Latest news with #JamalSaleh
Arabian Business
7 days ago
- Business
- Arabian Business
UAE targets Islamic finance and halal industry growth as bank deposits hit $162bn and $86bn export target set
The UAE has launched a bold national strategy to strengthen its leadership in Islamic finance and the halal industry, reinforcing its vision of economic diversification and global competitiveness. Backed by visionary government policies and a future-ready regulatory environment, the UAE is rapidly evolving into a global powerhouse for Sharia-compliant finance and halal-certified commerce. The recently unveiled national strategy aims to establish an integrated ecosystem covering Islamic banking, Takaful (Islamic insurance), Sukuk (Islamic bonds), and non-banking financial services—aligned with global standards. UAE Islamic finance Data from the Central Bank of the UAE in February 2025 reveals that Islamic banks now hold 18 per cent of total banking assets and 22.8 per cent of credit across the national banking system. The Islamic Sukuk market is also experiencing major growth, fuelled by the 2023 launch of the UAE's dirham-denominated Islamic Treasury Sukuk (T-Sukuk). Nasdaq Dubai now hosts over $95.7bn in listed Sukuk, establishing the United Arab Emirates as one of the world's largest centres for Sharia-compliant fixed-income instruments. Jamal Saleh, Director-General of the UAE Banks Federation (UBF), noted that the strategy outlines ambitious goals to elevate the Islamic economy's role both domestically, regionally, and internationally. Saleh highlighted the UAE's successful development of financial systems that have empowered the Islamic banking sector as part of the nation's broader diversification agenda. He pointed to significant strides in Islamic banking, Sukuk issuance, and broader Sharia-compliant finance. As of February 2025, credit granted by Islamic banks surged to AED503.5bn ($137bn), reflecting a 16 per cent year-on-year increase. Deposits grew even faster, reaching AED595.3bn ($162bn), up 16.9 per cent. UAE halal industry In parallel, the UAE is stepping up its ambitions to become a global halal manufacturing and export hub. Under the new national plan, halal exports are expected to rise from AED74bn ($20bn) to AED315bn ($86bn) by 2031. Saleh Lootah, Chairman of the UAE Food and Beverage Manufacturers Group, said that the strategy is a landmark step toward establishing the United Arab Emirates as a global halal production centre. He highlighted growing local manufacturer interest in expanding into this vital sector, particularly as global demand for halal products accelerates. According to Bonafide Research, the United Arab Emirates' halal food and beverage market is projected to exceed $31.27bn by 2029, reflecting strong domestic and international demand for halal-certified goods driven by rising consumer awareness of ethical and dietary standards. The country's geographic position continues to amplify its influence in global trade and tourism. This strategic advantage is central to its ability to attract investors, consumers, and manufacturers alike, solidifying the country's status as a leading hub for both Islamic finance and halal commerce.
Gulf Today
14-06-2025
- Business
- Gulf Today
UAE's Islamic finance and halal industry poised for robust growth
The UAE continues to cement its status as a leading global hub for Islamic finance and the halal industry, aligned with a comprehensive development vision aimed at diversifying the national economy and enhancing global competitiveness. Backed by forward-thinking government policies, a modern regulatory framework, and cutting-edge financial and industrial infrastructure, both sectors are witnessing dynamic growth. The UAE is investing heavily in a knowledge- and innovation-based economy, with Islamic finance and halal products playing key roles in this transformation. In May, the UAE launched a national strategy for Islamic finance and halal industry development. The plan sets out to create an integrated ecosystem for Islamic financial activities, including banking, Takaful (Islamic insurance), Sukuk (Islamic bonds), and non-banking financial services-aligned with international best practices and standards. According to February data from the Central Bank of the UAE, Islamic banks now account for approximately 18 per cent of total banking assets and 22.8 per cent of total credit within the national banking sector. The Islamic Sukuk market, in particular, has expanded significantly. Notably, the federal government launch of the dirham-denominated Islamic Treasury Sukuk (T-Sukuk) in 2023, signaling a new era for the sector. The UAE is now recognised as one of the world's largest Sukuk listing centres. As of May, Sukuk listed on Nasdaq Dubai exceeded $95.7 billion, reinforcing the country's position as a global hub for Sharia-compliant fixed-income instruments. In the 2023, the country was ranked fourth globally in Islamic financial markets by assets, according to the 2023 Islamic Finance Development Indicator based on total assets. Jamal Saleh, Director-General of the UAE Banks Federation (UBF), noted that the strategy outlines ambitious goals to elevate the Islamic economy's role both domestically, regionally, and internationally. In statements to the Emirates News Agency, Saleh highlighted the UAE's successful development of financial systems that have empowered the Islamic banking sector as part of the nation's broader diversification agenda. He pointed to significant strides in Islamic banking, Sukuk issuance, and broader Sharia-compliant finance. Saleh also noted the sector's impressive growth trajectory. As of February 2025, total credit granted by Islamic banks reached Dhs503.5 billion, a 16 per cent year-on-year increase. Private sector credit alone stood at Dhs350.4 billion, growing 13.2 per cent annually. Meanwhile, deposits at Islamic banks surged to Dhs595.3 billion, marking an annual growth rate of 16.9 per cent. Parallel to its financial achievements, the UAE is asserting itself as a global halal industry hub. Under the newly approved national strategy, the UAE aims to increase halal exports from Dhs74 billion to Dhs315 billion by 2031, leveraging its strategic location and world-class infrastructure. Saleh Lootah, Chairman of the UAE Food and Beverage Manufacturers Group, in statements to WAM, said that the strategy is a landmark step toward establishing the UAE as a global halal production centre. He highlighted growing local manufacturer interest in expanding into this vital sector, particularly as global demand for halal products accelerates. According to a report by Bonafide Research on the halal food and beverage market in the UAE, the market size is projected to exceed $31.27 billion by 2029. This growth reflects the increasing demand for halal-certified products, both within the country and globally, as consumers become more conscious of dietary and ethical standards. The UAE's strategic location as a global trade and tourism hub plays a key role in driving this expansion. Its position enhances the country's appeal to both local and international consumers seeking trusted halal-certified goods, reinforcing the UAE's reputation as a leading centre for halal commerce. Meanwhile the Islamic finance sector in the UAE benefits from a dynamic economic environment and advanced regulatory policies that support Sharia-compliant financial activities. Since the establishment of the UAE's first Islamic bank in 1975, the sector has grown significantly over the decades, becoming a fundamental pillar of the national economy. The industry encompasses Islamic banks, Islamic windows in conventional banks, and sukuk (Islamic bonds), which have witnessed rapid growth in both domestic and international markets. The UAE is committed to developing economic policies and legislation to enhance Islamic finance and the broader Islamic economy. These efforts align with national objectives to ensure sustainable economic growth and establish the UAE as a global hub for the Islamic economy. WAM
Khaleej Times
02-06-2025
- Business
- Khaleej Times
Central Bank of the UAE marks 50 years of financial stewardship and innovation
Central Bank of the UAE (CBUAE) is celebrating its 50th anniversary this year, while continuing to play a pivotal role in guiding the nation's financial landscape and propelling it onto the global stage with increasing speed. Since its establishment with the creation of the UAE Currency Board in 1973, Central Bank has emerged as a bedrock of stability and a catalyst for innovation, navigating the UAE through economic shifts and technological revolutions. 'Over the past five decades, CBUAE has not just overseen monetary policy, but has built the bedrock of confidence that has allowed the UAE to emerge as a regional and global financial centre,' says Jamal Saleh, Director-General of UAE Banks Federation (UBF). 