Glossary
Accrual Basis
The basis of accounting under which transactions and other events are recognised when they occur (and not only when cash or its equivalent is received or paid). Therefore, accounting transactions and events are recorded and recognised in financial statements of the periods to which they relate. Elements recognised under accrual accounting are assets, liabilities, net assets/equity, revenue, and expenses.
Source: Manual of Federal Government Accrual Accounting Standards
Balanced Budget
In a balanced budget, expected expenses do not exceed expected revenues.
Source: Budget Planning Handbook- 2010
Chart of Accounts
The Chart of Accounts is structured into chapters; for the federal budget, Chapters 1 (“Revenues”), 2 (“Expenditures”), 3 (“Assets”) and 4 (“Liabilities”) are the most important. Chapters are broken down hierarchically into groups and line items.
Source: Budget Planning Handbook- 2010
Credit Information
The person’s financial data, financial obligations, current and previous payments, financial rights including the revenue, movable and immovable assets thereof, any banking transactions and other significant data and information relating to the credit information and indicating the person’s eligibility and creditworthiness submitted by the information provider and based on which the credit record is created.
Catalogue
A list of standardised products or services offered by suppliers, including clear specifications and fixed prices. Federal entities can directly request purchases through the procurement system from approved suppliers listed in the catalogue.
Source in (Arabic):
Federal Government Procurement Procedures Guide (Available only in Arabic)
Digital Procurement Platform
The Digital Procurement Platform (DPP) is a comprehensive system that digitalises the procurement process across the UAE federal entities. Developed by the Ministry of Finance, it brings together the federal entities and registered suppliers on a single platform, where all the stages of the procurement process including announcement, bidding and following up on tenders, placing purchase orders, and generating invoices, can be completed online.
Source: Digital Procurement Platform
Double Tax Agreements
A DTA is an international agreement signed by two countries for the avoidance of double taxation and the prevention of fiscal evasion of taxes on income and capital. DTAs provide a means of settling the most common problems that arise in the field of international double taxation, on a uniform basis.
Electronic Invoicing System
An electronic system designated for the issuance, transmission, exchange and sharing of invoice and credit note data.
Foreign Account Tax Compliance Act (“FATCA”)
FATCA is a United States (“US”) automatic exchange of information regime designed to curb offshore tax evasion by US persons. It was enacted by the US in 2010 as part of the Hiring Initiative to Restore Employment (“HIRE”) Act. FATCA requires Foreign Financial Institutions (“FFIs”) outside the US to report information on financial accounts held by US persons.
Government Finance Statistics (GFS)
Government Finance Statistics (GFS) is a standardized statistical framework set out in the International Monetary Fund’s Government Finance Statistics Manual (GFSM), designed to measure government financial activities and analyze fiscal performance and financial position. It covers revenue, expense, transactions and other economic flows, as well as stock positions in assets and liabilities. The framework provides consistent data to support fiscal policy analysis, assess fiscal sustainability, enhance transparency, and enable international comparisons.
General Budget
The government budget approved by federal law, which includes the estimated public revenues to be collected and the estimated public expenditures to be disbursed by various federal entities during a specific fiscal year.
Source: Federal Decree Law No (26) of 2019 on Public Financial Management
General Revenues
The Federal Government Revenues resulting from its public and private properties, charges and taxes collected by the competent Federal Entities, the returns on investment in various economic activities, in addition to transfers, contributions and other financial revenues handed over or transferred to the Treasury Single Account and allocated to meet Public Expenditures in the General Budget of the State.
Source: Federal Decree Law No (26) of 2019 on Public Financial Management
Government's Own Stable Revenue
Financial revenue generated from the provision of services and implementation of various activities by the Government and Government Entities –whose revenue is part of the Government’s Own Stable Revenue, including the annual recurring revenue, for which no fixed and compulsory amount is required to be generated in order to classify such revenue as stable. This revenue may vary between specific percentages, up or down, but not exceeding ten percent [10%] of the arithmetic mean for the latest three (3) years.
Source: Federal Decree-Law No (9) of 2018, Regarding Public Debt
Public Debt
Direct and indirect outstanding obligations, denominated in the UAE Dirham or any other foreign currencies, owed by the Government, in accordance with the provisions of Decretal Federal Law No (9) of 2018, Regarding Public Debt.
Source: Decretal Federal Law No (9) of 2018, Regarding Public Debt
