Federal Government boosts budget spend by over AED 1.23 billion

The UAE Federal Government's set to increase its 2022 budget spending by over 1.23 billion dirhams, following the latest meeting of the Federal National Council.

A statement on Twitter said the extra amount will be covered by the federal government's general reserves.

The UAE general budget revenues for the 2022 fiscal year are estimated to increase by AED 374,980,000 while the general budget expenses for the 2022 fiscal year are estimated to increase by AED 1,232,358,000.

مشروع قانون اتحادي في شأن إقرار ميزانية تكميلية للميزانية العامة للاتحاد عن السنة المالية 2022. #المجلس_الوطني_الاتحادي pic.twitter.com/kQdgpe4DmV

— المجلس الوطني الاتحادي (@fnc_uae) June 14, 2022

The UAE parliament also approved two draft laws amending provisions of the Federal Law No. 26 of 2019 on public finance.

The amendments include a new definition for consolidated final statements, several provisions to expand the scope of public finance law to include government companies, and the introduction of some provisions regulating accounting standards.

According to the draft law, the UAE government will adopt an accrual-based accounting system, in line with the UAE’s accounting standards. When drafting their budgets, federal authorities must comply with the financial appropriation limits allocated to them by the law on linking the general federal budget.

These expenditures will be disbursed, provided that they are specified and payable, in accordance with the relevant applicable legislation.

Government companies, as determined by the cabinet under a proposal from the Ministry of Finance, are obligated to provide the Ministry of Finance with the required reports and financial data in the form, in line with the contents and dates specified by the ministry.

FNC approves two draft federal laws on public finance, federal budget#WamNews https://t.co/U22BYbYkeD

— WAM English (@WAMNEWS_ENG) June 14, 2022