'It has done this through decisive reforms and relentless focus on global best practices.' In 2008, when the financial crisis rippled through economies worldwide, UAE Central Bank was among the first in the region to adopt Basel III Standards, strengthening capital and liquidity buffers. As a result, the capital adequacy ratio of the UAE banking system today is higher than required. At the end of December 2023, it stood at 17.9 per cent —well above the 13 per cent minimum required under Basel III guidelines, according to the CBUAE's Monetary, Banking & Financial Markets Developments Report for Q4 2023. These reforms, says Saleh, 'have ensured that UAE's banks are not only safe but also capable of sustaining growth in the face of volatility.' In 2018, UAE Central Bank introduced the Federal AML/CFT Law, followed by the Executive Office for AML/CTF in 2020, aligning UAE's framework with the Financial Action Task Force's stringent standards. This was a significant step in paving the way to combat money laundering and terror financing. Equally striking has been CBUAE's proactive stance in times of crisis. At the height of Covid-19 pandemic, CBUAE launched the Targeted Economic Support Scheme (TESS), injecting more than Dh100 billion in liquidity to support businesses and protect jobs. 'The TESS programme was not merely a reaction — it was a strategic intervention that underpinned confidence in the banking sector,' says Saleh. Yet, CBUAE's ambition extends well beyond stability. Its National Payment Systems Strategy (NPSS), Digital Dirham (CBDC) pilot project, and the Financial Infrastructure Transformation (FIT) Programme underscore a clear vision for a future-ready financial system. 'Our member banks are investing heavily in modernising their systems to align with these initiatives,' says Saleh. 'From AI-powered risk management to open banking APIs, the sector is embracing the future with vigour.' UBF, which represents 63 members across the UAE, has been as a crucial partner in translating this vision into practice. Saleh describes the relationship between Central Bank and UBF as 'a model for constructive collaboration,' built on technical committees and joint working groups that ensure policy frameworks which are both practical and forward-looking. This close cooperation has yielded tangible outcomes. UBF has spearheaded efforts to promote Emiratisation in the banking sector, supporting CBUAE's workforce emiratisation targets, via dedicated cooperation with Emirates Institute of Finance (EIF), with training programmes and certifications tailored for Emirati professionals. On the consumer front, UBF's Code of Conduct — endorsed by UAE Central Bank — has helped standardise ethical practices and transparency across the sector. Sector's sustainability drive has also gained momentum. At COP28, which was hosted in Dubai, UBF pledged to mobilise over Dh1 trillion in sustainable/green finance by 2030. 'This is not an aspirational goal—it is a clear, actionable roadmap,' says Saleh, noting that some UBF member banks have already met more than half of their 2030 targets. RAKBANK's issuance of the GCC's first social bond last year and FAB's continued leadership in green bond issuance highlight UAE sector's growing appetite for ESG finance. Even amid shifting geopolitical dynamics and heightened regulatory scrutiny, Saleh remains greatly optimistic about UAE's positioning. 'Our capital adequacy ratios, liquidity coverage, and risk frameworks are among the strongest globally,' he says, pointing to the sector's consistent performance despite global derisking trends. According to Fitch Ratings, UAE banks achieved a pre-tax return on average equity (ROAE) of 22 per cent in 2024, up from 20 per cent in 2023, with several banks reporting ROAEs above 25 per cent. Looking ahead, Saleh believes that the next decade will see the UAE cementing its role as a global financial hub, propelled by continued investment in digital transformation, sustainability, and inclusive growth. 'The partnership between CBUAE and UBF exemplifies how public-private collaboration can foster responsible innovation and ensure UAE's place at the forefront of global finance,' he says. As our Central Bank charts its next chapter, the UAE's banking sector stands poised to bridge tradition with innovation, building a future-ready ecosystem that is as resilient as it is ambitious.
