The UAE is adjusting to the “lower-for-longer” oil price environment from a position of strength, which is reflected in its large financial buffers, long-standing safe-haven status, diversified and business-friendly economy, and sound financial system. The authorities are further streamlining spending and improving the business environment. Yet fiscal and external balances have weakened, the economy has decelerated, and banks are having to adapt to the more challenging environment.
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