Federal Decree-Law No. (9) of 2018 Regarding Public Debt
Federal Decree-Law No. (9) of 2018
Regulates issuance and management of UAE federal public debt, including debt instruments, borrowing, limits, the Public Debt Management Office, government guarantees, registers and coordination with local debt.
Overview
What this legislation covers
Regulates issuance and management of UAE federal public debt, including debt instruments, borrowing, limits, the Public Debt Management Office, government guarantees, registers and coordination with local debt.
Who or what it applies to
- The Federal Government and Ministry of Finance.
- The Federal Debt Management Office.
- Investors and financial institutions dealing in federal public debt instruments.
- Government entities receiving financing or guarantees within the statutory framework.
Key points
Important points at a glance
Provides the federal legal framework for issuing and managing public debt.
Defines public debt instruments broadly, including bonds, Sukuk, treasury instruments, loans and other financing.
Creates a Public Debt Management Office within the Ministry of Finance framework.
Requires public debt to be managed under prudent cost and risk principles.
Regulates purposes and conditions for federal borrowing.
Provides rules relating to debt limits and authorised issuance.
Regulates government financial guarantees.
Provides for electronic registration and ownership records of debt instruments.
Supports development of a federal government securities market and a UAE-dirham yield curve.
Contains coordination rules relevant to local public debt.
Practical explanation
Understanding the law
Practical explanation
Why the law exists
Federal borrowing requires a clear legal basis, debt-management rules and transparent institutional responsibility. The decree-law supplies that framework.
Debt instruments
The Government may use different financing instruments, including conventional securities and Islamic instruments, depending on the approved programme.
Risk management
Debt management considers cost, refinancing, interest-rate, currency and market risks rather than focusing only on the amount borrowed.
Guarantees
Government guarantees are not automatic; they require the approvals and controls set by the law and implementing framework.
Market development
Federal debt issuance also supports development of a domestic government-securities market and benchmark yield curve.
Practical notes
- Individual debt issuances are governed by their specific offering and issuance documentation in addition to the decree-law.
- Current debt limits, programmes and implementing resolutions should be checked at the time of a transaction.
- Local-government debt is distinct from federal public debt, although the law includes coordination concepts.
Legislation text
Text and provisions
Official-text notice. This package provides a structured English rendering based on the official UAE legislation source identified in the manifest. It is not represented as the legally controlling Arabic text. For interpretation and application, consult the original Arabic text and the latest consolidated official UAE legislation.
Verified legislative metadata
| Instrument | Federal Decree-Law No. (9) of 2018 |
|---|---|
| Issued date | 2018-09-20 |
| Effective date | 2018-10-01 |
| Status | Active / in force, as amended |
| Official Gazette | Official Gazette No. 637 |
| Official source | UAE Legislation |
Structured rendering of the legislation
Article 1 — Definitions
Defines public debt, local public debt, public debt instruments, outstanding debt, government entities, the Ministry, the Central Bank, the Public Debt Management Office and the electronic register.
Objectives and policy
Requires federal debt to be managed prudently and efficiently, with attention to financing needs, cost, maturity, market development and risk.
Public Debt Management Office
Creates the institutional mechanism for planning, issuing, recording, servicing and managing federal debt and for supporting government debt-market development.
Purposes of borrowing
Authorises federal borrowing for purposes permitted by the decree-law and subject to the approvals and conditions it prescribes.
Debt instruments
Permits issuance of conventional and Islamic debt instruments and other public-finance instruments within the legal framework.
Debt limits and approvals
Regulates limits, approvals and conditions applicable to the amount and structure of federal public debt.
Government financial guarantees
Allows government guarantees for qualifying entities or circumstances when the statutory approvals and conditions are satisfied.
Registration and ownership
Provides for an electronic register and related rules for recording ownership and dealings in public debt instruments.
Coordination with financial authorities
Provides roles for the Ministry, Central Bank and relevant authorities in issuance, market operations and financial-system coordination.
Local public debt
Addresses coordination and information in relation to debt issued by local governments without converting local debt into federal debt.
Executive regulations and commencement
Authorises executive regulations and other implementing measures and regulates publication and entry into force.
Verification
Official source & references
Official legislation sourcehttps://uaelegislation.gov.ae/en/legislations/1087Open ↗Official Gazette: Official Gazette No. 637
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