Money supply on the rise in UAE

30/12/2011 - Dubai Investment News Posted by Bob Brunskill
Money supply on the rise in UAE

Property investors and others with business interests in the UAE could be among those encouraged by the news that the amount of money circulating the country is on the rise.According to new figures from the UAE Central Bank, November saw the country's money supply increase by 2.3 per cent.This saw the total amount of money in circulation and in banks rise from Dh52billion in October to Dh53.2 billion last month.The bank's figures also showed that the money supply aggregate (M1) reading, which shows currency in circulation plus monetary deposits, current accounts and call accounts at banks increased by 2.2 per cent to Dh264.6 billion,"Money supply aggregate, M2 which comprises M1 and quasi-monetary deposits increased by 0.4 per cent, from Dh818.9 billion at the end of October to Dh822.1 billion at the end of November 2011," the bank commented. It added: "Money supply aggregate, M3 increased by 0.6 per cent, from Dh1,003 billion at the end of October to Dh1,009 billion at the end of November 2011."With more money being circulated in the UAE opportunities for new property developments could be set to rise in the New Year.