Kuwait unveils plan to attract direct investment, Finance Minister calls for reforms at Euromoney
Private sector plays a major role in development plan: Chamber of Commerce
KUWAIT CITY, Sept 25, (KUNA): The Kuwaiti government has devised a strategy to lure direct investment as part of efforts to buoy a national development plan, said an official on Tuesday.
Kuwait’s Direct Investment Promotion Authority (KDIPA) has coped well with the economic and financial changes taking place in the country, its director general Dr. Sheikh Mishal Al-Jaber Al-Sabah told the “Euromoney 2018 Conference”.
He said that the privatization of Kuwait’s stock exchange, among other measures taken to create a more business-friendly environment, served as the catalyst for local market growth.
The Kuwaiti official said these measures go a long way in gaining the trust of investors and encouraging them to foray into the Kuwaiti market, citing “ample investment opportunities” the Gulf state has to offer.
He pinpointed the growing cooperation between the private and government sectors as another factor that contributed towards increased foreign investment. On the conference, he said it provides an opportunity to illustrate the progress of the local financial sector, in addition to discussions over some of the most pressing economic issues.
Meanwhile, Kuwaiti Finance Minister Nayef Al-Hajraf stressed on Tuesday the importance of a planned economic reforms to activate the role of the private sector and “reduce government intervention in the economy.”
Al-Hajraf made his remarks in his opening speech at the 10th session of the Euromoney Conference - Kuwait 2018, adding that Kuwait has great potential in its institutions, human and financial resources. He said that article 20 of Kuwait Constitution affirms that the national economy is based on social justice and fair cooperation between public activity and private activity, to achieve economic development, increase production, and promote living standards.
The Kuwaiti minister spoke of certain amendments to legislations, in addition to changes made to the state budget, taking into account the latest economic and financial developments.
He revealed that the new legislation has been referred to Parliament and will come under close scrutiny by lawmakers during the National Assembly’s forthcoming session.
The key objective is to preserve Kuwait’s financial resources, which in turn, gains the trust of the state audit bureau and simplifies the process of putting together the state budget, Al-Hajraf explained.
As per the new legislation, he said that all government bodies are required to provide the finance ministry with an annual report detailing such intricacies as the gap between expenses and revenues.
Similarly, he said that the “government is also required to inform parliament of current financial conditions” on a regular basis, citing the finance ministry’s official website for further details over the new legislation.
Member of Kuwait Chamber of Commerce and Industry Wafaa Al-Qatami assured Tuesday the important role played by the private sector in implementing the local development projects, stressing the need for more government funding to boost local economy.
In a statement for (KUNA), Al-Qatami noted that foreign investors now consider Kuwaiti market and its local economy promising and attractive, which gives a strong and important indicator to any of the world’s economies.
On the sidelines of her participation in the 10th session of the conference Euromoney – Kuwait 2018, Al-Qatami said that upgrading Kuwait Stock Exchange (KSE) to the status of emerging markets, boosted the confidence of foreign investors in the Kuwaiti market and its economic status.
A significant increase in trading volume and value of (KSE) witnessed on Thursday, by achieving a new record of KD 167, million (about $ 551 million) boosted the foreign investors trust, she added.
She pointed that Chamber of Commerce and Industry have worked lately on marketing Kuwait’s development plan in global market, aiming to attract foreign companies to invest in the mega projects listed in the development plan and to benefit from the advanced technology of these companies in Kuwait’s market.
She stressed the importance of such conferences in exchanging ideas and opinions about investment opportunities in Kuwait, especially between banks and giant foreign companies, to know the investment opportunities available to all parties.
The 10th session of Euromoney – Kuwait 2018 conference will address the latest developments in the vision of New Kuwait (2035), highlighting the financial sector’s response to the government development plan.
The one-day conference brings together a number of local and international economic and financial figures to discuss how the keep the macroeconomic model sustainable and how Kuwait can expand its revenues, consolidate its capital funding, and promote the role of the private sector in the local economy.