Ministry of Finance Introduces New Fixed Asset Management Policy Aligned with Best Practices

UAE, 26 August, 2024 : His Excellency Younis Haji Al Khoori, Undersecretary of the Ministry of Finance, highlighted the newly approved fixed assets management policy and procedures by the Cabinet, emphasizing their role in optimizing federal government assets for improved service delivery. The policy standardizes management and control of fixed assets, developed in line with global best practices and defining essential principles across the asset lifecycle.

Support for Strategic Goals

The policy is a key element in the federal government’s transition to an accrual accounting system, with a framework designed to ensure efficient resource utilization. It covers both real estate and non-real estate assets, underscoring the Ministry’s responsibility for oversight and policy development.

Key Provisions

The policy now includes guidelines on acquiring vacant land or buildings, the formation of the Union Property Purchase Committee, and procedures for selling and reclaiming government properties. It also integrates a real estate assets registry platform and sets controls for the use and management of Union properties.

Standardized Procedures

The policy aims to document and unify asset management procedures, focusing on internal controls for asset insurance, inventory, maintenance, and disposal. Federal entities must update their real estate registers on the platform and adhere to procedures for asset acquisition, sale, and depreciation.

These measures ensure the efficient management of federal assets in line with governance and accountability objectives.

Source : www.mof.gov.ae