Wednesday, Oct 12, 2011
Gulf News
Abu Dhabi: The UAE Cabinet yesterday approved the draft Federal Budget for 2012 with an estimated income of Dh41.4 billion and an estimated expenditure of Dh41.8 billion.
Economists hailed the draft federal budget as progressive and result-oriented.
Dr. Amjan Hossain, Professor of Economics, from the UAE University at Al Ain said the draft federal budget has laid a lot of emphasis on socio-economic development.
It will bring financial benefits in the long-term for the country. In the short-term, more economic activities will be initiated in the UAE that would increase overall productivity, said Hossain.
The social services sector accounted for 47 per cent of the budget. This includes public education, higher education, health, social affairs, Islamic and cultural affairs, youth and community development.
Government affairs budget accounted for Dh 17.5 billion (42 per cent of the draft federal budget), which includes Defence, Interior, Justice, Foreign Affairs, and other Federal administrations.
The estimated expenditure for the 2012 budget was increased by Dh 1.1 billion, in line with the directives of the UAE leadership to support the health and higher education sector. The 2012 draft budget specified Dh1.6 billion for infrastructure to support ministerial building and road projects, as well as maintenance works for school, ministerial service and hospital buildings.
The budget for the Federal Electricity and Water Authority (Fewa) for 2012 is Dh5 billion to complete electricity network expansions and to meet growing water needs in the UAE.
The Cabinet also approved 11 double taxation avoidance agreements with countries with the aim of strengthening economic partnerships of the UAE.
Mohammad Amerah, an Abu Dhabi-based economist, told Gulf News, The quality of services will become better and the number of services available will be more to cater to a fast-expanding population.
By Himendra Mohan Kumar, Staff Reporter
Gulf News 2011. All rights reserved.
