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FINANCIAL NEWS
UAE banks must get cabinet approval to give loans to federal offices
06 Feb 2012
(MENAFN) The UAE Central Bank said that it ordered the country’s banks not to give loans to federal offices without a prior approval by the federal cabinet, reported Emirates 24/7.
The bank added that the move was taken to restrain overspending by public departments and ensure a balanced budget at the end of the fiscal year.
It also said that banks should give the central bank details of all accounts held by federal government institutions with two weeks from February 2.
It is worth noting that the central bank’s order was given to the UAE’s 23 national banks and 28 foreign units.
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