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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.

Announcements

Sheikh Mohammed approves Dh3.7bn five-year plan for Dubai’s internal roads

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His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai has approved the five-year plan for internal roads (2025-2029). The plan encompasses 21 projects spreading across 12 residential, commercial, and industrial areas, with a total of 634 km of new roads costing Dh 3.7 billion. This plan reflects His Highness’s keenness to uplift the infrastructure in residential and industrial areas, aligning with Dubai’s population growth and urban expansion, and fostering the well-being and happiness of residents.
His Excellency Mattar Al Tayer, Director General, Chairman of the Board of Executive Directors, Roads and Transport Authority, stated, “The Five-Year Internal Roads Development Plan covers 12 areas with urbanisation rates ranging from 30% to 80%. In 2025, internal roads will be constructed in Nad El Sheba 3 and Al Amardi, serving Mohammed bin Rashid Housing Establishment project, which includes 482 housing units. Additional internal roads will be developed in Hatta, also serving a Mohammed bin Rashid Housing Establishment project with 100 housing units. In 2026, RTA will construct 92 km of internal roads in Nadd Hessa, and Al Awir 1. The year 2027 will see the development of 45 km of roads in Al Athbah, Mushrif, and Hatta, along with 14 km of roads in Warsan 3 (Industrial Area).

“In 2028, one of the longest internal road projects, extending over 284 km, will be constructed across three communities: Al Awir 1, Wadi Al Amardi, and Hind 3. This includes 221 km of roads in Al Awir 1, 22 km of roads in Wadi Al Amardi, and 41 km of roads in Hind 3. The project construction momentum will continue in 2029, with 200 km of internal roads to be constructed in Hind 4 and Al Yalayis 5, comprising 39 km in Hind 4 and 161 km in Al Yalayis 5,” explained Al Tayer.
Al Tayer further added, “RTA is committed to ensuring smooth and safe access for residents and visitors to their respective areas. By the end of last year, the total length of roads completed in residential and industrial areas reached 6000 km. Between 2011 and the end of last year, internal roads in 28 residential and industrial areas had been paved. In 2023 and 2024, RTA constructed internal roads totalling 83 km in 17 areas, completing road projects in Al Warqa 4, Al Qusais Industrial, Margham, Lehbab, Al Lisaili, and Hatta (Suhaila, Saeir, and Al Salami). Road works are ongoing in Jebel Ali Industrial, Nazwa, the Tolerance District in Al Khawaneej 2, Al Warqa, Nad Al Sheba 1, and Al Awir.”

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Magic Torque fires MRM, Al Mazrouei in season-opening DIEC ride

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The 2024/25 Dubai Endurance Season got underway at Dubai International Endurance City with a healthy dose of excitement as MRM Stables became the first unit to strike when claiming the campaignopening Seeh Al Salam Endurance Challenge by a mere second courtesy of star rider Saif Ahmed Al Mazrouei, who delivered aboard Magic Glenn Torque

Organised by Dubai Equestrian Club, the 119km four loop ride witnessed stiff competition from all the major stables involved in endurance riding in the UAE, with a total of 119 rider-horse pairings venturing into the sands of the Al Marmoom Conservation Reserve. 

And it was Al Mazrouei and his 13yearold companion who won with a consistent approach that witnessed them stay close to the top of an evolving leaderboard. The pair posted a time of four hours, 12 minutes and 16 seconds (4:12:16), which was a mere second quicker than the 4:12:17 recorded by F3-1 Stables pair of Hamad Humaid Al Tamimi and 765 Sargon, even as third placed F3 Stables pair of Rashed Mohammed 

Al Mehairi and A’Bandom’s Rockabilly cantered in third a further 26 seconds behind in 4:12:43.  Al Mazrouei started the day in seventh, 20 seconds off the pace set by Al Tamimi, who was quickest over the 40-km first loop, but was dethroned from the summit during the course of the 32km second loop by his MRM teammate Mansour Al Faresi, riding Tatarinu, the latter erasing a massive 2min21sec deficit and climbing into top spot from 25th. Al Faresi seemed to have control going into the 20km final loop after holding on to the summit at the end of the third spanning 27km. However, with plenty of reserve left in Magic Glenn Torque’s tank, Al Mazrouei, third at the end of the penultimate loop, was able to rev up his mount significantly and went from 26.99kph over the third to 34.4kph over the fourth, which guaranteed him success despite a hard push from Al Tamimi, who made his bid for success from fourth. Al Mehairi finished a comfortable third. 

Meanwhile, Zabeel 2 Stables clinched victory in the Al Wasl Endurance Cup for Private Stables after Ebrahim Fayed Al Shamsi’s nervewracking success in the 101km contest aboard Bobang Al Andalus. The pair completed the four loop ride in a time of 3:30:46, denying Al Ain Endurance Stables’, represented by Uruguayan Federico Ferber and his mount HC Nael, by fractions of a second. Zabeel 3’s Saeed Ghanim Al Marri took third aboard Woodbourne Wednesday. Board Member and General Manager of Dubai Equestrian Club, Major General Dr. Mohammed Essa Al Adhab, presented the winners with their trophies. “It was a very good effort from all of the stables to have their horses and riders ready for a very exciting finish on the opening day of the season,” commented Dr Al Adhab. 

“We have a long season ahead of us, but that finish to the first ride shows, it is going to be a very exciting season and we wish all of those involved all the very best for what lies ahead.” 

The season at Dubai International Endurance City includes a series of top rides with its worldrenowned HH Sheikh Mohammed bin Rashid Al Maktoum Endurance Festival and the Crown Prince of Dubai Endurance Festival, the two showpiece events on its calendar. 

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Announcements

Adventure alert: Hatta unveils UAE’s longest mountain trails

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Dubai Municipality has completed the development of the UAE’s longest mountain trails, which features 21 cycling routes spanning 53 kilometres, 17 walking trails across 33 kilometres, 9 wooden bridges and 14 rest stops and service facilities.

The Hatta Mountain Trails are one of various projects being implemented by Dubai Municipality to establish Hatta as a leading tourist destination in the region.

The trails are divided into four colour-coded levels of difficulty: Green – with four tracks for cycling and four for walking; Blue – with six tracks for cycling and three for walking; Red – with eight routes for cycling and six for walking; and finally, Black – with three trails for cycling and four for walking.

During the project’s first phase, Dubai Municipality implemented a comprehensive development plan in a record time of 10 months. This involved the expansion and maintenance of existing hiking and mountain bike trails and stabilising the soil in areas to improve the experience for visitors using the trails.

Comprehensive maintenance was also carried out on all existing bridges, with damaged ones replaced.

The second phase included constructing rest stops and service facilities along trails and other locations and installing 176 signposts and 650 directional signs to help cyclists enjoy a safe and distinctive experience on the Hatta Mountain Trails.

The Hatta Mountain Trails pass through a variety of different terrains and landscapes, including rocky paths, mountainous areas, rugged peaks and valleys, offering panoramic views and the opportunity for outdoor enthusiasts of all abilities to enjoy Hatta’s unique natural beauty.

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