The Arab Financial Forum, held in Tunisia on October 6-7, 2026, has emphasized the need to develop public budget preparation mechanisms in Arab countries. The forum, organized by the Ministry of Finance, the government of Sharjah, and the Arab Organization for Administrative Development, aims to promote financial resilience and sustainability. The event is part of the Sharjah Public Finance Award and focuses on designing budgets that can adapt to changing circumstances.
The forum's discussions centered on enhancing financial resilience and sustainability, as well as improving the efficiency of public budgets. This can be achieved by transitioning from mere resource management to comprehensive financial performance management. According to Zehour Atallah, head of the Minister of Finance's office, the current international climate, characterized by growing geopolitical and climate-related uncertainties, necessitates a re-examination of the concept of public budgets.
Atallah stressed that public budgets are no longer just accounting records of revenues and expenditures but have become integrated strategic systems for risk management and ensuring the sustainability of resources and continuity of public services. He emphasized that achieving these goals relies on two interconnected pillars: financial resilience and financial sustainability. Financial resilience refers to a state's ability to adjust its tax policies and public expenditures quickly in response to emergencies.
The Director-General of the Arab Organization for Administrative Development, Nasser Al-Qahtani, highlighted that public finances worldwide face simultaneous pressures, including rising financing costs, growing social and development commitments, and recurring geopolitical shocks. He called for a fundamental change in the approach to managing public finances, emphasizing that the challenge is no longer limited to preparing a balanced budget.
Al-Qahtani stressed that the diversity of economic structures in the Arab region requires adapting practices to each country's specificities. This can be achieved by establishing a results-based budget, enhancing institutional capacities in risk and shock management, and leveraging data and artificial intelligence in financial decision-making. He also emphasized the importance of adopting principles of expenditure efficiency and "value for money" in all stages of budget preparation.
The forum's discussions also underscored the importance of transparency, fair competition in public procurement, and equitable management of resources in building trust among citizens and institutions. According to Al-Qahtani, the success of public finance systems depends on this trust, which is fostered through transparent and fair practices.
The Arab Financial Forum concluded that developing public budget preparation mechanisms is crucial for promoting financial resilience and sustainability in Arab countries. The event provided a platform for experts and officials to share experiences and best practices in managing public finances, with a focus on results-based budgeting and value for money.
Key points
- The Arab Financial Forum calls for the development of public budget preparation mechanisms in Arab countries to make them more flexible, sustainable, and focused on results and impact.
