The Custodian of the Two Holy Mosques King Salman bin Abdulaziz issued a royal decree on Tuesday outlining the general budget for the fiscal year 1439/1440, the largest budget in the Kingdom's history.
First: Estimation of state expenditures:
Revenues are estimated at (783,000,000,000) seven hundred and eighty-three billion riyals.1- Revenues are estimated at (783,000,000,000) seven hundred and eighty-three billion riyals.
2- Expenses are estimated at (978.000.000.000) nine hundred and seventy-eight billion riyals.
3- The deficit is estimated at (978.000.000.000) nine hundred and seventy-eight billion riyals. 3- The deficit is estimated at (195,000,000,000) one hundred and ninety-five billion riyals.
3- The deficit is estimated at (195,000,000,000) one hundred and ninety-five billion riyals. <Secondly: The budgets of public institutions attached to the general budget of the State shall be adopted as follows:
The expenses of public institutions for the fiscal year 1439/1440 are estimated at (112,288,759,000) one hundred and twelve billion, two hundred and eighty-eight million, seven hundred and fifty-nine thousand riyals.
1. 2- The revenues of public institutions for the fiscal year 1439/1440 are estimated at (12.387.322.000) twelve billion, three hundred and eighty-seven million, three hundred and twenty-two thousand riyals.
2. <(99.901.437.000) ninety-nine billion, nine hundred and one million, four hundred and thirty-seven thousand riyals is recognized in the state's general budget. <Third: The budgets of the Municipalities and Municipalities shall be approved as follows::
The expenses of the municipality and municipalities for the fiscal year 1439/1440 are estimated at (53,650,811,000) fifty-three billion, six hundred and fifty million, eight hundred and eleven thousand riyals.1 (2) The revenues of the municipality and municipalities for the fiscal year 1439/1440 are estimated at (6.955.911.000) six billion nine hundred and fifty-five million nine hundred and eleven thousand riyals.
3. The difference between direct revenues and expenditures in the amount of (46.694.900.000) forty-six billion, six hundred and ninety-four million and nine hundred thousand riyals shall be recognized in the state's general budget.
The text of the royal decree on the state's general budget for the fiscal year 1439/1440 AH is as follows:
Number : M/35
Date: 1/4/1439H
With the help of God Almighty
We, Salman bin Abdulaziz Al SaudSalman bin Abdulaziz Al Saud
<King of the Kingdom of Saudi Arabia
<Having reviewed Articles 72, 73, 76 and 78 of the Basic Law of Governance, promulgated by Royal Decree No. A/90 dated 27/8/1412 AH. Having reviewed Articles (25, 26, 27) of the Council of Ministers Law, promulgated by Royal Decree No. (A/13) dated 3/3/1414 AH.Having reviewed Royal Decree No. (M/6) dated 12/4/1407 AH, which stipulates that the State's fiscal year begins on the tenth day of Capricorn of each year.
<Having considered Cabinet Resolutions No. (157) dated 12/9/1420H and No. (153) dated 4/17/1435H. <Having reviewed Supreme Decree No. (14364) dated 3/25/1439H and Council of Economic Affairs and Development Resolution No. (1-4/39/Q) dated 3/3/1439H. <Having reviewed the data on the revenues and expenditures of the State, the revenues and expenditures of public institutions with budgets attached to the State's general budget, and the revenues and expenditures of the municipality and municipalities for the fiscal year 1439/1440, submitted in letter No. (2481) dated 3/25/1439 AH from the Minister of Finance. <Having considered Cabinet Resolution No. (176) dated 4/1/1439H. We have decreed the following:
First: State revenues and expenditures for the fiscal year 1439/1440 shall be estimated and approved as follows:
First: State revenues and expenditures for the fiscal year 1439/1440 shall be estimated and approved as follows:
Revenues are estimated at (783,000,000,000) seven hundred and eighty-three billion riyals.
1- Revenues are estimated at (783,000,000,000) seven hundred and eighty-three billion riyals.
2- Expenses are approved at (978.000.000.000) nine hundred and seventy-eight billion riyals.
3- The deficit is estimated at (978.000.000.000) nine hundred and seventy-eight billion riyals. 3- The deficit is estimated at (195,000,000,000) one hundred and ninety-five billion riyals.
