DUBAI, 1st May, 2025 (WAM) -- Younis Haji Al Khoori, Undersecretary of the Ministry of Finance, has stated that the United Arab Emirates' public debt management policy adheres to a strategic framework designed to bolster robust confidence in the national economy and reinforce principles of fiscal transparency, operating independently of the state's general budget financing requirements.
Speaking to the press on the sidelines of the second annual Financial Media Forum, hosted by the Ministry of Finance in Dubai, Al Khoori elaborated that the nation's issuance of dollar-denominated bonds, followed by dirham-denominated instruments, is not intended for expenditure financing. Instead, he continued, these issuances serve to contribute to the development of the Dirham-denominated yield curve within the UAE financial market.
Regarding the proceeds from bond issuances, the Undersecretary clarified that the UAE has strategically invested these returns in financial assets aligned with the characteristics of the bonds. This approach ensures the maintenance of fiscal equilibrium and the sustainability of economic policies. He unequivocally stated that none of these proceeds have been utilised for general budget financing.
Addressing recent volatility in global oil prices, Al Khoori characterised these fluctuations as transient, emphasising that prices have since stabilised to their initial year levels.
He underscored the UAE's proactive stance in allocating financial reserves to mitigate potential challenges, a strategy that, he said, has been instrumental in maintaining a balanced budget and achieving fiscal surpluses in the preceding period.
Concerning the issuance of dollar-denominated bonds, Al Khoori explained that the amounts authorised by the Cabinet have been fully utilised. Any future issuances will be announced in due course, subsequent to the completion of established legislative procedures, he explained.