UAE central bank holds base rate at 3.9%
The Central Bank of the UAE held the base rate on its overnight deposit facility at 3.9% on 28 October 2026. The decision followed the US Federal Reserve’s move to leave its interest rate on reserve balances unchanged.
Short-term liquidity borrowing from the central bank remains priced at 50 basis points above the base rate across standing credit facilities, a spread of 0.5 percentage points.
The base rate signals the monetary policy stance and provides an effective floor for overnight money-market rates in the country. It is not a rate charged uniformly to every household or business: the decision concerns central bank instruments.