United Arab Emirates – The UAE Cabinet, chaired by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President, Prime Minister of the UAE, and Ruler of Dubai, has approved a historically high budget for 2025, amounting to 71.5 billion dirhams (almost 19.5 billion US dollars). This decision reflects the country’s sustained economic growth and its commitment to further developing key sectors that contribute to social and economic prosperity.
The 2025 budget allocates 39% to the social sector, focusing on education, healthcare, and public welfare. 35.7% will be directed towards public affairs to improve governance and law enforcement. Infrastructure and economic development will receive 3.6%, prioritising transport and tourism growth, while 4% will be allocated for strategic investments in new projects and technology.
Budget Allocation by Key Sectors
The budget for 2025 allocates significant funds across several key sectors:
– Social Sector (39%): The largest portion of the budget, accounting for 39%, will be directed towards social needs. These funds will be used to finance education, healthcare, public preventative measures, and various social programmes. Investment in the social sector underscores the government’s commitment to improving the quality of life for citizens and creating a more resilient social infrastructure. Specifically, enhancing education and access to quality healthcare remain top priorities.
– Public Affairs (35.7%): A substantial share of the budget—35.7%—will be allocated to public affairs. These funds will support government services and institutional processes, ensuring effective governance and the maintenance of law and order. This also includes funding for various initiatives aimed at improving public services and meeting the needs of the population.
– Other Federal Issues (17.7%): A total of 17.7% will be allocated to addressing other federal issues, such as security and rights protection, as well as supporting cultural and sporting events. These investments help strengthen social cohesion and promote cultural diversity.
– Infrastructure and Economy (3.6%): The budget for infrastructure projects and economic development will account for 3.6%. These investments will focus on improving the transport network, developing tourist infrastructure, and supporting small and medium-sized enterprises. Sustainable development in these areas is essential for the continued economic growth of the UAE.
– Investment Sector (4%): A small portion of the budget—4%—will be directed towards investments in new projects and technologies. This is crucial for ensuring the economy’s competitiveness and attracting foreign investment.
This budget creates a fertile environment for real estate development.