Zawya
30-05-2025
- Business
- Zawya
SWIFT User Group's AGM supports digital transformation, enhancing UAE's position as financial & trade hub
The SWIFT User Group in the UAE held its Annual General Meeting (AGM), chaired by Jamal Saleh, Chairman of the SWIFT Users Group Steering Committee in the UAE and Director-General of UAE Banks Federation, the sole representative and unified voice of UAE banks. During the meeting, members approved the minutes of the 2024 Annual General Meeting and the audited financial statements for 2024, the budget for the current year (2025), the plans for the Group's activities, and its business plan to improve payment processes and benefit from the digital transformation in payments. The SWIFT User Group's AGM stressed the importance of the Central Bank of the UAE's (CBUAE) initiatives in payments to meet customer needs, enhance confidence in the banking and financial industry, achieve the goals of the National Payment Systems Strategy (NPSS), accelerate digital transformation, and strengthen the UAE's position as a banking, financial and trade leading hub. The AGM commended the initiatives undertaken by the Steering Committee of the SWIFT User Group in the UAE to keep pace with the latest trends in the financial and banking sector, improve payment processes, and enhance the effectiveness and security of bank transfers. The meeting called for capitalising on steps taken by CBUAE, especially on technological development, innovation, resilience, and security to promote innovative and secure payment solutions. It praised initiatives of the Steering Committee of the SWIFT User Group in adopting and employing Open Finance to develop payments, in accordance with the CBUAE's vision, which focuses on benefiting from developments in the banking and financial industry while ensuring the provision of appropriate legislative and regulatory frameworks to stimulate innovation. Participants at SWIFT User Group's AGM urged for enhancing partnerships between banks and fintech companies to accelerate the digital transformation journey, stressing the importance of Open Finance in enhancing the banking sector's efficiency and competitiveness. They expressed their appreciation to the members of the Steering Committee, who have extensive experience and knowledge, for their efforts in developing payments and supporting the banking and financial sector to play its role in socio-economic development and support international trade. Jamal Saleh said, "Payments is an essential element for socio-economic development and contributes to enhancing local and international trade. We continue our efforts and initiatives to provide innovative payment solutions, under the direct supervision of the Central Bank of the UAE, which establishes the necessary frameworks to develop payments and accelerate digital transformation in an environment that meets customer needs while ensuring compliance with local and international legislation and regulations'. He pointed out the importance of the role of SWIFT User Group in adopting and employing the latest payment solutions, stressing the keenness of UBF and the SWIFT User Group Steering Committee to contribute to achieving the strategic goals of the UAE, which seeks to double non-oil foreign trade to AED 4 trillion, and increase non-oil exports to AED 800 billion by 2031. "The Comprehensive Economic Partnership Agreements (CEPA), signed by the UAE with more than 27 trading partners, encourage us to redouble our efforts to improve the performance of payment operations and enhance the effectiveness and security of the bank transfer system to provide the best solutions to increase trade exchange in a reliable and smooth environment," he said. Jamal Saleh added, 'The UAE banking and financial sector has remarkable achievements in employing advanced technologies in various fields of banking, and payments in particular, to accelerate digital transformation. We remain committed to continuing our initiatives, in cooperation with our local, regional, and international partners, to develop capacities and capabilities of payment systems, developing talent, and continuously enhancing payments and bank transfers". The Steering Committee and National SWIFT User Group in the UAE is the first of its kind in the MENA region. Since its establishment in 2021, it has been playing a pivotal role in improving the performance of payment operations and enhancing the effectiveness and security of the bank transfer system. It represents an appropriate platform for exchanging views and insights that support decision-making, in addition to benefiting from the knowledge and experience of members of the SWIFT global network in developing banking work and enhancing the capabilities of employees in the banking and financial sector in the UAE. Swift allows communication and exchange of financial information in a secure and reliable environment for more than 11,000 financial institutions in 200 countries around the world, which contributes to the promotion of financial and trade exchanges.
