The Custodian of the Two Holy Mosques King Abdullah bin Abdulaziz Al-Saud today issued three royal decrees on the state's budget for Fiscal Year 1433/1434H (FY 2012).
First Royal Decree
The State’s revenues for Fiscal year 1433/1434 (FY 2012) are estimated at SR702 billion ($187.2 billion). The expenditures for FY 1433/1434 (FY 2012) amounts to SR 690 billion ( $184 billion).
Revenues shall be levied according to financial regulations and deposited into the accounts of the Ministry of Finance at Saudi Arabian Monetary Agency (SAMA).
The Minister of Finance is authorized to withdraw from this account to replenish the expenditures on the projects currently financed from the surpluses of the fiscal years extending from 1424H to 1433H. Expenditures are disbursed according to the budget and relevant directives. Budget surplus shall be returned to the state reserves. No withdrawals are allowed from it unless they are authorized by a royal decree in the highest interest of the state.
The Minister of Finance is authorized to borrow and transfer from the states reserves, as deemed necessary, to settle public debt and cover the budget deficit.
The transfers from a budget's accredited chapter or branch could take place according to a decision by the Minister of Finance based on a joint report between him and the relevant minister or head of an independent budget authority. The transfers between appropriations in the budget's chapters could take place by a decision of the Minister of Finance. Transfers between articles in chapters 1 and 2 and yearly programs of operation and maintenance in chapter 3 shall be decided by the relevant minister or head of independent budget authority. Transfers between costs of programs of operation and maintenance in chapter 3 and projects in chapter 4 shall be decided by Minister of Finance.
Appropriations shall not be used for non-assigned purposes and it is not allowed to issue a commitment or expenditure order exceeding appropriations or commitment to any expenditure having no allocations in the budget.
It is not allowable to issue a decision or conclude a contract that incurs commitments to the next fiscal year. Exceptions are as follows:
If it appeared during Fiscal Year 1433/1434 that there are amounts committed during the previous years, the topic shall be submitted to the President of Council of Ministers if the amounts resulted from unjustifiable act, then the Minister of Finance or his deputy can allocate the amounts from appropriations of the Fiscal Year 1433/1434H.
Administrative formations for each body shall be approved as issued by the state's budget and cannot be amended except by a decision to be issued by Supreme Committee for Administrative Reform or a decision based on the decision of Ministerial Administrative Organizational Committee.
The appointment or promotion of government personnel, workers and laborers is not allowed unless for jobs approved in the budget.
No new positions or ranks shall be created except for what is allocated in the budget. The appointment of ministers and posts to be created according to conditions included in temporary job regulation shall be exempted from the previous article. It is not allowed to promote the ranks approved in the budget.
Changes in job titles, classifications, and demotion of ranks shall be decided by the Minister of Civil Service based on a recommendation of a committee formed by representatives of Ministry of Finance, Ministry of Civil Service and the relevant body.
The Minister of Finance shall transfer approved jobs between chapters of the budget and inside administrative formation based on a recommendation of a committee formed by representatives of Ministry of Finance, Ministry of Civil Service and the relevant body.
Auditing bodies shall follow up application of effective regulations and relevant decisions and instructions.
The Minister of Finance shall issue the instructions required for implementation of this budget within the rules stated in this decree.
The Deputy Premier, Ministers and Heads of Concerned Independent Bodies shall, each according to his authority, implement this decree.
Second Royal Decree
Revenues and expenditures of governorates, municipalities and rural compounds
The expenses of municipalities and rural compounds for the Fiscal Year 1433/1434H are estimated at SR27,836,735,000 ($7,423,129,333).
The revenues of governorates, municipalities and rural compounds for the Fiscal Year 1433/1434H are estimated at SR3,665,790,000 ($977,544,000).
The difference between direct revenues and expenditures amounted to SR24,170,945,000 ($6,445,585,333) shall be approved in the State's general budget.
The expenditures shall be disbursed in accordance with the applicable financial regulations and instructions.
Governorates, municipalities and rural compounds shall levy their revenues in accordance with applicable regulations and instructions and the concerned bodies shall follow-up the implementation of this.
Transference of articles' surplus of the governorates and municipalities to other governorates and municipalities shall only be authorized by the consent of President of Council of the Ministers upon the recommendation of the Minister of Municipal and Rural Affairs and Minister of Finance.
The Minister of Finance shall issue the necessary instructions for implementation within regulations set forth in this Decree.
The Deputy Prime Minister, Minister of Municipal, Rural Affairs and Minister of Finance each according to his authority, implement this Decree accordingly.
Third Royal Decree
Revenues and expenditures of general organizations whose budgets are annexed to the State's general budget for FY 1433/1434H, are estimated as follows:
The surplus of revenues as well as the unused accredited amounts of the general budget shall be deposited in the current account of the Ministry of Finance at the Saudi Arabian Monetary Agency (SAMA).
Revenues and expenditures shall be levied and disbursed in accordance with the applicable regulations and instructions.
With the exception of the General Organization for Saudi Arabian Airlines, the budgets of other general organizations shall be governed by the provisions provided for in Articles 3,7,8,9,10,11,12,13,14 and 5 of the Royal Decree No. M/ dated 1 Safar 1433H (26 December 2011) approving the general budget of the State for the Fiscal Year 1433/1434H.
The Minister of Finance shall issue the necessary instructions to implement the stipulations in this decree.
The Deputy Prime Minister, Ministers and Heads of Authorities with independent budgets shall implement these decrees in accordance with their specific authorizations.
The decision of the Council of Ministers No. 22 of 1 Safar 1433H (26 December 2011), approved state budget for Fiscal Year 1433/1434H (FY 2012) and stated that all government agencies should not exceed budget appropriations and nor commit to any expenditure that has no allocation. In this regard, Council of Ministers decision No. 157 of 9 Dhu al-Hijjah 1420H (14 March 2000), should be applied. In the case of an emergency that cannot be deferred, the matter should be forwarded to the Custodian of the Two Holy Mosques in accordance with Article 73 of the Basic Law and Article 27 of the Regulations of the Council of Ministers.