The Central Bank of the United Arab Emirates (CBUAE) has reported a significant increase in its gold reserves, which rose by 19.3% during the first quarter of 2025. This addition of AED 4.444 billion brought the total reserves to AED 27.425 billion at the end of March, compared to AED 22.981 billion at the close of 2024, as per the latest statistical bulletin from the bank.
This decision aligns with the ongoing fluctuations in global markets and reflects the UAE’s strategy to diversify its reserve assets.
Growth in Gold and Demand Deposits in Q1
By the end of March, demand deposits had risen to over AED 1.147 trillion, an increase from AED 1.109 trillion in December 2024. This total included AED 856.062 billion held in UAE dirhams and AED 291.116 billion in foreign currencies.
Savings deposits also exhibited growth, reaching AED 338.788 billion at the conclusion of the first quarter, up from AED 317.48 billion in December. Of this amount, AED 268.97 billion were in local currency while AED 51.817 billion were in foreign currencies.
Time deposits saw a notable increase as well, climbing to AED 991.757 billion, which includes AED 614.854 billion in dirhams and AED 376.9 billion in foreign currencies. This reflects strong liquidity levels and confidence within the banking sector.
The UAE Funds Transfer System (UAEFTS) reported total transfers of AED 5.449 trillion during the quarter. This figure comprised AED 3.331 trillion in interbank transfers alongside AED 2.118 trillion in customer transactions.
Additionally, the central bank revealed that 5.615 million cheques, amounting to AED 351.359 billion, were successfully cleared through image-based processing in Q1. In March alone, around 1.83 million cheques worth AED 116.712 billion were processed.
Cash activity remained vibrant, with AED 63.887 billion withdrawn and AED 47.124 billion deposited in the first three months of the year.
These latest figures indicate a sustained strengthening of the UAE’s monetary and financial systems, propelled by high liquidity, robust domestic savings, and ongoing activity in interbank and customer transactions.