- Home
- Middle East
- UAE
- Frontline Heroes Office salutes UAE’s Central Bank as an essential frontline institution
Frontline Heroes Office Salutes UAE’s Central Bank As An Essential Frontline Institution
Faizan Hashmi Published October 24, 2020 | 06:00 PM
ABU DHABI, (UrduPoint / Pakistan Point News / WAM - 24th Oct, 2020) The Frontline Heroes Office praised the positive and effective role of the Central Bank of the United Arab Emirates and its initiatives in sustaining the UAE economy during the COVID-19 pandemic.
Sheikh Sultan bin Tahnoun Al Nahyan, Chairman of the board of the Frontline Heroes Office, said, "The Central Bank of the United Arab Emirates stands out as one of the most essential frontline institutions in the country. The Central Bank demonstrated true leadership in protecting the UAE's financial infrastructure and banking system.'' "Swift action taken by the Central Bank protected lives. Among those kept in business thanks to the Central Bank’s programs were healthcare and other related service providers that have been critical to sustaining our national emergency response network and providing support for our frontline professionals.'' "Look at the national economies around the world that have suffered most over the last eight months. The greatest threat came from an inability to support and sustain liquidity and capital preservation in the banking system that directly impacted multiple facets of their national economies. Banks stopped providing loans, companies stopped paying vendors to protect working capital, and global supply chains froze, locking up trillions of Dollars. This resulted in mass bankruptcies and the loss of millions of jobs," he added.
Abdulhamid M. Saeed Alahmadi, Central Bank Governor, said "Our financial institutions are the backbone of the UAE economy. The Central Bank is committed to effectively relieving the pressure they face, allowing them to continue their critical role of providing financial relief and access to essential funding for businesses and households that fuel our national economic growth and prosperity, immediately and for long-term wellbeing."
Chairman of the Board of the Frontline Heroes Office added, "It is important to look at not only the actions taken by the Central Bank but also the direct impact those actions have had on thousands of companies essential to the long-term economic health of the UAE. We must recognize the incredible impact the Central Bank has had on hundreds of thousands of individuals and families affected by the pandemic.
"The immediate response by the Central Bank united and protected UAE financial institutions, enabling our banks to directly provide relief to businesses big and small across the UAE.
It allowed them to preserve capital, maintain liquidity and keep money flowing across national supply chains."
In March, the Central Bank introduced the AED 100 billion Targeted Economic Support Scheme, TESS, strategically engineered to ease the liquidity challenges of UAE banks. In early April, Alahmadi announced that the aggregate value of TESS and all capital and liquidity measures taken by the bank had reached AED 256 billion.
The innovative and comprehensive initiatives, presented by The Central Bank ensure the protection of capital, and well as maintenance of the minimum requirements that banks need to conserve, while allowing them to defer payments on capital and loans interests.
These Central Bank initiatives freed up capital to inject into the economy through loans to companies as well as individuals affected by the pandemic. This essential working capital enabled otherwise strong, healthy companies to stay in business, maintain payroll, preserve jobs, pay local vendors, and effectively keep the UAE economy moving forward.
Central Bank Governor explained that the benefits of the scheme were wide reaching, "By early October 2020, UAE banks had accessed in excess of 87 percent of allocated TESS funds, directly impacting more than 1,500 companies and 10,000 small and medium enterprises. The TESS program also directly supported 300,000 distressed UAE residents who lost their jobs due to COVID-19 or had been on extended unpaid leave.
It is difficult to measure the full immediate and long-term impact the Central Bank initiatives have had and will continue to have in the future. There is no question many companies across the UAE would not be in business today were our banks not empowered to provide support. Countless jobs would have been lost, exposing families across the country to enormous financial and health risks.
The Frontline Heroes Office was founded in July 2020 to recognise, champion and support frontline professionals who take exceptional measures to protect the health, safety, wellbeing and future opportunity of our nation and its people in times of our greatest need.
Related Topics
Recent Stories
Israel carries out attack inside Iran, report US media
Saudi Assistant Minister of Defence calls on army chief
Currency Rate In Pakistan - Dollar, Euro, Pound, Riyal Rates On 19 April 2024
Today Gold Rate in Pakistan 19 April 2024
Rock-solid Ruud racks up season-leading win in Barcelona
At UN, Iran says it will make Israel 'regret' reprisals
G7 hears calls for 'critical' Ukraine aid
EU seeks to leverage might to confront China, US challenge
5 Customs officials martyred as their vehicle ambushed by terrorists in D I Khan
Pak-New Zealand match called off due to rain
NHA restores traffic on roads affected by recent rains in Balochistan
China to fully support Pakistan's efforts against terrorism: Ambassador Jiang
More Stories From Middle East
-
UAE announces ‘Zero Bureaucracy Program’ to reduce bureaucracy
3 months ago -
COP28 President-Designate welcomes Transitional Committee agreement to operationalise Loss and Damag ..
6 months ago -
Global Media Congress 2023 to feature Co-Production Majlis as a new networking platform
6 months ago -
Young female athletes shine at Abu Dhabi World Youth Jiu-Jitsu Championship
6 months ago -
King of Jordan receives Abdullah bin Zayed and ministers participating in Arab coordination meeting
6 months ago -
Abdullah bin Zayed participates in coordination meeting of Arab foreign ministers, joint meeting wit ..
6 months ago
-
3rd annual conference of Emirates Society of Clinical Microbiology kicks off in Dubai
6 months ago -
SIBF 2023 hosts Nobel laureate to discuss emergence of ‘Afrofuturism’ in global discourse
6 months ago -
ALC announces winners of Kanz Al Jeel Award 2023
6 months ago -
SIBF turns spotlight on remarkable contributions of women
6 months ago -
Global assets in spot bitcoin ETFs hit $4.16 billion
6 months ago -
Rescuers struggle to find Nepal quake survivors as deaths reach 157
6 months ago