The UAE’s banking sector continued to expand even as authorities rolled out a broad financial relief programme designed to cushion businesses and consumers from economic disruptions, according to the Central Bank of the UAE (CBUAE).
The regulator said support extended under the package climbed to AED6.2 billion ($1.69 billion), covering measures such as deferred loan repayments, waived fees and temporary interest relief.
More than 65,000 beneficiaries tapped into the programme, including 60,559 individuals, 4,335 small and medium-sized enterprises, and 485 corporate entities.
Sectors most exposed to economic headwinds received priority treatment. The hospitality industry accounted for support extended to 173 companies, while 361 firms from the transport segment and 134 businesses tied to entertainment activities also benefited from the measures.
Alongside the relief rollout, the country’s banking system maintained steady momentum between March 1 and May 1, 2026. During that period, banking assets rose 2.1 percent, lending activity increased 3.2 percent and deposits advanced 1.9 percent. The monetary base cover ratio stood at 115.3 percent, underscoring liquidity strength across the sector.
The central bank said affected borrowers can continue coordinating with lenders within the timeframe outlined under the programme.
Under the support framework, eligible entities may defer instalment payments for up to six months without loans being categorised as defaults. Banks are also expected to suspend interest charges and fees on qualifying facilities while maintaining credit flows to priority sectors of the economy.
The scheme is open to businesses and individuals impacted by economic disruptions, with no minimum financing threshold required to qualify. Corporates, SMEs and retail customers remain eligible, while industries facing the sharpest operational strain continue to receive priority consideration.
