UAE Sept foreign assets fall to 7-month low
Dubai, January 4, 2012
The UAE central bank's foreign currency assets fell to a seven-month low of Dh182.6 billion ($49.7 billion) at the end of September from Dh187.9 billion in the previous month, central bank data showed on Wednesday.
Gulf oil exporters such as the UAE mainly invest in dollar assets since most peg their currencies to the US dollar and crude oil, priced in dollars, provides most of their budget revenue.
The central bank governor had last year said that it had resumed investing in US Treasury bonds because interest rates on them were now reasonable.
The holdings of foreign securities touched Dh73 billion in September, the data added.-Reuters