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ABU DHABI/WAM
His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President, Prime Minister of the UAE and Ruler of Dubai, has chaired a Cabinet meeting held at Qasr Al Watan in Abu Dhabi. The meeting was attended by His Highness Sheikh Mansour bin Zayed Al Nahyan, Vice President, Deputy Prime Minister, and Chairman of the Presidential Court; H.H. Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai, Deputy Prime Minister and Minister of Defence; H.H. Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, First Deputy Ruler of Dubai, Deputy Prime Minister, and Minister of Finance; H.H. Lt. General Sheikh Saif bin Zayed Al Nahyan, Deputy Prime Minister, and Minister of the Interior.
His Highness Sheikh Mohammed bin Rashid Al Maktoum said, “I chaired today’s meeting of the UAE Cabinet at Qasr Al Watan in Abu Dhabi. During the session, we approved the Federal Budget for 2026, with projected revenues of AED92.4 billion and equally balanced expenditures. The 2026 Federal Budget is the largest since the founding of the Union. It strengthens the federal framework and reaffirms our continued commitment to balanced development. The Cabinet also approved the establishment of a Federal Financial Support Programme, which will be reinforced annually through dedicated allocations from the federal budget, ensuring the financial sustainability and institutional resilience of federal entities.
H.H. added, “During the meeting, we reviewed the results of the National Agenda for Outbound Direct Investment for 2024, which showed that the UAE’s cumulative outbound investments reached AED1.05 trillion, recording a 9% growth compared to the previous year. The UAE ranks first in the Arab world and among the top 20 global economies in outbound foreign direct investment. We also approved 35 international agreements and memoranda of understanding in various areas of economic and development cooperation, and reviewed the results of the UAE Export Development Policy, which rose from AED470 billion in 2019 to AED950 billion in 2024, marking a 103% increase.
H.H. concluded, “Our budgets remain balanced, our investments continue to grow, our foreign trade gains momentum, and our economy advances with confidence and stability under the leadership of Sheikh Mohamed bin Zayed, who continues to guide our nation from strength to strength, towards greater prosperity, stability, and a dignified life for its people and all who call the UAE home.”
During the meeting, the UAE Cabinet approved the Federal General Budget and the budgets of independent entities for the fiscal year 2026, with estimated expenditures of AED92.4 billion, and estimated revenues of AED92.4 billion, reaffirming the government’s commitment to maintaining a balance between estimated expenditures and revenues. This represents the largest federal budget to date. The approved budget of 2026 is the largest federal budget ever in the history of the Union.
The 2026 budget scored a 29% increase in both estimated expenditures and revenues compared to those of 2025, reflecting the strength of the national economy and the sustainability of financial resources to fund development, economic, and social projects.
The Budget is distributed across several key sectors, in line with the national priorities and the objectives of “We the UAE 2031” Vision. Allocations include AED34.6 billion for the social development and pensions sector (37% of the total federal budget), AED27.1 billion for government affairs (29%), AED15.4 billion for financial investments (17%), AED12.7 billion for federal expenses (14%), and AED 2.6 billion (3%) has been allocated to the infrastructure and economic development sectors.
The Cabinet reviewed the outcomes of implementing the National Agenda for Outbound Direct Investment 2024, which showed that the cumulative balance of outbound FDI reached AED1.05 trillion by the end of 2024, and grew by 9% compared to 2023. Outbound FDI flows from the UAE to global markets totaled AED86 billion, marking a 4.8% increase from 2023.
The UAE ranked among the world’s top 20 outbound investors, ranked first in the Arab world, scoring 38.4 per cent of total Arab outbound flows, first in West Asia by 35.1% of total regional flows, and first in the Middle East and North Africa region by 35% of total regional flows.
The Cabinet also reviewed the outcomes of implementing the UAE Export Development Policy, which focuses on opening new global markets. The total value of non-oil trade between the UAE and the target countries increased from AED469.3 billion in 2019 to AED952.6 billion in 2024, a rise of 103%. The value of total exports increased from AED40.1 billion in 2019 to AED139.3 billion in 2024, which is 247%.
Comprehensive Economic Partnership Agreements (CEPAs) signed with several countries have supported this growth by expanding market access, facilitating trade and investment, and enhancing value chains, strengthening the UAE’s position as a leading global trade hub.
As part of the UAE’s efforts to conserve natural resources, the Cabinet approved the National Guideline for Assessing the Economic Value of Groundwater in the UAE. The guideline aims to preserve national groundwater reserves, reduce consumption, and ensure water security for future generations. It supports the goals of the National Water and Energy Demand Management Programme 2050, the UAE Water Security Strategy, the National Food Security Strategy 2051, and the UAE Green Development Strategy.
The Cabinet approved the issuance of the UAE Biennial Transparency Report (BTR) on greenhouse gas emissions, which highlights national efforts to mitigate and adapt to climate change, in line with the Paris Agreement. The report outlines progress achieved on implementing the Nationally Determined Contributions (NDCs) in climate action, including data on emissions inventories, mitigation actions, and adaptation measures, and improvement plans.
The Cabinet reviewed the National Food Safety Committee’s 2024 Annual Report, which included the formation of a national team to review and evaluate food safety legislation to reinforce compliance to food safety requirements, the launch of the strategic project “Food Control System Assessment in the UAE” in cooperation with the Food and Agriculture Organization (FAO), and the development of a unified national approach to food risk assessment. The report also highlighted the launch of a national training plan for food establishment employees to enhance competencies and ensure compliance with food safety standards.
The Cabinet reviewed the Securities and Commodities Authority’s annual report, as well as the Federal National Council’s recommendations on the Government’s Policy on the Management and Sustainability of Waqf (Endowments) and Zakat Funds. It also approved the updated guidebook on the Accounting Standards in the Federal Government, ensuring alignment with International Public Sector Accounting Standards (IPSAS), and reviewed the outcomes of the UAE’s participation in various international conferences and events.
The UAE Cabinet approved the reformation of the Health Council, chaired by Ahmed bin Ali Al Sayegh, Minister of Health and Prevention, with the membership of senior representatives from federal and local health authorities, as well as the private healthcare sector. The Cabinet also approved the reformation of the National Committee for Public Health, chaired by Ahmed bin Ali Al Sayegh.
The Cabinet approved a decision to update federal legislation related to social support and empowerment, aimed at strengthening shared social responsibility, enabling beneficiaries to join labour market, and promoting their economic independence. The updated legislation also ensures social protection is offered to the most vulnerable segments of the community, and that assistance is provided to low-income Emirati families to meet their living needs and secure a dignified life. The Cabinet also approved the issuance of a resolution regarding excise goods and taxes, and the executive regulations of the Federal Decree-Law on Anti-Money Laundering and Combating Financing of Terrorism, and Weapon Proliferation Financing.
In international affairs, the Cabinet approved the ratification of several agreements, including an air transport agreement with the State of Qatar and a cooperation agreement with the Republic of Tunisia. It also approved negotiations and the signing of more than 30 additional agreements and memoranda of understanding with several countries in various fields, including double taxation, nuclear regulation, the establishment of joint business councils, cultural and media cooperation, and public finance management.
The Cabinet also approved the UAE’s hosting of the International Conference on Artificial Intelligence for Cybersecurity and the Second National Conference of Medical Colleges.