Yemeni Banks Complain of Decline in Deposit Accounts

National Yemen

By NY Staff

In the last months of 2014, Yemeni banks have complained of a decline in customer accounts. Deposits in the Yemeni banks were 2.2 trillion riyals in October 2014, slightly down by nearly 15 billion riyals in September.

A report released by the Yemeni Central Bank said funds provided by commercial and Islamic banks to the private sector record a slight decrease in the same month, amounting to three billion riyals and bringing total credit to 550 billion riyals. The consolidated balance sheet of commercial and Islamic banks decreased to 2.7 trillion with a drop of about 5.3 billion riyals at the end of October if compared to September.

According to the report, banks’ foreign assets decreased to nearly two billion with a drop of nearly $8 million in August. Bank reserves at the Central Bank of Yemen were 290 billion riyals in October while the value of treasury bills and repo processes with commercial banks increased by four billion riyals for September, while the value of Treasury bills and repo processes with commercial banks in September rose to 1.2 trillion, an increase of 11 billion riyals.

The report noted that the value of the government bonds’ amounted to nine billion riyals in October during the three last years, bringing the outstanding balance of bonds issued by the government to 728 billion riyals.