Ministry of Finance: The 2026 budget does not indicate an increase in net debt but the debt rises by the value of the deficit
Ministry of Finance: The government will repay 7.3 billion dinars of accumulated debts following the Corona crises and wars
Ministry of Finance: The coming year carries obligations for internal payments worth 4.4 billion dinars
Ministry of Finance: The funding allocated for 2026 focuses on recycling debts and extending their terms at lower costs
Ministry of Finance: Repayment of 2.7 billion dinars from foreign loans and bonds denominated in foreign currencies is due during 2026
Ministry of Finance: Financing the deficit of the "Water Authority" and paying its dues worth 330 million dinars
Ministry of Finance: 285 million dinars to repay installments of government risk loans, Islamic bonds, and finance leasing
Khaberni - A review of the 2026 financing budget figures shows that the government is preparing for its biggest year of obligations in more than a decade, with financing needs approaching "9.8 billion dinars", the largest part thereof, amounting to 7.3 billion dinars, will go to pay off previous obligations accumulated over the years of crises such as the Corona pandemic and the Ukrainian war and the aggression on Gaza, and not for any new borrowing, according to the Ministry of Finance.
The Ministry noted that the coming year carries obligations for internal payments worth 4.4 billion dinars, linked to the amounts borrowed by governments during the Coronavirus pandemic and at the height of the Russian-Ukrainian crisis to cope with rising commodity prices and food security support and family protection, in addition to 2.7 billion dinars of foreign loans and bonds denominated in dollars and foreign currencies that are due during 2026, plus financing the budget deficit estimated at 2.1 billion dinars, which is the lowest in years.
The Ministry explained that the obligations are distributed across other items, notably financing the deficit of the "Water Authority" and paying its dues worth 330 million dinars, alongside 285 million dinars to repay installments of government risk loans, Islamic bonds, and finance leasing.
The Ministry added, "Despite the burden of these obligations, the budget does not indicate an increase in net debt, but confirms that the debt balance will not increase, but will be lower than its level last year, due to the fact that the financing allocated for 2026 focuses on recycling debts and extending their terms at lower costs, after years of rising global interest rates, and the new borrowing will remain within its usual levels."
The Ministry pointed out that this heavy financial movement comes while the government proceeds with implementing major strategic projects such as the national water carrier, the railway project, and gas exploration programs, in addition to continuing commodity support, which increased to 655 million dinars, one of the highest levels of support in recent years, along with an increase in "salary allocations" to 274 million dinars, an increase in capital expenditures to 1.6 billion dinars, and a decrease in the budget deficit by about 124 million dinars.
