There was an increase in capital spending in the government development plan during the last fiscal year by six percent, despite the liquidity crisis that the country faced due to the drop in oil prices, which prompted it to take many austerity and rationalization measures in many items of the general budget.
Figures seen by a local Arabic daily show the total capital expenditure in the budget for the fiscal 2021-2022 amounted to about 1.86 billion dinars, compared to 1.74 billion dinars that was directed to capital spending in the previous fiscal year, which is an economically commendable matter and confirms the government keenness to continue development plans and develop mega projects in the country although the fiscal deficit recorded in the 2021-2022 budget amounted to 2.9 billion dinars, a 269% decrease from the 10.7 billion dinars achieved in 2020-2021.
According to a special statistic prepared by the daily, the total capital expenditure during the last ten years from 2012-2013 to 2021-2022 amounted to about 20.5 billion dinars, which was allocated from the general budget expenditures, whose total revenues during the mentioned period amounted to about 174.8 billion dinars, after deducting the share of the Future Generations Fund of 26.2 billion dinars.
In addition, the sources expect the government to speed up the pace of awarding development projects in the country during the coming period in cooperation with the private sector. It would contribute to accelerating the implementation of these projects on the one hand and relieving pressure on the public budget on the other.
The sources pointed out that the trend towards accelerating the pace of development projects in cooperation with the private sector was recently evident through government orientations to involve the private sector in the process of implementing a number of development projects, including investment in the Jaber Bridge Islands and waterfront development projects in Jahra, Sulaibikhat and other areas, as well as major entertainment projects to be implemented in the coming period.
The sources said, involving the private sector in the implementation of major development projects in various sectors would create a competitive investment environment in addition to maximizing the country’s GDP as well as contributing to increasing the number of citizens working in the private sector.