Middle East Economic Survey
UAE Central Bank Targets Cheaper Interbank Lending
The Central Bank of the UAE has recently implemented a number of measures to coax banks to lend to each other at cheaper rates. Interbank lending virtually dried up around the globe in the last quarter of 2008 and the beginning of this year as a result of the credit crunch. Like most other countries, the UAE was impacted, and interbank lending rates ratcheted sharply higher. Since then...