Cabinet session discusses draft Public Debt Law

The Cabinet, chaired by Prime Minister HRH Prince Khalifa bin Salman Al Khalifa, yesterday discussed the fiscal and practical effects of the implementation of the draft Public Debt Law.

Given the fact that the draft law stipulates that the public debt should by no means exceed 60 per cent of the Kingdom’s GDP, it will impede the government’s ability to meet the requirements of the budget, issued per law 14/2015, as well as its ability to cover all expenses, especially for social initiatives directly related to the needs of citizens.

Since the ceiling set by the draft law would not allow enough borrowing to cover such expenses, the Cabinet decided to submit a recommendation to His Majesty the King to issue a Royal Decree to refer the draft Public Debt Law to National Assembly in order to re-examine Article 13 regarding the public debt ceiling.

During the session, the Cabinet praised His Majesty King Hamad bin Isa Al Khalifa’s meeting with the Tunisian President Beji Caid Essebsi, who has recently visited the Kingdom. 

According to a statement by the Cabinet Secretary, General Dr. Yasser bin Isa Al Nasser, the Ministers condemned the terrorist attack that targeted a mosque in Al-Ahsa Governorate in Saudi Arabia, and denounced it as a heinous crime. 

The Cabinet extended profound condolences and consolation to the Saudi Government and the families of the victims, and wished full and speedy recoveries to those wounded. 

The Cabinet also expressed the full support of Bahrain’s leadership and people for the measures to be taken by Saudi Arabia against everything aimed at undermining its security and stability.