Posted inEconomyNews

Dubai approves historic Dh272 billion budget for 2025-2027

The government expects to receive revenues of Dh302 billion over the next two years.

UAE Golden Visa digital currency investor: Dubai skyline with Burj Khalifa
Credit: Shutterstock

Dubai’s government has approved its largest-ever budget, with expenditures amounting to Dh272 billion, which would be offset by Dh302 billion in revenues for 2025-2027.

HH Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai approved the ambitious budget cycle, which aims to drive sustainable economic growth and enhance quality of life.

For 2025, expenditures are estimated at Dh86.26 billion, with revenues projected at Dh97.66 billion. The budget includes a reserve of Dh5 billion to support development projects and stimulate economic growth, aligning with strategies like the Dubai Plan 2030 and the Dubai Economic Agenda D33.

Sheikh Mohammed also added that next year’s budget would achieve an operating surplus of 21% of total revenues for the first time.

“Dubai Finance is committed to achieving the government’s financial sustainability, enhancing competitiveness and transparency, and boosting the emirate’s attractiveness for investment,” said HE Abdulrahman Saleh Al Saleh, Director General of Dubai Finance (DF). “Our financial plans are designed to be both flexible and scalable.”

Sector breakdown

A significant portion of the 2025 budget focuses on social services, allocating 30% of total expenditures to health, education, and infrastructure. This encompasses health, education, scientific research, housing, and support for needy families, women and children.

The government’s financial plan also emphasises sectors like security and justice, which receive 18% of the budget.

Infrastructure projects, including transportation and renewable energy, account for 46% of 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 sustainable transportation initiatives.

Additionally, the emirate has allocated 6% of total government spending to support the public services sector, government excellence, creativity, innovation, and scientific research.

Finally, the budget also focuses on boosting financial sustainability and investment attractiveness, as well as digitalisation efforts, intending to achieve 90% cashless transactions by 2026 and initiatives like the Smart Installment and Biometric Payment Systems.

Earlier this month, the UAE Cabinet approved the country’s largest national budget, with expenditures reaching Dh71.5 billion for the 2025 fiscal year, reflecting a 12% increase from 2024.