Author(s): Nader Mahmoud Bahomaid,
Purpose: this study attempt to display the reasons that causes deficit in budget and then mentions the solutions to finance the deficit of budget in conventional and Islamic views. Design, methodology, approach: this study undertakes library to search in books and other papers of scientific that are related in area of deficit and the websites related in this paper and we display the tools to financing the deficit budget of Yemen during last years. Findings: we found there are a large budget deficit in most countries until the countries has strong economic and the government of Yemen one of them treats this deficits by take loans from external debt more than internal debt and we find there are numerous solution in Islamic views to solve this problem more practical than the conventional solution so we recommend Islamic countries support each other and the Islamic governments ought take money by Islamic financing like Sukuk this is more effective than the external loans or issues debt belt treasury that have interest that prohibition in Islam.