The Total Non-Performing Loans (NPL) in the United Arab Emirates increased from 5.68 units in 2023 to a forecasted 5.83 units in 2028, showing a forecasted growth rate of 2.13% over five years. Notably, the NPL rate remained relatively stable from 2021 to 2023, exhibiting minor increases. The Compound Annual Growth Rate (CAGR) for the next five years is projected at 0.42%. Looking at the last two years, the year-on-year variation indicates a minimal upward trend in non-performing loans, signaling a cautious lending environment.
Future trends to watch for include:
- Potential economic fluctuations impacting loan performance.
- Regulatory changes influencing the banking sector.
- Global financial market conditions affecting local economic stability.