Dubai: The UAE banks are expected to face a much lesser volatile operating environment in 2021 compared to last year, however, the lingering impact from 2020 will continue to pressure profits and asset quality, according to analysts. Banks are expected to report in excess of an average 20 per cent year on year decline in profits for the whole of 2020 with earnings outlook remaining modest in 2021. The UAE banks have suffered the effects of three pronged storm in 2020 including a weak economic backdrop, the impact of the global pandemic and geo political tensions, according to a recent analysis by Bank of America Merrill Lynch (BoAML).