Abu Dhabi - Mubasher: The Central Bank of the United Arab Emirates announced on Tuesday that the money supply aggregate M1 decreased by 1.9%, from AED 507.1 billion at the end of June 2017 to AED 497.5 billion at the end of July 2017.

During the same period, the money supply aggregate M2 went down by 0.2%, from AED 1.27 trillion to AED 1.26 trillion, while money supply aggregate M3 declined by 0.3%, from AED 1.46 trillion to AED 1.46 trillion by the end of last month.

According to the bank’s report, “the fall in M1 was mainly due to a reduction of AED 6.9 billion in monetary deposits. The fall in M2 was brought about by a decreased M1; overshadowing an AED 6.9, billion increase in quasi-monetary deposits. M3 mainly fell due to a decreased M1 and an AED 1.3 billion reduction in government deposits.”

Gross bank assets, including bankers’ acceptances, decreased by 0.8%, falling from AED 2,654.3 billion in June to AED 2,632.7 billion at the end of July 2017, while gross credit increased by 0.2%, from AED 1,591.3 billion to AED 1,594.5 billion at the end of July 2017.

During July 2017, total bank deposits also increased by AED 3.1 billion mainly due to AED 5 billion increase in non-resident deposits, overriding an AED 1.9 billion fall in resident deposits, as shown by the data of the central bank.