DUBAI, 27th March, 2019 (WAM) — The Ministry of Finance, MoF, has held the Financial Policy Coordination Council’s first meeting in its headquarters in Dubai.
Younis Haji Al Khoori, Under-Secretary of MoF and Chairman of the Council chaired the meeting on Tuesday, with Saeed Rashid Al Yateem, Assistant Under-Secretary of Resources and Budget Sector and Vice-President of the Council also present.
The meeting was held in the presence of council members from various UAE government entities representing their respective finance departments.
Council members discussed the preparation and compilation of financial statements, including its 2018 quarterly Government Finance Statistics Manual, GFSM, the Government Financial Statistics, GFS, database and the national draft balance sheet.
The Council reviewed the UAE government’s annual meeting section on spending efficiency, and discussed effective coordination between the fiscal and monetary policies.
Al Khoori stressed the importance of these meetings to coordinate and unify the government’s fiscal and monetary policies, thus enhancing the competitiveness of the UAE. “The Council is keen to coordinate with all financial departments, and work together to develop proactive solutions and initiatives for financial and monetary policies, ensuring the integrity of the financial system, enhancing expenditure efficiency and achieving sustainable economic development,” he explained.
Article IV Consultation Report results, selected topics and the forthcoming visit of the International Monetary Fund mission were also discussed during the meeting. Council members also reviewed the latest developments on the exchange of tax information and the importance of the UAE’s commitment to the standard for the disclosure of financial reports and information to multinational corporations.
The main monetary and banking developments were reviewed to set fiscal policy expectations, and provide them to the Central Bank on a regular basis, and to set medium term liquidity expectations and assess the financing needs of the banking sector. This ensures the mechanisms to provide funding for the private sector and to intervene to manage liquidity as needed.
This coordination requires taking into account developments that may affect the liquidity position and expectations of the government’s fiscal deficit and the required funding of the government apparatus, taking into account the economic fluctuations that may affect the availability of government resources.
The Government Financial Policy Coordination Council was formed by the UAE Cabinet Decision No. 39 of 2008. Its members consist of the Under-Secretary of the Ministry of Finance, representatives from local UAE governments and a representative of the UAE Central Bank. Three periodical meetings are held annually and the council is reconstituted every three years.