A parliamentary report approved by the Federal National Council (FNC) in its previous session revealed that the number of job vacancies in the 2026 federal government budget had increased to 7,842. This necessitates the launch of federal initiatives to fill the targeted vacancies.
The Federal National Council’s Committee on Financial, Economic and Industrial Affairs has prepared a report on the 2026 budget, which indicates that the draft budget reflects the outcomes of the recent government restructuring.
It includes seven new federal entities with a budget totalling Dhs1.315 billion. Three of these are in the government affairs sector: the Emirates Council for Research and Development, the Executive Office for Control and Non-Proliferation, and the National Committee for Combating Money Laundering, Terrorist Financing and Financing of Weapons.
There are also three entities in the social development sector, namely the Ministry of Higher Education and Scientific Research, the Ministry of Family Affairs, and the National Olympic Committee.
Finally, one entity is included in the infrastructure and economic resources sector, which is the Ministry of Foreign Trade.
The committee’s report confirmed that the budget included the restructuring of several entities within the social development sector. This included transforming the Ministry of Community Development into the Ministry of Community Empowerment, integrating early childhood education into the remit of the Ministry of Education, and establishing a Ministry of Sports.
The committee believes that these steps reflect the government’s approach to developing institutional structures and improving efficiency, in line with the objectives of the ‘We Are the UAE 2031’ vision.
However, the committee also notes that repeated restructuring in certain sectors may suggest difficulties in maintaining organisational stability and coordinating entities effectively, which could impact expertise accumulation and performance sustainability.
It pointed to the federal government’s policy of supporting public finances, stressing that federal fiscal policy maintains a sustainable financial balance. The 2026 budget was adopted with balanced revenues and expenditures of Dhs92.4 billion, without financing from reserves.
This reflects efficiency in resource management, financial discipline and support for the principles of sustainability.
It also reflects a decrease in the debt-to-self-generated revenue ratio, which fell from 128.3% in 2025 to 91% in 2026. This ratio is within legal limits and demonstrates the government’s ability to finance projects without disrupting the financial balance.
An assessment of the Union’s public revenues during the 2022–2026 fiscal cycle showed federal revenues growing from Dhs56.707 billion in 2022 to Dhs92.4 billion in 2026. This reflects an average annual growth rate of 12%, demonstrating the impact of economic diversification policies and the efficiency of financial management.
Tax revenues increased by 95%, while dependence on grants decreased by 12%. This enhances financial sustainability and represents a structural shift in federal financing, with self-generated revenues increasing by 78% in 2026 compared to a 14% decrease in Emirates’ contributions.
In its report on the evaluation of the Union’s public expenditure during the 2022–2026 fiscal cycle, the Committee made 11 observations. These included the growth of public expenditure from Dhs58.931 billion in 2022 to 92.4 billion in 2026 at an annual average rate of 10.12%, a fundamental shift in expected financial trends (2024–2026), where expenditure is growing at a higher rate than revenue (20.10% compared to 18.6%), and a strategic shift in budget structure due to an increase in financial investment allocations to 17% of the total budget, compared to 4% previously. This reflects the government’s orientation towards building long-term assets and diversifying income.
The report added that the fourth observation was the accelerated growth of social development (30%), driven by increased investment in education and healthcare. This made it the second fastest-growing sector after financial investment.
The fifth observation was the significant increase in public education funding (71%), resulting from the sector’s restructuring and the transfer of operational budgets to the Emirate of Abu Dhabi. This excluded the ‘Developing the Future of Education’ project, despite its importance and previous allocations.
The sixth observation was the strengthening of the role of higher education in the knowledge economy (34%), supported by universities and research centres, as well as the establishment of the Ministry of Higher Education and Scientific Research.
The report noted that the seventh observation was the enhancement of drug security in line with the growth of the health sector (38%), which resulted from increased allocations to the Emirates Drug Foundation rising from Dhs15 to Dhs160 million.