UAE’s Government revenues increase to AED 463.9 bn in 2021

Social contributions also rose to AED 13.5 bn
UAE’s Government revenues increase to AED 463.9 bn in 2021

During 2021, the revenues at the federal level increased by 26 percent, from 367.9 billion dirhams in 2020 to 463.9 billion dirhams in 2021, according to preliminary data released by the UAE Ministry of Finance (MoF).  

Social contributions also rose by 5 percent from 12.9 billion dirhams in 2020 to 13.5 billion dirhams in 2021. 

The value of other revenues (including interests received, dividends, rents, sales of goods and services, fines, penalties, and other transfers) increased by 24 percent from 203.8 billion dirhams in 2020 to 251.8 billion dirhams in 2021. 

Additionally, expenditures saw a 1 percent increase from 399.5 billion dirhams in 2020 to 402.4 billion dirhams in 2021. Meanwhile, capital expenditures decreased by 57 percent from 46.5 billion dirhams in 2020 to 20.0 billion dirhams in 2021.

Current expenses increased by 8 percent from 353 billion dirhams in 2020 to 382.4 billion dirhams in 2021. This includes workers’ compensation, use of goods and services, consumption of fixed capital, interest paid, subsidies, grants, social benefits, and other transfers.

In terms of net lending/borrowing, the results showed a significant increase at the federal level; while the results for 2020 showed a deficit of 31.7 billion dirhams, it achieved a surplus of 61.5 billion dirhams in 2021.

Net lending/borrowing measures governments’ ability to lend or their need to borrow and is considered an indicator of the financial impact of government activity on the economy.

Noteworthy that the Ministry’s data are in accordance with the criteria of the Government Finance Statistics Manual issued by the International Monetary Fund (IMF).

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