Diversification of Sources of Funding for the General Budget, its Concept and Dimensions in the Gulf Countries

The countries of the world, especially the developing countries, including the Gulf countries, which suffer from imbalances in the diversification of sources of financing their public budgets, have realized their dependence on a single budget source. This fact comes from the existence of large natural wealth, primarily oil, which resulted in single-source budget financing. The danger of relying on this resource is linked to the prices of international markets, fluctuations in prices and the impact on the public budget in these countries, which prompted the International Monetary Fund to issue warnings for the diversification of sources of funding in the public budget in order to handle these imbalances. Therefore, many countries have sought to implement a strategy to successfully diversify sources of finance by adopting a package of reforms aimed at raising the contribution level of the economic sectors and improving the efficiency of these sectors, especially the manufacturing sector. It is important that in the efforts of diversifying the sources of funding in the public budget, all countries should rely on the expertise and competencies of their economy planners. Many countries have implemented such plans and thus achieved economic developments reflected in reaching an acceptable degree of diversification of sources of funding, to ensure continuity and sustainability of the public budget.