ME-ALLIANCE LEGAL UPDATE
In light of recent economic developments and in line with the United Arab Emirates Government’s commitment to supporting citizens and alleviating the impact of inflation and rising living costs, the UAE Cabinet has issued Cabinet Resolution No. (58) of 2025 concerning the Inflation Allowance. This Resolution aims to provide direct financial support to eligible citizens in the areas of fuel, food, water, and electricity, as part of an integrated program designed to strengthen social protection and ensure the stability of living standards for Emirati families.
Key Provisions of the Resolution:
✔️ Inflation Allowance: A financial support package covering the costs of fuel, food commodities, electricity, and water.
✔️ Primary Beneficiary: An Emirati citizen (male or female) who is the head of the household.
Article (2): Scope of Application
This Resolution applies to every Emirati citizen who holds UAE nationality and resides permanently in the country, in accordance with the conditions set out under Cabinet Resolution No. (57) of 2025.
Article (3): Eligibility Conditions
✔️ To qualify for the Inflation Allowance, the following conditions must be met:
✔️ The applicant or their spouse must be employed or retired.
✔️ The applicant must be at least 21 years old.
✔️ The household’s monthly income must not exceed:
✅ AED 25,000 for single individuals.
✅ AED 30,000 for married individuals.
✔️ The applicant must not own assets or investments exceeding the defined threshold.
Article (5): Fuel Allowance Disbursement Rules
✔️ The allowance is activated when the price per liter of fuel exceeds AED 2.10.
✔️ The amount varies depending on the price tier and may reach up to AED 900 per month as a maximum.
Article (8): Application for Inflation Allowance
Applications shall be submitted through the Ministry of Community Development using the official forms, and must include all supporting documents (such as Emirates ID, lease contract, utility bills, proof of income, etc.).
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