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The federal budget for the fiscal year 2026 introduces a renewed vision that reflects the leadership’s commitment to a people-centred development approach, positioning human capital as the cornerstone of a cohesive society and a prosperous future. The Federal Budget supports development programmes that empower all members of society, enhance quality of life, and improve government services. This marks a significant milestone in sustainable development efforts, strengthening families and deepening social cohesion.
Data from 2024 to 2026 indicates a significant improvement in financial performance, with full fiscal balance achieved in both 2025 and 2026. This highlights the success of the Federal Government in rationalising expenditure, growing revenues, and strengthening financial sustainability. This balanced financial performance not only reflects the strength of fiscal policies but also reinforces the government’s ability to allocate resources to sectors that directly impact the core of society, such as education, health, environment, social affairs, energy, and infrastructure. This supports continued efforts by the UAE to invest in a sustainable future for Emirati families and residents, ultimately supporting the development of a cohesive and prosperous society.
Federal Government revenues for the 2026 fiscal year are projected at approximately AED 92.40 billion, marking a 29% increase over the estimated revenues for 2025. This growth is primarily driven by the introduction of corporate tax, alongside higher federal service fees and stronger investment returns.
In line with the Federal Government’s efforts to increase investment in projects with high economic and social impact, and to expand initiatives aimed at developing infrastructure and improving the quality of services provided to citizens and residents, total Federal Expenses for fiscal year 2026 are projected at approximately AED 92.40 billion. This growth underscores the UAE’s ability to drive development and empower society through a more comprehensive and effective support framework, enabling the delivery of world-class government services and the achievement of the UAE’s vision objectives.
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