EDB home finance portfolio to hit Dh1.25B by year end

dubai — The Emirates Development Bank (EDB) said its portfolio of home finance for UAE nationals is expected to reach Dh1.25 billion by the end of 2018.

Obaid Humaid Al Tayer, Minister of State for Financial Affairs and chairman of the EDB board of directors, said the bank’s portfolio of home finance for UAE nationals has already reached Dh938 million for 1,012 Emiratis.

This compares to Dh150 million at the end of 2016 and is seen as a result of the bank’s approved UAE nationals home finance strategy which contributes to achieving the national agenda in terms of the housing sector.

Al Tayer said the bank offers home finance for UAE nationals with competitive advantages and credit flexibility, which reduces the financial burden on Emiratis. The bank facilitates real estate credit for family housing and also offers top-up loans for Emiratis to cover the cost of construction and residential assistance granted by the federal and local housing authorities, to enable local families to build their own homes. “The objective is to contribute to enhancing social stability and family security in line with the UAE Vision 2021.”

Al Tayer said the home finance strategy has established significant success in enabling Emiratis to purchase or construct their own homes, granting a host of tangible benefits including improving the standard of living, easing the financial burden and enabling them to attain social stability.

The bank has provided 841 additional home finance solutions for UAE nationals who received government housing assistance from federal and local housing authorities, including 761 clients of the Sheikh Zayed Housing Programme. This will contribute to enabling federal and local housing authorities to implement their own development programmes, thus strengthening cooperation with local and federal authorities operating in the public housing sector.

The bank’s SME financing products accounted for a combined value of Dh357 million during the first half of 2018. This is expected to reach Dh500 million in 2018.

“SMEs are the main economic pillar in the UAE and are considered the engine for creating job opportunities, which promotes sustainable economic development in the country and strengthens its competitiveness both regionally and globally, accelerating the country’s transformation towards a knowledge-based economy, driven by creativity and innovation, in line with the national agenda,” the bank said.