UAE Economy Expands in Early 2026 as Banking Assets Cross AED 5.47T: CBUAE
UAE economy shows strong early 2026 growth with banking assets at AED 5.47T, rising credit, deposits, and record foreign trade expansion.
Tripti Srivastava 
April 18, 2026: The UAE economy continued its growth momentum in early 2026, with total banking assets surpassing AED 5.47 trillion, supported by rising credit, deposits, and strong trade activity, according to data from CBUAE.
The steady expansion reflects resilience across financial, trade, and investment sectors, reinforcing the country’s position as a key regional and global economic hub amid evolving macroeconomic conditions.
According to central bank data, total banking assets rose by 1.1% in February 2026 to exceed AED 5.47 trillion, up from AED 5.41 trillion in January. Total credit increased by 1.2% to AED 2.63 trillion, driven by a AED 20.6 billion rise in domestic lending.
Bank deposits also showed strong growth, climbing 1.9% to AED 3.4 trillion. Resident deposits accounted for a significant portion, increasing by 1.7% to more than AED 3 trillion, indicating sustained domestic liquidity and confidence in the banking system.
The financial sector’s stability remains robust, with the capital adequacy ratio standing at 17% and the liquidity coverage ratio exceeding 146.6%, both well above global regulatory benchmarks.
Strong Sovereign Ratings and Financial Strength
International rating agencies reaffirmed the UAE’s strong sovereign profile. Moody’s maintained its Aa2 rating with a stable outlook, while S&P Global Ratings upheld the country’s AA/A-1+ rating for both local and foreign currency obligations.
S&P highlighted the UAE’s fiscal resilience, supported by consolidated government net assets estimated at 184% of GDP and liquid assets at approximately 210% of GDP in 2026. These metrics underscore the country’s strong balance sheet and ability to withstand external shocks.
The UAE’s foreign trade performance continued to strengthen, with total trade reaching AED 6 trillion in 2025, marking a 15% increase compared to the previous year. Non-oil merchandise trade surged 27% to AED 3.8 trillion, while services trade exceeded AED 1.14 trillion for the first time.
The country also entered the world’s top ten merchandise exporters for the first time, ranking ninth globally, according to the World Trade Organisation. This milestone reflects sustained diversification efforts and growing integration into global trade networks.
Under its Comprehensive Economic Partnership Agreements (CEPA) programme, the UAE signed new trade agreements in the first quarter of 2026 with countries including the Philippines, Nigeria, the Democratic Republic of the Congo, and Gabon, aiming to expand non-oil trade to AED 4 trillion by 2031.
Business Activity and Financial Hub Expansion
The UAE recorded continued growth in business activity, with the number of registered companies exceeding 1.45 million by the end of February 2026. Dubai alone added 2,709 new companies in March, while other emirates reported steady increases in business licences.
Dubai also advanced to seventh place in the Global Financial Centres Index (GFCI), reflecting its rising status as a leading international financial hub.
At the sovereign debt level, the UAE’s dirham-denominated Treasury bond auction for March 2026 demonstrated strong investor confidence. The government issued AED 1.1 billion in T-bonds, attracting bids worth AED 4.85 billion, representing an oversubscription of approximately 4.4 times.
The broad-based growth across banking, trade, and investment sectors highlights the UAE’s continued economic resilience and diversification efforts as it strengthens its role in the global economy.
