The UAE Cabinet, chaired by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President, Prime Minister and Ruler of Dubai, has approved the Federal General Budget Plan for 2027–2029, with a total outlay of $79.6 billion (AED292.5 billion).
The Cabinet also approved the Federal General Budget for fiscal year 2027, totalling $24.5 billion (AED90.1 billion), as part of the three-year plan. The approvals follow Federal Decree-Law No. (26) of 2019 on Public Finance, as amended, and related resolutions and recommendations.
Sector allocations
The Social Development and Pensions Sector receives $9.4 billion (AED34.6 billion), or 38.4 percent of the 2027 budget. Within that share, public and university education programmes account for 18.8 percent of the total budget, healthcare 6.7 percent, pensions 6.4 percent, social affairs 4.4 percent and public services 2.1 percent.
The Government Affairs Sector is allocated $7.9 billion (AED29.1 billion), or 32.3 percent, while Federal Expenses are earmarked $4.8 billion (AED17.8 billion), or 19.7 percent. The Financial Investments Sector will receive $1.5 billion (AED5.6 billion), or 6.2 percent, and the Infrastructure and Economic Sector $0.8 billion (AED3 billion), or 3.4 percent.
Aims of the 2027–2029 cycle
The budget cycle aims to advance fiscal sustainability and resilience, achieve global leadership in government financial performance, and consolidate the UAE’s international standing through effective partnerships. It also seeks to enable federal entities to use their approved allocations and deliver their objectives and programmes under the 2027–2029 strategic plan.
The new planning cycle places digital transformation at its core, with the UAE aiming to lead regionally and globally in adopting advanced technologies and artificial intelligence across government, economic activity, planning and financial analysis. It also aims to improve financial efficiency across the Federal Government and position the federal budget as a tool for future readiness.
Ministers’ comments
H.H. Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, First Deputy Ruler of Dubai, Deputy Prime Minister and Minister of Finance, said the plan and the 2027 budget should be measured by “the quality and scale of the sustainable impact they deliver across society,” not only by the scale of financial resources. He said the central objective is to improve the efficiency of government tools and accelerate development projects that deliver the highest standards of quality of life for citizens and residents.
He said the allocations for education and healthcare reflect the leadership’s commitment to sustained investment in people, and that the plan places particular emphasis on artificial intelligence and financial data analytics while simplifying requirements to ensure the resilience of the national economy amid global economic shifts. Sheikh Maktoum added that the UAE’s financial model rests on a balance between driving growth, funding strategic projects and maintaining fiscal discipline, while updating tax and development-related legislation.
Mohamed bin Hadi Al Hussaini, Minister of State for Financial Affairs, said the plan reflects a significant shift in managing public resources, aimed at greater agility and a more strategic approach to directing expenditure over the medium term. He said the plan was prepared in coordination with all federal entities and under the directives of the UAE General Budget Committee, with a focus on empowering federal ministries and institutions with the tools to meet their operational and strategic objectives.
