UAE Economic and FY 2012 Financial Results Update
Bps (in 10s)
UAE Economic Update (cont)
Trends in CDS spreads
Highlights
•
.
UAE bank deposits increased by AED 92.6bn in the first 10
months of 2012. Loan growth was slower, averaging 2.7% in
the first 10 months of 2012. Personal loan growth better than
the headline figure, rising 4% on average in Jan-Oct 2012.
5Y CDS spread for Dubai continued to decline, and reached
its lowest level since Q1 2008, reflecting increased market
confidence in the Emirate's ability to meet its debt obligations.
3M EIBOR was broadly stable during 2012, in line with 3M
LIBOR
bps
510
460
410
360
310
260
210
160
110
60
EIBOR - LIBOR spreads
3
2
+
CO
6
5
0
-1
-2
Jan-08
Source Bloomberg
Spread
EIBOR
⚫LIBOR
Jan-09
Jan-10
Jan-11
Jan-12
Jan-13
y-o-y Growth %
Emirates NBD
Dubai (Ihs)
Abu Dhabi (rhs)
160
150
140
130
120
110
100
90
80
70
60
Nov-12
Jan-13
Jan-12 Mar-12 May-12 Jul-12 Sep-12
Source: Emirates NBD Research, Bloomberg
Bank deposit and loan growth
18
16
14
12
NO 864212
-2
Bank deposits
Aug-09
Oct-09
Dec-09
Feb-10
Apr-10
Jun-10
Aug-10
Oct-10
Source UAE Central Bank
Dec-10
Feb-11
Apr-11
Jun-11
Aug-11
Oct-11
Bank Loans
Dec-11
Feb-12
Apr-12
Jun-12
Aug-12
Oct-12
5
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