Profits at banks in the UAE expanded in 2011 year, despite tough times, according to the Emirates’ Central Bank. Bank profits grew by 11.3 per cent to reach Dh24.98 billion (US$6.8bn) in the first 10 months of last year, a figure that’s positive, but not as good as many analysts had expected. Banks were able to bounce bank in large measure from the financial crisis of 2009 by restoring the balance between deposits and loans. There was enough liquidity from reserves, deposits and capital to meet local demands. However, there is a danger that this trend could be short lived. In the fall of 2011 there was growth in the ration of loans to deposits. Banks have also had to set aside capital cushions to avoid exposure to loans that have been restructured by government linked entities.