Shura Council to vote on $769mln fund accounts after MPs’ rejection last year

TDT | Manama

Email : editor@newsofbahrain.com

Despite rejection by Parliament last October, the Shura Council’s Financial and Economic Affairs Committee is urging members to approve the Future Generations Reserve Fund’s 2023 accounts after the fund’s assets climbed to $768.9 million by 31 December 2023, with the matter due to be put to a vote next Sunday.

MPs, in Decision No. (10) issued on 21 October 2025, declined to approve the annual report and audited financial statements, citing observations. The Shura committee’s report recommends approval, while adding its own notes and follow-up points.

Profit

The audited statements show the fund swung back into profit in 2023, recording $64.3 million for the year after a loss of about $70.8 million in 2022.

The annual return was 8.4 per cent in 2023, compared with minus 11.5 per cent the year before.

The accumulated reserve stood at $542.7 million at end2023.

Oil-sale receipts or dues recorded for the year totalled $92.4 million, up from $54.5 million in 2022.

Crude

Under the law establishing the reserve, funding comes from a $1 deduction from the price of each exported barrel of crude sold above $40.

Law No. (16) of 2022 raised the deducted amounts in steps linked to higher oil prices.

The committee also drew attention to amounts due to the fund, saying the balance of indebtedness reached $13.6 million at end-2023, up from about $7.7 million a year earlier, and called for closer follow-up on collection.

Expenses

Operating expenses rose to about $6.1 million in 2023 from roughly $5.5 million in 2022, which the committee linked mainly to higher salaries and other costs.

It proposed looking at paying running costs directly from the reserve account to reduce repeat strain on the state budget and to present the fund’s position in a clearer way.

Investment

In the response cited in the report, the Ministry of Finance and National Economy, speaking for the fund’s board, said it follows a conservative investment approach and that losses can occur.

It also said the board plans to move investments outside Bahrain and exit local investments during 2026, while a tower project is due to be handed over in 2026.