The United Arab Emirates (UAE) government capped off 2023 with a robust financial performance, according to a report released by the Ministry of Finance (MoF). The preliminary results of the UAE Government Finance Statistics Report for the fourth quarter (Q4) 2023 revealed a significant increase in government revenue, reaching Dh155.9 billion ($42.7 billion). This positive trend comes amidst the UAE's ongoing efforts to diversify its economy and establish itself as a global business and investment hub.
The report further highlighted that government expenditures during Q4 2023 amounted to Dh131.3 billion ($35.8 billion). This figure encompasses net investments in non-financial assets and current expenses, including employee wages, utility costs, and social benefits. Notably, the positive difference between revenue and expenditure resulted in a net lending/net borrowing value of Dh24.6 billion ($6.7 billion) for Q4 2023. This metric signifies the government's fiscal strength and its ability to invest in key sectors without resorting to excessive borrowing.
Younis Haji Al Khoori, Undersecretary of the MoF, emphasized the government's commitment to diversifying revenue streams while optimizing resource allocation and streamlining public spending. He pointed out that these measures would contribute to the UAE's overall development, enhance its economic competitiveness, and ensure long-term financial sustainability.
Al Khoori elaborated on the UAE's focus on fostering a dynamic economic environment and improving its tax system. These initiatives align with the country's broader strategic goals of economic diversification and solidifying its position as a leading center for international business and investment.
The release of the preliminary financial data aligns with the UAE's open data policy, adhering to the International Monetary Fund's Government Finance Statistics Manual standards. The Government Finance Statistics (GFS) framework provides a comprehensive picture of the government's financial activities, fostering transparency and accountability.