Cabinet Approves an AED 292.5 Billion Budget Built Around AI
A three-year federal spending plan that names artificial intelligence and financial data analytics among its priorities hands the country's government buyers their clearest capital signal of the season.
The UAE Cabinet, chaired by Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, has approved a Federal General Budget Plan for 2027 to 2029 with a total outlay of AED 292.5 billion, alongside a federal budget for the 2027 fiscal year of AED 90.1 billion. The approvals were made under the public finance provisions of Federal Decree-Law No. 26 of 2019 in its amended form and related resolutions.
Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, First Deputy Ruler of Dubai, Deputy Prime Minister and Minister of Finance, said the plan should be measured not by the scale of its financial resources but by the sustainable impact it delivers, and that it places particular emphasis on harnessing artificial intelligence and financial data analytics while simplifying requirements to protect the national economy. He described the spending as an investment in a proactive government services ecosystem that exceeds expectations.
For the 2027 fiscal year, social development and pensions takes AED 34.6 billion, or 38.4 per cent, including 18.8 per cent for public and university education, 6.7 per cent for healthcare, 6.4 per cent for pensions, 4.4 per cent for social affairs and 2.1 per cent for public services. Government affairs is allocated AED 29.1 billion, or 32.3 per cent; federal expenses AED 17.8 billion, or 19.7 per cent; financial investments AED 5.6 billion, or 6.2 per cent; and the infrastructure and economic sector AED 3 billion, or 3.4 per cent. Mohamed bin Hadi Al Hussaini, Minister of State for Financial Affairs, said the plan marks a shift towards a more strategic approach to directing expenditure over the medium term. The government said the new strategic planning cycle places digital transformation at its core.
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