General UAE Legal Questions LawLaw No. (31) of 2015

Article (3) A Government Entity which is subject to the General Budget must comply with the following rules and regulations: I. Salaries and Wages 1. not exceed the maximum number of posts stated in the approved budget of the Government Entity; 2. not exceed the financial appropriations allocated to the respective posts in the approved budget of the Government Entity; 3. comply with the provisions of the above-mentioned Government of Dubai Human Resources Management Law, any legislation regulating human resources at the Government Entity, and the resolutions issued by the Chairman of the Executive Council regarding promotion, bonuses, and allowances; and not exceed the salary of the highest point of the grade to which an Employee is appointed; 4. coordinate with the Department of Finance when amending the scale of salaries and grades, the allowances, the bonuses, or the benefits of Employees if the

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Law No. (31) of 2015 Issuing the General Budget of the Government of Dubai Departments for the Financial Year 2016 Page 3 of 5 Government Entity is not governed by the above-mentioned Government of Dubai Human Resources Management Law; and 5. pay housing allowance or provide leased accommodation to Employees only in extreme cases and to Employees whose posts require them to reside near their workplaces, provided that the rent of the accommodation and the amount deductible from the salary of the Employee do not exceed the amounts determined by the relevant resolution of the Director General of the Department of Finance. II. Operating Expenses 1. avoid excessive acquisition of fixed assets, and conduct feasibility studies on the acquisition of such assets; and 2. enter into long-term obligations only upon coordination with the Department of Finance. III. Construction Projects 1. not make any amendments which have a financial impact on construction projects without first obtaining the relevant approval of the Department of Finance; and 2. not approve any construction projects that are not included in the approved budget. IV. General Provisions 1. not exceed the financial appropriations approved for the Government Entity pursuant to this Law; 2. comply with the provisions of the above-mentioned Law No. (7) of 1995 when implementing the approved budget of the Government Entity, particularly those related to reallocating funds across budget chapters; 3. comply with the provisions of the above-mentioned Law No. (6) of 1997 in respect of variation orders; 4. comply with the provisions of the above-mentioned Law No. (35) of 2009 in respect of Supplementary Budgets and Independent Budgets;

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Law No. (31) of 2015 Issuing the General Budget of the Government of Dubai Departments for the Financial Year 2016 Page 4 of 5 5. request additional appropriations only after the lapse of six (6) months from the effective date of this Law, and by means of a reasoned written request submitted to the Department of Finance, which will consider the request and issue the appropriate resolution in accordance with the relevant procedures approved by the Supreme Fiscal Committee; and 6. perform the financial commitments made during the Financial Year 2015 out of the budget savings of the Financial Year 2016, provided that these commitments are made within the approved budget of the Government Entity. Issuing Implementing Resolutions

Article (5) This Law will take effect from 1 January 2016 through 31 December 2016, and will be published in the Official Gazette. Mohammed bin Rashid Al Maktoum Ruler of Dubai Issued in Dubai on 27 December 2014 Corresponding to 16 Rabi al-Awwal 1437 A.H.

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Law No. (31) of 2015 Issuing the General Budget of the Government of Dubai Departments for the Financial Year 2016 Page 5 of 5 Schedule Estimated Expenditure and Revenue for the Financial Year 2016 Description Approved Budget (in Dirhams) Percentage I. Estimated Expenditure Salaries and Wages 16,762,000,000.00 36% General and Administrative Expenses, Grants, and Subsidies 18,760,000,000.00 41% Capital Expenditure 1,651,000,000.00 4% Construction Projects 6,380,000,000.00 14% Payment of Liabilities and Bank Interests 2,547,000,000.00 5% Total Estimated Expenditure 46,100,000,000.00 100% II. Estimated Revenue Tax Revenue 8,550,000,000.00 19% Non-tax Revenue (fees and fines) 34,075,000,000.00 74% Returns on Government Investments 500,000,000.00 1% Oil Revenue 2,975,000,000.00 6% Total Estimated Revenue 46,100,000,000.00 100%

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