What UAE Families Need To Know About Inflation Support Scheme

The UAE has an inflation allowance scheme that provides monthly financial support to some categories of families to manage rising living costs . First introduced in 2022 as part of a comprehensive social support system, the scheme was restructured earlier this year to achieve social protection for the most needy groups.

Khaleej Times studied the latest resolution that details the rules and eligibility for the inflation allowance . Here is all you need to know.

What is the inflation allowance?

It is a monthly allowance designed to help UAE families with a household income of less than Dh25,000 meet living needs. The allowance covers fuel, food, and electricity and water expenses, with the possibility of additional components introduced by Cabinet decision.

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Who can apply?

Eligible applicants must meet the following conditions:

• The primary beneficiary (or spouse) must be employed and covered by social insurance or pension funds, or be retired.

• The primary beneficiary must be at least 21 years old.

• The total family income must be less than Dh 25,000 per month.

• Children counted for benefits must be under 21 years old.

Exemptions apply for:

• Senior citizens aged 60 and above.

• Widowed or divorced women aged 45 and above.

• Widowed or divorced women under 45 who have custody of children under 21.

How much support is provided?

Fuel allowance (when petrol price 95 exceeds Dh 2.1 per litre):

• Dh300 if price is between Dh 2.1 and 2.85

• Dh600 if price is between Dh 2.86 and 3.6

• Dh900 if price is Dh 3.61 or higher

Food allowance :

• Dh500 for the primary beneficiary

• Dh500 for one Emirati wife

• Dh250 per child under 21 (up to 4 children)

• Special provisions for orphans and children of prisoners

Electricity and water allowance :

Dh400, or the actual monthly consumption (whichever is lower), applied to one residential unit

How is the allowance paid?

Fuel and food allowances are credited monthly to the Emirates ID card.

Electricity and water allowance is deducted directly from the monthly bill.

Unused amounts cannot be carried forward to the next month.

How do families apply?

Applications are submitted through the Ministry of Community Empowerment. The steps are:

• Register on the Ministry's website using UAE Pass/digital ID.

• Submit the application with required documents.

• Processing time is up to 10 working days.

Required documents include :

• Emirates ID

• Salary certificates of the household head and spouse(s)

• Rental contract or property documents

• Proof of commercial license proceeds (if applicable)

• Custody documents for divorced applicants

• Proof of identity for families not linked to one family tree

What is the budget for the programme?

The programme has been extended through 2025 with a budget of Dh3.5 billion. The Ministry says the scheme will be updated regularly to reflect inflation, living costs, and national priorities.

Who is considered the“primary beneficiary” in a family?

By default, the father is the primary beneficiary, with the mother and children included.

If the father is ineligible, the mother becomes the primary beneficiary.

If neither parent qualifies, the eldest sibling may apply on behalf of the family.

What is the overall aim of this scheme?

The inflation allowance is part of the UAE's efforts to ease the impact of rising fuel, food, electricity, and water costs on lower and middle-income Emirati families.

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