The Financial System in the UAE: A Technological Revolution
In a groundbreaking report for the fourth quarter of 2023, the Central Bank of the UAE declared that the country’s financial system has undergone a remarkable transformation, thanks to the widespread adoption of technology. This has led to a more secure and efficient banking experience for customers.
ATM Boom and Branch Evolution
The number of automated teller machines (ATMs) in the UAE surged to 4,654 by the end of 2023, showcasing a significant increase from the previous year. Meanwhile, the number of locally incorporated banks remained steady at 22, but the branches of these institutions decreased to 489, reflecting a shift towards digital banking.
Enhanced Operational Efficiency
The advancements in technology have not only improved the accessibility of mobile applications and online banking but have also elevated operational efficiency. The number of electronic service units in banks decreased, indicating a move towards more streamlined and automated processes.
Money Supply Growth
The total M1 money supply in the UAE reached 829.3 billion dirhams by the end of 2023, marking a substantial 12.4 percent increase compared to the previous year. Additionally, the total M2 and M3 money supplies also experienced significant growth, showcasing a robust financial landscape in the country.