Federal Budget 2018
The largest budget ever announced by MoF
The second general federal budget of the five-year plan from 2017-2021 was announced at the beginning of November 2017, and totalled AED 51.4 billion, an increase of 5.6% from 2017. The budget for 2018 represents the largest drafted by the UAE Ministry of Finance to date.
Allocations of the budget
The federal budget for fiscal year 2018 was allocated to the key sectors for the UAE, with the budget for Social Development and Social Benefits standing at AED 26.3 billion, equating to 43.5% of the total. The UAE Government was allocated a total of AED 22.1 billion, or 36.5% of the total budget.
The 2018 federal budget was drafted in line with the the International Monetary Fund (IMF) standards relating to government financial statistics. MoF continues to adopt a functional classification of government expenditure initiative, as it has done since 2014. This places a focus on classifying government expenditure according to social and economic goals. This classification facilitates financial analysis procedures, showcasing the effectiveness of governmental financial provisions for public services, in addition to enabling international comparisons with countries that implement the same functional classification system.
The complete breakdown of the UAE’s drafted general federal budget for 2018 is illustrated below: