UAE Ministry of Finance Participates in Third Meeting of Arab Ministries of Finance

The third meeting of Undersecretaries of Arab Ministries of Finance of Arab countries has commenced in Abu Dhabi this morning, and will be held for two consecutive days. The meeting, organised by the Arab Monetary Fund (AMF) was held in cooperation with the Ministry of Finance (MoF), witnessed the participation of HE Younis Haji Al Khoori, Undersecretary of MoF, representatives from the International Monetary Fund (IMF), World Bank Group (WBG) and the Organisation for Economic Cooperation and Development (OECD).

HE Younis Haji Al Khoori welcomed the respected undersecretaries and highlighted that the meeting reflects a collective commitment to strengthen the Council’s role as a platform to coordinate, exchange experiences, expertise and ideas on financial developments and financial and economic reforms in Arab countries.

The meeting’s agenda includes a number of papers on public financial reforms framework, including one provided by the IMF on reforming rent bills in Arab countries, a paper provided by the World Bank on enhancing initiatives to develop public and private sector partnerships in Arab countries, particularly with regards to financing public investments and discussing a study on subsidy policies.

The AMF paper titled “Subsidy Policies in Arab countries” discusses the government’s role in subsidies, steps to implement necessary reform to reduce  subsidy burden and move to a more efficient way to target those low-income segments most in need.

HE Younis Haji Al Khoori stressed the importance of reviewing subsidy policies and implementing reform measures to rationalise subsidies to achieve social justice and support economic stability. HE Al Khoori also stressed the requirement to reduce the burden of government subsidies through efficient targeting of those who require the support. HE said: “The UAE has taken advanced steps towards implementing subsidy reforms and adopting a new approach in line with best international practice.”

HE added: “The UAE leadership succeeded in transforming the environment of low oil prices into an opportunity by implementing energy subsidy reform which has a short-term and low impact on the consumer and has long-term benefits for the UAE. The Ministry of Finance continuously seeks new sources of revenues and diversifying income by enhancing the efficiency of public investments across sectors, increasing productivity, rationalising public expenditure and focusing on investment and capital spending. These measures will aid in developing the economy, reducing the financial deficit and will encourage the role of private sector in promoting economic growth.”

Their Excellencies the Undersecretaries of Arab Ministries of Finance will discuss reforms and policy frameworks on managing public finances in Arab countries. HE Younis Haji Al Khoori will stress UAE’s continuous economic development which was highlighted on both regional and international levels. HE Al Khoori will also stress that UAE’s economic development is the result of a sound economic approach, under the directives of the wise leadership and in line with the UAE Vision 2021.

During the second day of the meeting, HE Al Khoori will highlight the Ministry’s role in the UAE with regards to developing sound financial and economic policies based on the diversification of income sources, managing public finances, and finding additional income sources. These measures will help in strengthening the national economy, maintaining financial stability, and driving sustainable growth, all of which points to a better economic performance in 2018; with expectations of foreign investment flow to achieve high growth rates in the upcoming years.

HE Younis Haji Al Khoori will also address the paper on the international standards of exchange of financial information issued by OECD, highlighting the UAE Ministry of Finance’s commitment to implement the joint disclosure system and the effective and automatic exchange of information for tax purposes, following G20 and OECD directives, and in accordance with the Foreign Account Tax Compliance Act (FATCA). MoF’s efforts and commitment to implementing international standards and requirements for the exchange of information led to the UAE obtaining a seat on the International Steering Committee (ISC) for the exchange of information. The UAE became the first Arab country to be elected for this position.