Tue 25-09-2018 00:09 AM
ABU DHABI, 24th September, 2018 (WAM) -- The Central Bank of UAE withdrew AED 11.7 billion out of excess liquidity in the market during August after it met the market needs for cash in July, during which a total of AED5.2 bn in cash was pumped.
The move fits within the CBUAE's mandate to direct the country's credit policy, and to regulate and oversee the monetary and banking policy, ensuring their alignment with the government's general plan in a way that ultimately strengthens the domestic economy, assures financial stability, regulate cash flows and withdraw cash surplus in order to retain economic resilience.
Recent statistics released by the bank indicated a rise in the total value of certificates of deposits from AED121 bn by end of July to AED132.7 bn by the end of August.
During Q1, the CBUAE withdrew cash amounting to AED2 bn in February, before pumping a total of AED6 bn in March.
During April, up to AED16 bn was injected to market before a total of AED7 bn had been withdrawn in May, during which certificates of deposit hit AED125.2 bn, an amount which remained unchanged in June.
In July, up to AED4 bn was pumped before a considerable amount of cash had been withdrawn in a move that ratcheted up certificates of deposit anew to AED132.7 bn.