Zawya
30-05-2025
- Business
- Zawya
SWIFT User Group's AGM supports digital transformation, enhancing UAE's position as financial and trade hub
Abu Dhabi- Dubai, United Arab Emirates: The SWIFT User Group in the UAE held its Annual General Meeting (AGM), chaired by Mr. Jamal Saleh, Chairman of the SWIFT Users Committee in the UAE and Director General of the UAE Banks Federation, the sole representative and unified voice of UAE banks. During the meeting, members approved the minutes of the 2024 Annual General Meeting and the audited financial statements for 2024, the budget for the current year (2025), the plans for the Group's activities, and its business plan to improve payment processes and benefit from the digital transformation in payments. The SWIFT User Group's AGM stressed the importance of the Central Bank of the UAE's (CBUAE) initiatives in payments to meet customer needs, enhance confidence in the banking and financial industry, achieve the goals of the National Payment Systems Strategy (NPSS), accelerate digital transformation, and strengthen the UAE's position as a banking, financial and trade leading hub. The AGM commended the initiatives undertaken by the Steering Committee of the SWIFT User Group in the UAE to keep pace with the latest trends in the financial and banking sector, improve payment processes, and enhance the effectiveness and security of bank transfers. The meeting called for capitalising on steps taken by CBUAE, especially on technological development, innovation, resilience, and security to promote innovative and secure payment solutions. It praised initiatives of the Steering Committee of the SWIFT User Group in adopting and employing Open Finance to develop payments, in accordance with the CBUAE's vision, which focuses on benefiting from developments in the banking and financial industry while ensuring the provision of appropriate legislative and regulatory frameworks to stimulate innovation. Participants at SWIFT User Group's AGM urged for enhancing partnerships between banks and fintech companies to accelerate the digital transformation journey, stressing the importance of Open Finance in enhancing the banking sector's efficiency and competitiveness. They expressed their appreciation to the members of the Steering Committee, who have extensive experience and knowledge, for their efforts in developing payments and supporting the banking and financial sector to play its role in socio-economic development and support international trade. Mr. Jamal Saleh, Director General of UBF and Chairman of the SWIFT User Group Steering Committee in the UAE, said: "Payments is an essential element for socio-economic development and contributes to enhancing local and international trade. We continue our efforts and initiatives to provide innovative payment solutions, under the direct supervision of the Central Bank of the UAE, which establishes the necessary frameworks to develop payments and accelerate digital transformation in an environment that meets customer needs while ensuring compliance with local and international legislation and regulations'. He pointed out the importance of the role of SWIFT User Group in adopting and employing the latest payment solutions, stressing the keenness of UBF and the SWIFT User Group Steering Committee to contribute to achieving the strategic goals of the UAE, which seeks to double non-oil foreign trade to AED 4 trillion, and increase non-oil exports to AED 800 billion by 2031. "The Comprehensive Economic Partnership Agreements (CEPA), signed by the UAE with more than 27 trading partners, encourage us to redouble our efforts to improve the performance of payment operations and enhance the effectiveness and security of the bank transfer system to provide the best solutions to increase trade exchange in a reliable and smooth environment," he said. Director General of UBF and Chairman of the SWIFT User Group Steering Committee in the UAE added: 'The UAE banking and financial sector has remarkable achievements in employing advanced technologies in various fields of banking, and payments in particular, to accelerate digital transformation. We remain committed to continuing our initiatives, in cooperation with our local, regional, and international partners, to develop capacities and capabilities of payment systems, developing talent, and continuously enhancing payments and bank transfers". The Steering Committee and National SWIFT User Group in the UAE is the first of its kind in the MENA region. Since its establishment in 2021, it has been playing a pivotal role in improving the performance of payment operations and enhancing the effectiveness and security of the bank transfer system. It represents an appropriate platform for exchanging views and insights that support decision-making, in addition to benefiting from the knowledge and experience of members of the SWIFT global network in developing banking work and enhancing the capabilities of employees in the banking and financial sector in the UAE. Swift allows communication and exchange of financial information in a secure and reliable environment for more than 11,000 financial institutions in 200 countries around the world, which contributes to the promotion of financial and trade exchanges. About UAE Banks Federation (UBF): Established in 1982, UAE Banks Federation (UBF), the sole representative and unified voice of UAE banks, comprising 62 members of banks and financial institutions operating in the UAE. UBF advocates the interests of all its members and enhances cooperation and coordination between them in order to elevate the UAE's banking ecosystem for the benefit of members, customers, and the overall UAE economy. UBF's mission and objectives are focused on representing its members and defending their rights and interest. UBF provides a platform for cooperation and the exchange of ideas and expertise among its members and plays a significant role in raising public awareness about the contributions of the UAE banking sector to the economic and social development of the country. UBF has a 22-member Advisory Council consisting of CEOs and General Managers from member banks and financial institutions, which oversees the implementation of UBF's policies and activities. The CEOs Council also makes directional decisions through UBF's General Secretariat for UBF's 28 technical and 6 advisory committees, which in turn are tasked to discuss all issues relevant to the UAE banking and financial services ecosystem. UAE Banks Federation also includes a CEOs Consultative Council, which consists of chief executives of other member banks.
