Dubai approves largest budget in history with 21% surplus revenues for the first time

Revenues for 2025-2027 are expected to exceed expenditures by about Dh30 billion

Web Desk

Published: Tue 29 Oct 2024, 2:51 PM

Last updated: Tue 29 Oct 2024, 10:15 PM

Dubai approved the largest budget in its history on Tuesday, the emirate's Ruler Sheikh Mohammed bin Rashid Al Maktoum announced.

From 2025 to 2027, Dubai's revenue is projected reach Dh302 billion and a total expenditure of Dh272 billion — achieving a 21-per-cent operating surplus for the first time, said Sheikh Mohammed, who is also the Vice-President and Prime Minister of the UAE.

Advertising

In the 2025 budget, Dubai remains focused on enhancing social services and improving the quality of life in key sectors such as health, education, culture, and infrastructure.

Stay up to date with the latest news. Follow KT on WhatsApp Channels.

"The goal is to create financial sustainability for the Dubai Government. This year, we also launched a portfolio worth Dh40 billion for partnership between the public and private sectors," Sheikh Mohammed said.

"Forty-six per cent of next year’s budget has been allocated to infrastructure projects including roads, bridges, energy, and drainage networks, in addition to the construction of the new airport... Thirty per cent of the budget (will be allotted) to health, education, social development, housing, and other community services," he added.

The three-year budget cycle aligns with future ambitions to promote sustainable economic growth, enhance community well-being, and solidify Dubai's reputation as a land of opportunity and innovation.

Estimated expenditures for the fiscal year 2025 are Dh86.26 billion, with revenues projected at Dh97.66 billion. The budget also includes a general reserve of Dh5 billion in revenues, underscoring the emirate's commitment to supporting development projects, stimulating the overall economy, and achieving the future ambitious goals.

The 2025 budget has allocated 30 per cent of total government expenditures to the social development sector. This encompasses health, education, scientific research, housing, and support for needy families, women, and children. It also includes investments in youth and sports, and care for the elderly, retirees, and people of determination, aligning with the goals of the Dubai Social Agenda 33 and the Education Strategy 2033.

Significant attention has been given to the security, justice, and safety sector, with 18 per cent of total expenditures dedicated to its support and development. This sector remains one of the most critical in the emirate.

Expenditures approved for the infrastructure sector and its related construction projects account for 46 per cent of the government's total spending. These projects encompass roads, tunnels, bridges, transportation systems, sewage stations, parks, renewable energy facilities, and the rainwater drainage network development plan.

This also includes the recently announced Al Maktoum Airport development project and other initiatives supporting quality of life and promoting smart and sustainable transportation strategies in Dubai.

The emirate has also allocated 6 per cent of total government spending to support the public services sector, government excellence, creativity, innovation, and scientific research.

Last year, the emirate approved an expenditure of more than Dh79 billion for 2024. The revenue for this year was estimated at Dh90 billion.

Earlier this month, the UAE Cabinet approved the 2025 federal budget of Dh71.5 billion, which was also the largest in the country's history.

ALSO READ: