Moody's Investors Service expects that four large Emirati banks will maintain their profitability flexibility in 2020, thanks to the strong growth in borrowing by the public sector. >
According to Al Bayan newspaper, Moody's released a special report yesterday on its expectations regarding the profitability of the four largest banks in the Emirates, namely: First Abu Dhabi, Emirates NBD, Abu Dhabi Commercial, and Dubai Islamic in 2020.
The report stated that the net profits of the four banks combined increased last year to reach 37 billion dirhams, $ 10.1 billion, an increase of 13% compared to their net profits combined. In 2018. The report added that the net interest income generated by the four banks combined increased by 6% in 2019.
He added that the four banks accounted for 73% of the total banking assets in the UAE last December.
He expected that public sector borrowing growth would strike a balance with increased competition between banks, which would ultimately enhance flexibility in the profitability of the four banks in 2020.
