UAE Gold Reserves Surge 26% in 2025 Amid Robust Banking Sector Growth

Abu Dhabi/Dubai — August 23, 2025:
The United Arab Emirates has witnessed a remarkable 26% increase in gold reserves so far this year, underscoring the resilience of its financial system and the strong performance of its banking sector.

According to recent data, the surge comes despite softening global gold prices, highlighting the UAE’s proactive financial management and growing investor confidence in the country’s monetary policies.

Banking Sector Resilience

The UAE’s banks have reported healthy growth in deposits and assets, providing the Central Bank with greater liquidity buffers. Analysts note that this has enabled the country to increase gold holdings as part of its broader diversification strategy, ensuring long-term financial security and hedging against global market volatility.

“Gold has always been a trusted store of value. The UAE’s decision to expand reserves even during a period of subdued prices shows a forward-looking approach to wealth preservation and economic resilience,” said a Dubai-based financial analyst.

Strategic Implications

The increase in reserves strengthens the UAE’s position as a leading financial hub in the Middle East, especially as global investors seek stability amid international market uncertainties. Coupled with ongoing efforts to attract global asset managers and fintech firms, the country is cementing its role as a safe haven for both capital and commodities.

Outlook

With global economic trends remaining volatile, experts believe the UAE’s strategy of expanding gold reserves alongside a robust banking sector will bolster confidence among international investors. Market watchers suggest that the UAE could continue to accumulate gold through 2025, aligning with its long-term goal of financial sustainability and economic diversification.

Comments

Post a Comment

Popular posts from this blog

Image
Dubai’s DFSA Reports 22% Growth in First Half of 2024 The Dubai Financial Services Authority (DFSA) has announced a robust 22% growth in its financial sector for the first half of 2024, underscoring the continued strength and dynamism of Dubai’s financial services industry. This impressive growth highlights the resilience and expansion of the Dubai International Financial Centre (DIFC), a global financial hub. The DFSA’s report reveals that this growth is driven by increased business activity, expansion of financial services, and enhanced regulatory frameworks that foster a competitive and innovative environment. The growth encompasses various sectors within the financial services industry, including banking, asset management, insurance, and fintech. The DFSA has seen a significant uptick in new firms and investments, reflecting confidence in Dubai’s financial ecosystem and its role as a gateway for international business. “The 22% growth is a testament to the strength and adaptability...
Read more
Image
Emirates NBD's Acquisition of Emirates Islamic Bank (EIB) Emirates NBD, the largest bank in Dubai by assets, has launched a mandatory cash offer to acquire the remaining 0.11% of shares in Emirates Islamic Bank (EIB), a subsidiary that operates under the Emirates NBD Group. The bank has put forward an offer price of AED 11.95 per share, which values the total outstanding stake at approximately AED 69.88 million. This strategic acquisition is part of Emirates NBD’s ongoing efforts to consolidate its operations and streamline its business structure, further enhancing its operational efficiency. Following the successful completion of the transaction, Emirates NBD plans to integrate EIB fully, but EIB will continue to operate under its own brand name. The transaction is expected to result in the delisting of EIB’s shares from the Dubai Financial Market (DFM). Once the offer is completed, Emirates NBD will hold 100% ownership of Emirates Islamic Bank, thereby further strengthening it...
Read more
Image
Aramco Slashes $40 Billion in Dividends Amid Saudi Fiscal Pressures Saudi Aramco, the world’s most valuable oil company, has announced a major cut in its dividend payouts for 2025, signaling mounting financial pressure on the Kingdom as it presses ahead with its costly economic transformation plans. The oil giant plans to distribute $85.4 billion in total dividends this year, a significant drop from the $124.2 billion paid in 2024 — a reduction of nearly $40 billion. The move has sparked concerns about Saudi Arabia’s ability to finance its ambitious Vision 2030 agenda, which relies heavily on Aramco's profits to bankroll infrastructure and diversification projects. Performance-Linked Payouts Plunge 98% The sharpest decline came in the form of performance-linked dividends, which are set to fall from $43.1 billion in 2024 to just $900 million in 2025 — a staggering 98% decrease. The dividend cuts reflect a broader decline in Aramco’s financial performance. Net income dropped by 12%, ...
Read more