The Central Bank of the United Arab Emirates (CBUAE) has released its 2025 annual report, outlining a year defined by strong economic growth, regulatory transformation, and accelerated digital innovation. These key pillars continue to reinforce the UAE’s position as a leading global financial hub.
The report highlights the resilience of the UAE’s financial system in navigating global economic developments, supported by proactive monetary policies, advanced regulatory frameworks, and the adoption of innovative digital solutions. Together, these measures continue to strengthen governance standards and enhance transparency across the financial ecosystem.
His Highness Sheikh Mansour bin Zayed Al Nahyan, Vice President, Deputy Prime Minister, Chairman of the Presidential Court, and Chairman of the Board of Directors of the CBUAE, said the UAE is advancing confidently in its comprehensive and sustainable development model, guided by a forward-looking leadership vision.
“The UAE is firmly and confidently advancing its comprehensive and sustainable development model, guided by a forward-looking leadership vision that has positioned its economy among the most resilient and diversified regionally and globally,” he said.
He added that amid rapid global economic transitions, the UAE has demonstrated a strong ability to maintain stability and sustain growth momentum. This reflects the strength of economic policies and the effectiveness of national institutions, further boosting investor confidence and international partnerships.
He also highlighted the CBUAE’s central role in safeguarding monetary and financial stability, strengthening sector resilience, and supporting sustainable economic growth. The central bank is leading efforts to enhance regulatory and supervisory frameworks, upgrade financial infrastructure, accelerate digital transformation, and deepen integration with regional and global financial systems.
The report recorded real GDP growth of approximately 5.6% in 2025, driven primarily by the expansion of non-oil sectors, which continue to anchor the country’s diversification strategy. Inflation remained stable at 1.3%, reflecting effective policy measures to contain price pressures and sustain economic competitiveness. The outlook for 2026 remains positive, with continued GDP growth expected, highlighting confidence in the UAE’s financial system.
The banking sector maintained its regional leadership, with total assets reaching AED 5.4 trillion ($1.47 trillion). This was supported by a 17.9% increase in credit portfolios and a 16.2% rise in deposits, highlighting strong liquidity, robust solvency, and the sector’s ability to meet rising demand in a dynamic business environment.
The insurance sector also posted strong growth, with gross written premiums rising 15.5% to $20.4 billion and total assets increasing to $45.3 billion. The sector continues to play a key role in strengthening financial stability and safeguarding economic gains.
On the regulatory front, the CBUAE introduced additional capital buffers, including a neutral buffer of 0.5 percent, to ensure credit continuity. Stress test results showed the banking sector’s resilience, with capital adequacy ratios remaining well above regulatory thresholds and asset quality improving in line with international standards.
The Central Bank further strengthened its supervisory framework by integrating climate risk and IT governance into its priorities, alongside intensified on-site supervision to ensure compliance. These efforts are supported by Supervisory Technology (SupTech) and advanced data analytics, enabling more proactive risk monitoring and strengthening digital readiness.
A major legislative milestone came with the introduction of Federal Decree-Law No. (6) of 2025, which integrates the supervision of the banking and insurance sectors. The law grants the CBUAE expanded powers for early intervention, restructuring, and depositor and policyholder protection, while reinforcing its role as a market maker and lender of last resort. It also introduces stricter sanctions to strengthen compliance and governance in line with global standards.
Digital transformation remains a cornerstone of the CBUAE’s strategy. The report highlighted the expansion of licensed fintech companies to 36 and the launch of the “Jisr” platform for international settlements. The “Digital Dirham” has also been introduced as an official payment instrument, with a new brand identity, and has already been used in its first government transactions.
In addition, the “Al Tareq” open finance platform has been activated, settlement processes have been automated, and the International Central Depository System has been further developed, signaling a broader shift toward a more integrated and efficient financial infrastructure.
As part of efforts to enhance financial inclusion, the CBUAE launched the National Financial Inclusion Strategy 2026 to 2030, aimed at expanding access to high-quality financial services and improving financial well-being for individuals and businesses.
The UAE has also strengthened its position as a global leader in Islamic finance through the National Strategy for Islamic Finance and Halal Industry, supported by a robust legislative framework that enhances competitiveness.
Meanwhile, the Emiratization drive achieved a significant milestone, surpassing targets under the “Ethraa” program by reaching 160% of its 2025 goal. The initiative focuses on empowering UAE nationals to take on strategic roles through specialized academic and technical training in collaboration with the Emirates Institute of Finance.
Khaled Mohamed Balama, Governor of the CBUAE, said 2025 marked a pivotal year in advancing a resilient and efficient financial system. He highlighted the role of prudent reserve management, dynamic policy frameworks, and innovation in supporting sustainable growth.
He added that the central bank remains committed to reinforcing the UAE’s global leadership in financial services and building a future-ready ecosystem that reflects international confidence in the country’s economic model.
As the UAE continues to pursue its long-term development ambitions, the CBUAE reaffirmed its mandate to preserve financial stability, strengthen confidence, and ensure the financial system remains a key driver of sustainable growth and prosperity.