The United Arab Emirates has approved a federal budget of AED 292.5 billion for 2027-2029, a 28.3% increase over the previous three-year period. The 2027 budget has been approved with estimated expenditure of AED 90.1 billion, with education, healthcare, housing and social services remaining key priorities.
The UAE Cabinet, chaired by Sheik Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, approved the budget on October 12, 2026. Sheikh Mohammed announced the decision, highlighting the government's focus on citizens' quality of life and stability.
The 2027 federal budget allocates funds across five major spending categories, with social development and government affairs receiving the largest shares.
According to the announced allocations, AED 34.6 billion, or 38.4% of the budget, will go towards social development and social benefits. Government affairs will receive AED 29.1 billion, accounting for 32.3% of the total.
The government has allocated AED 17.8 billion to federal expenses, representing 19.7% of the budget. It has also earmarked another AED 5.6 billion, or 6.2%, for financial assets and investments.
Infrastructure and economic resources will receive AED 3 billion, equivalent to 3.4% of the 2027 budget.
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Sheikh Mohammed said the government's priorities remained unchanged, naming education, health, housing, social services, and the quality of life and stability of citizens.
The spending plan reflects the UAE's focus on sustaining public services while supporting social and economic development. The three-year allocation also provides a medium-term framework for funding government programs and strategic projects.
The UAE's 2027-2029 budget cycle also emphasizes using artificial intelligence to improve financial planning and data analysis, simplify procedures, and strengthen efficiency across federal government entities.
The Ministry of Finance has identified future readiness, sustainable development and improved government services as key objectives of the new planning cycle. The approach is intended to strengthen public finance management while supporting long-term national priorities.
The approved budget sets out the UAE's spending priorities for the next three years, balancing funding for essential public services with investment in infrastructure, technology and future development.