Media ININ Economy We Trust
MediaIn + Agencies. 29 \ 10 \ 2018
The new central bank law stipulates that 17.5 billion dirhams will be transferred from the general reserve account to increase the bank’s capital to 20 billion dirhams, according to the amendments to the law issued yesterday, which many experts describe as a qualitative leap that will contribute to enhancing the UAE’s status globally. In banking.
The rest of the net profits will automatically be transferred to the government after the Board of Directors determines at the end of each fiscal year the net annual profits of the Central Bank after deducting the administrative and operating expenses and allocating the necessary funds. Depreciation of assets and reserves against impaired or doubtful debts, end-of-service indemnities, central bank staff, contingency and / or other purposes that may be determined by the Board of Directors, and generally the various financial burdens incurred Ttaha banks usually net profit, shall be deposited net profits for each fiscal year in the general reserve account.
The new law sets out the main objectives and tasks of the bank, which include maintaining the stability of the national currency within the framework of the monetary system, while the bank exercises the functions and competencies that include the development and implementation of monetary policy taking into consideration the general strategy of the state and exercise of the privilege of issuing cash.
The bank will also regulate the licensed financial activities and lay down the bases for their practice and determine the standards required to develop and strengthen precautionary practices in accordance with the provisions of international law and standards and the development of appropriate regulations and standards to protect the customers of licensed financial institutions.
