Loan growth slowed further to 5.8% Y-o-Y from 6.2% Y-o-Y a month ago as lending growth to individuals slowed to 5.5% Y-o-Y from 6.4% Y-o-Y in July. YTD, sector’s loans were up 4.3% Y-o-Y compared to 6.2% a year earlier. Deposits grew 3.3% Y-o-Y in August compared to 3.5% Y-o-Y in July as growth in non-resident deposits slowed to 4.7% Y-o-Y from 11.5% Y-o-Y in July. Deposits were, however, down 0.5% M-o-M, owing to a contraction in deposits from GREs. Government deposits were broadly stable, while non-resident deposits were down 1.6% M-o-M. Although loan growth is decelerating, liquidity continues to tighten as deposits growth has been relatively weak. The sector’s loan-to-deposit ratio climbed to 98% from 97% in July and from 96% a year ago. The Central Bank’s regulatory liquidity ratio – lending to stable resources ratio – was at 89% compared to regulatory ceiling of 100%. (Central Bank of UAE)