station and Abu Dhabi, will be suspended from June 13 to 15. Passengers heading to Abu Dhabi during this period can use Route E101 from Ibn Battuta Bus Station instead.

Marine transport services will be unaffected during this period.

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