Turning to 6-month deposits raised its balance to AED 182.2 billion

Abu Dhabi 10-10-2019
The total balance of six-month deposits with the UAE banking system increased to almost AED 182.2 billion during the first eight months of 2019, an increase of 10.4% to AED 17.2 billion compared to AED 165 billion in December 2018.
Deposits for six months accounted for about 19.4% of total deposits with the banking system, according to figures issued by the UAE Central Bank.
The strong growth in demand for this tranche of deposits followed the increase in interest rates, especially in the fourth quarter of this year, which provided an incentive for investors who want to achieve the maximum amount of guaranteed gains in a short time.
The six-month Interbank Offered Rate (EIBOR) rose to 243 basis points by the end of the first third of October, surpassing the one-year deposit rates of 231 basis points.
Short-term deposits have seen strong growth since the beginning of the year, focusing from January to June on three-month deposits and then shifting to six months, according to statistics from the UAE Central Bank.