3- The deficit is estimated at (195,000,000,000) one hundred and ninety-five billion riyals. <Secondly: The budgets of public institutions with budgets attached to the state's general budget for the fiscal year 1439/1440 shall be adopted as follows:
The expenses of public institutions for the fiscal year 1439/1440 are estimated at (112,288,759,000) one hundred and twelve billion, two hundred and eighty-eight million, seven hundred and fifty-nine thousand riyals.
1 The revenues of public institutions for the fiscal year 1439/1440 are estimated at (12.387.322.000) twelve billion, three hundred and eighty-seven million, three hundred and twenty-two thousand riyals.
2. <The difference between direct revenues and expenditures in the amount of (99.901.437.000) ninety-nine billion, nine hundred and one million, four hundred and thirty-seven thousand riyals. <Third: The budgets of the municipality and municipalities for the fiscal year 1439/1440 shall be approved as follows:
The expenses of the municipality and municipalities for the fiscal year 1439/1440 are estimated at (53,650,811,000) fifty-three billion, six hundred and fifty million, eight hundred and eleven thousand riyals.
1 The revenues of the municipality and municipalities for the fiscal year 1439/1440 are estimated at (6.955.911.000) six billion nine hundred and fifty-five million nine hundred and eleven thousand riyals.
3. The difference between direct revenues and expenditures in the amount of (46.694.900.000) forty-six billion, six hundred and ninety-four million and nine hundred thousand riyals shall be recognized in the general budget of the State.
3. Fourth: 1- The revenues referred to in paragraph (1) of item (I) of this decree shall be collected in accordance with the financial regulations, and all of them shall be deposited in the current account of the Ministry of Finance at the Saudi Arabian Monetary Authority (SAMA).
The Ministry of Finance shall determine the mechanisms for depositing the revenues of secretariats, municipalities, public institutions and the like, as well as the over-estimated and undisbursed amounts withdrawn from the budget appropriations, provided that these entities continue to work according to the current practice until the Ministry of Finance develops a mechanism and timetable to complete the implementation of Royal Order No. 55685 dated 30/11/1438 H.
3. <3- Emphasizing the provisions of Articles (V and VI) of the State Revenue Law and Articles (VIII and IX) of its Executive Regulations. <Fifth: Expenditures shall be disbursed in accordance with the state's general budget and its instructions. <Sixth: Authorizing the Minister of Finance to cover the deficit of the state's general budget as follows:
<Transfer from the state's general reserve account to the current account of the Ministry of Finance. Borrowing (including entering into any agreements or any transactions similar in nature to borrowing or commercially requiring borrowing and the like), issuing debt instruments and issuing sukuk of all kinds - inside and outside the Kingdom of Saudi Arabia - and what this requires:
2. <a. Establishing companies inside and outside the Kingdom and determining their form to serve the purposes for which they were established.
b- Concluding the necessary contracts and agreements in this regard, including the provisions required by the nature of these contracts or agreements, especially the provisions contained in Cabinet Resolution No. (313) dated 7/25/1437 AH and Supreme Decree No. (36612) dated 7/27/1437 AH.
c <Issuing government guarantees for government agencies, secretariats, municipalities, public institutions and the like whose budgets are attached to the state's general budget to support the private borrowing of these entities and the debt instruments and sukuk issued by them. Provided that - in order to increase the efficiency of public debt management - the following shall be taken into account:
1- Government agencies, secretariats, municipalities, public institutions and the like whose budgets are attached to the state's general budget are not entitled to borrow or issue any kind of debt instruments or sukuk or issue any government guarantees, except after the approval of the Ministry of Finance.
2. 2- Other entities whose budgets are not attached to the state's general budget shall not be subsidized or issue government guarantees for the amounts they borrow, whether through obtaining loans, issuing debt instruments and sukuk or any other means of borrowing, unless written approval is issued by the Minister of Finance.
2. <Seventh: Without prejudice to the provisions of paragraph (1) of Article (VI) of this Decree, any surplus in the State's general budget revenues shall be transferred to the State's general reserve account, and may not be withdrawn from it except in accordance with the established legal procedures.
VII: Without prejudice to the provisions of paragraph (1) of Article (VI) of this Decree. <Eighth: 1 - Transfers between the appropriations of sections, chapters and branches of the budget and attached budgets shall be made by a decision of the Minister of Finance, and the competent minister or the head of the entity with an independent budget may make transfers between operating expenditure items and between the appropriations of programs and projects, provided that the amount transferred to any item or program - or added to any of them - does not exceed half of its original appropriation, while salary items and programs and more than half of the appropriation shall be transferred from them by a decision of the Minister of Finance.
