UAE approves Dh71.5B federal budget for 2025

The UAE Cabinet has approved a record-breaking federal budget of Dh71.5 billion for 2025, the largest in the nation's history. The announcement was made following a meeting chaired by Sheikh Mohammed bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE and Ruler of Dubai.

The new budget reflects the robustness of the UAE's economy and the sustainability of its resources. In comparison, the 2024 federal budget stood at Dh64.06 billion, marking a 1.6% increase from the previous year's Dh63.066 billion. For the years 2023 to 2026, a total federal budget of Dh252.3 billion had been previously allocated.

The 2025 budget will focus on key areas, with 39% of the total funds directed towards social development and pensions, amounting to Dh27.859 billion. Government affairs will receive 35.7% or Dh25.57 billion, of the budget.

The breakdown of the social development fund includes:

- Dh10.914 billion for public and higher education programs

- Dh5.745 billion for healthcare and community prevention services

- Dh3.744 billion for social affairs

- Dh5.709 billion for pensions

- Dh1.746 billion for public services

Additionally, Dh2.864 billion (4%) will be allocated for financial investments, and Dh2.581 billion (3.6%) will go toward the infrastructure and economic sector.

Other federal expenses, amounting to Dh12.624 billion, will account for 17.7% of the budget.