World Business

UAE Central Bank's profits drop by 14.4% in 2009

(Xinhua)
Updated: 2010-06-22 09:47

ABU DHABI - Net profits of the United Arab Emirates (UAE) Central Bank stood at 3.184 billion dirhams ($867.5 million) in 2009, down 14.4 percent compared with the previous year, a Dubai-based business daily reported Monday.

The decline was caused mainly by a plunge in the Central Bank's interest income from a record 5.688 billion dirhams in 2008 to only 461 million dirhams last year, Emirates Business 24/7 said, citing a report released by the bank.

Related readings:  Dubai to fulfill commitments inside UAE, abroad: official  UAE president says national economy in good shape  Dubai looks to oil-rich neighbor for possible aid  Chinese home life industry taps business potential in UAE

But it was partly cushioned by a surge in investment income from about 1.539 billion dirhams to 3.844 billion dirhams in the same period, according to the report.

The UAE Central Bank's interest expenses plunged from around 3. 188 billion dirhams in 2008 to 701 million dirhams last year, while net interest and investment income shrank from nearly 4.039 billion dirhams to 3.614 billion dirhams, the report said.

Its balance sheets also showed that total assets grew from around 193.7 billion dirhams at the end of 2008 to 203.9 billion dirhams at the end of 2009.

"The increase was mainly due to a rise in held-to maturity bonds issued by the Ministry of Finance and the Government of Dubai, from 55 billion dirhams to 106.7 billion dirhams, respectively," the report said.