DUBAI: The United Arab Emirates cabinet on Tuesday approved the 2013 federal budget, which projected a rise in both spending and revenue without any shortfall.
Spending was projected at 44.6 billion dirhams ($12.1 billion), increased by 6.7 per cent on the 2012 expenditure of 41.8 billion dirhams ($11.4 billion), according to the official WAM news agency.
Revenue was also estimated at 44.6 billion dirhams, 7.7 per cent higher than income for the current year which was projected at 41.4 billion dirhams ($11.3 billion).
UAE vice president and prime minister, Sheikh Mohammad bin Rashed al-Maktoum, said that spending allocations for next year were a part of the $36.2 billion of expenditures earmarked for the three years between 2011 and 2013.
Over half of projected spending was allocated for social development, education, health and housing welfare.
The budget did not include huge oil revenues and was mainly focused on administrative spending, public services, and wages for federal employees.
The UAE is a federation of seven emirates: Abu Dhabi, Dubai, Sharjah, Ajman, Ras al-Khaimah, Umm al-Quwain and Fujairah.
In addition to the federal budget, all seven emirates have their own budgets, the total spending of which is much higher than that of the federal government.
With crude oil reserves estimated at 97.8 billion barrels, the UAE is Opec's fourth-largest producer. It has a population of about eight million people, more than 80 per cent of them expatriates, mostly Asians.
The UAE pumps around 2.5 million barrels of oil per day, to which the emirate of Abu Dhabi, also the federation's capital, contributes more than 90 per cent.