VIII. Transfers between the costs of approved projects shall be made by a decision of the competent minister or the head of the government entity with an independent budget, provided that what is added to the costs of any approved project shall not exceed (10) percent of the total costs approved for it.
3. 3 - Transfers between the costs of each of the operation and maintenance programs and more than (10) percent of the approved costs of the projects shall be done by a decision of the Minister of Finance.
4 It is not permissible to transfer between the allocations of the initiatives of the Vision Realization Programs or to any other approved items in the budget, except with the approval of the Permanent Working Group and the Ministry of Finance.
4 <Ninth: It is not permissible to use the appropriation for other than what it was allocated for, or to issue an order to commit or spend in excess of the appropriation, or to commit to any expense that does not have an appropriation in the budget, and the rules and procedures prescribed by law shall be applied to those who violate this.
Ninth. <Tenth: It is not permissible to issue a decision or enter into a contract that would create an obligation for a future fiscal year, and this does not include contracts with continuous or periodic implementation - such as leases, labor, services, the supply of food, medicines and medical supplies, consultancy contracts and operation and maintenance programs - for which annual appropriations are repeatedly allocated, and that the annual contract value is within the budget appropriations and the first fiscal year appropriation is used as a measure to determine the value of the contract and is not linked to the approved amount for other purposes.
Tenth: It is not permissible to issue a decision or enter into a contract that would create an obligation for a future fiscal year.
XI: If it appears during the fiscal year 1439/1440 that there are amounts committed during previous years in excess of the approved appropriation, the Minister of Finance - or his representative - may authorize the disbursement of those amounts from the appropriations of the fiscal year 1439/1440, and if the excess in this commitment is the result of unjustified behavior, the matter shall be reported to the Prime Minister to take the necessary legal action in this regard.
XI: The Minister of Finance may authorize the disbursement of these amounts from the appropriations of the fiscal year 1439/1440, or his representative. <Twelfth: The administrative (functional) formations of each entity shall be approved according to the state's general budget, and may not be amended except in accordance with the regular procedures followed.
Thirteenth. <Thirteenth: Employees, employees and workers may not be appointed or promoted except against positions approved in the state's general budget and in accordance with the terms and conditions specified in the laws and regulations. Fourteenth:
Fourteenth It is not permissible during the fiscal year to create jobs, ranks or grades other than those approved in the state's general budget.
1. <Paragraph (1) of this clause excludes the appointment of ministers, those with the rank of minister, employees of the excellent rank and their equivalent, and positions that are created in accordance with the conditions stipulated in the Temporary Jobs Law. <It is not permissible during the fiscal year to raise the ranks and grades approved in the state's general budget. <By a decision of the Minister of Civil Service, job titles may be modified in accordance with the requirements of job classification rules, based on the recommendation of a committee composed of representatives from the Ministry of Finance, the Ministry of Civil Service and the relevant authority, and the Minister of Civil Service and the Minister of Finance may grant the power of modification or part of it to the competent minister in accordance with regulations established for this purpose. <By a decision of the Minister of Civil Service, salaries may be reduced based on the recommendation of a committee composed of delegates from the Ministry of Finance, the Ministry of Civil Service and the relevant entity, and the Minister of Civil Service and the Minister of Finance may grant the power of reduction to the competent minister, in accordance with regulations to be established for this purpose. By a decision of the Minister of Finance, approved positions may be transferred between budget chapters and branches and within the same administrative formation, based on the recommendation of a committee composed of delegates from the Ministry of Finance, the Ministry of Civil Service and the relevant entity.
Fifteenth. <Fifteenth: Emphasize on the supervisory bodies to continue to follow up on the implementation of the relevant royal orders and decrees, laws, regulations, regulations, decisions and instructions.
Sixteenth: The Minister of Finance shall issue the necessary instructions to implement this budget within the limits of the rules stipulated in this decree.
Seventeenth: The regulatory provisions of this decree shall not apply to the General Organization of Saudi Arabian Airlines.
Eighteenth: His Highness the Deputy Prime Minister, the ministers, and the heads of the relevant independent agencies shall implement this decree.
