UAE banks told to be mindful of global, regional macro-financial risks

The UAE Central Bank on Monday said that the country's banking system is strong.

The UAE Central Bank on Monday said that the country's banking system remained strong and reminded banks to be mindful of global and regional macro-financial risks.
It said the banking system has sufficient capitalisation and liquidity reserves, solid financial performance and high operating efficiency.
According to Central Bank's 2018 Financial Stability Report released on Monday, the regulatory stress test demonstrated that the UAE banking system also remains resilient to potential macro-financial instability.
"Looking at our achievements in 2018, an important milestone for us was the issuance of the Decretal Federal Law No. (14) of 2018 regarding the Central Bank & Organisation of Financial Institutions and Activities. The law further demonstrates our commitment to the stability of the financial system. Also, in 2018, we established the Financial Stability Policy Committee (FSPC) which facilitates the thorough fulfilment of this objective," said Mubarak Rashed Al Mansoori, Governor of Central Bank.
Although the macro-financial forecast remains supportive of financial stability, the apex bank said members of the financial system to be mindful of potential global and regional macro-financial risks.
To ensure the continued resilience of the financial sector, the central bank continued to further enhance the regulatory and supervisory framework of the banking system.
- waheedabbas@khaleejtimes.com