UAE Cabinet approves $79.65 billion federal budget for 2027–2029

Total three-year spending rises 28.3% on the previous cycle, with social development and pensions taking the largest share of the 2027 allocation

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The UAE Cabinet has approved a Dh292.5 billion federal budget for 2027 to 2029, marking a 28.3% rise in spending over the previous three-year cycle. Social development and pensions take the largest share of the 2027 allocation at Dh34.6 billion.

Key points

  • UAE Cabinet approves Dh292.5bn budget for 2027–2029 period
  • Three-year spending rises 28.3% compared with previous cycle
  • Social development and pensions take 38.4% of 2027 budget

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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 the federal budget for 2027–2029, with expenditures totalling AED292.5 billion, an increase of 28.3 per cent compared with the preceding three-year period.

The Cabinet also approved the federal budget for the 2027 fiscal year, with estimated expenditures of AED90.1 billion, as part of the three-year spending plan.

The budget sets out allocations for education, healthcare, housing, social services, government affairs, infrastructure and investments, alongside programmes supporting economic and social development.

Sheikh Mohammed outlines UAE budget priorities for 2027–2029

Announcing the approval, Sheikh Mohammed said the government would continue to prioritise education, health, housing, social services and the welfare of citizens.

“Today, we approved the Federal General Budget for 2027 to 2029 with total expenditures of AED292.5 billion, up 28.3% on the previous three years, and the 2027 budget with expenditures of AED90.1 billion. Our priorities are fixed and have not changed: education, health, housing, social services, and the quality of life and stability of our citizens. Under the leadership of President His Highness Sheikh Mohamed bin Zayed Al Nahyan, we will keep consolidating our gains, protecting our achievements and working to build the best life,” Sheikh Mohammed said in a statement.

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The budget forms part of the government’s efforts to develop its financial planning system, improve spending efficiency and maintain funding for government programmes and projects.

UAE allocates AED34.6 billion to social development and pensions in 2027

Social Development and Pensions received the largest allocation in the 2027 budget, accounting for AED34.6 billion, or 38.4 per cent of expenditures.

Government Affairs was allocated AED29.1 billion, representing 32.3 per cent of the budget, while Federal Expenses accounted for AED17.8 billion, or 19.7 per cent.

The Cabinet also allocated AED5.6 billion, equivalent to 6.2 per cent, to Financial Assets and Financial Investments, and AED3 billion, or 3.4 per cent, to Infrastructure and Economic Resources.

Budget categoryAllocationShare
Social Development and PensionsAED34.6bn38.4%
Government AffairsAED29.1bn32.3%
Federal ExpensesAED17.8bn19.7%
Financial Assets and Financial InvestmentsAED5.6bn6.2%
Infrastructure and Economic ResourcesAED3bn3.4%
TotalAED90.1bn100%
UAE federal budget 2027: Breakdown of spending by sector

Education, healthcare, employment and infrastructure among spending priorities

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The federal budget covers community protection and safety, the economy of the future, education, employment and empowerment, health and quality of life, leadership, government affairs and international relations.

It also covers industry, technology, energy, infrastructure, culture, media and sports.

The allocations are intended to support programmes and projects linked to the UAE’s national priorities, including citizen welfare, economic development, government services and investment in future opportunities.

Education, healthcare, housing and social services remain among the areas identified by Sheikh Mohammed as priorities for government spending.

UAE budget 2027–2029 focuses on financial planning and resource management

The three-year budget is part of the UAE government’s approach to planning expenditure over multiple fiscal years, managing resources and maintaining funding for projects and programmes.

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The framework seeks to improve the efficiency of resource management and direct spending towards sectors linked to national development priorities.

It also aims to ensure that the implementation of government projects and programmes continues throughout the budget period, supporting the country’s development, economic and social objectives.

The approval reflects the government’s approach to balancing current development requirements with investment in future opportunities.

The budget is also intended to support a financial system based on flexibility, efficiency and sustainability, while maintaining funding for programmes across government sectors.

Through the 2027–2029 spending plan, the government aims to continue implementing its development agenda, support economic and social progress and strengthen the UAE’s position among countries with higher levels of development and prosperity.

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