Govt study­ing ‘pro­pos­als’ to in­volve cit­i­zens in own­er­ship of in­sti­tu­tions

Bid to re­duce bur­den on State bud­get

Arab Times - - LOCAL -

KUWAIT CITY, Jan 13: Government eco­nomic in­sti­tu­tions are study­ing pro­pos­als to in­volve cit­i­zens in the own­er­ship of hun­dreds of eco­nomic and ser­vice in­sti­tu­tions in or­der to re­duce bur­den on the State bud­get and lessen crit­i­cism on the qual­ity of pub­lic ser­vices such as ed­u­ca­tion, health and oth­ers, reports An­na­har daily.

Sources told the daily that this trend comes within the frame­work of the government’s de­sire to in­crease the pro­duc­tiv­ity of cit­i­zens in the pub­lic sec­tor and to in­volve them in for­mu­lat­ing the na­tional devel­op­ment vi­sion in light of the adop­tion of the new strat­egy for 2035, the most im­por­tant of which is the ac­tive in­volve­ment of the pri­vate sec­tor in devel­op­ment.

Sources added the in­tro­duc­tion of cit­i­zens as government part­ners to in­crease their pro­duc­tiv­ity will en­hance the gains of pub­lic in­sti­tu­tions and lessen pres­sure on the government to in­crease wages and salaries, which have be­come cum­ber­some on the gen­eral State bud­get and eat up the pub­lic re­serves.

Sources said the government is turn­ing from a reader of im­por­tant eco­nomic stud­ies and rec­om­men­da­tions into an ex­ecu­tor in light of the eco­nomic and global changes that are push­ing ev­ery­one to make rad­i­cal changes in the leg­isla­tive and fi­nan­cial struc­tures to im­mu­nize economies from suc­ces­sive re­ces­sions, es­pe­cially the oil pro­duc­ing coun­tries whose devel­op­ment plans are at the mercy of price fluc­tu­a­tions.

It is worth men­tion­ing that the price of a bar­rel of oil wit­nessed a sharp de­cline in the last two months from $86 to $57 per bar­rel, which neg­a­tively af­fected the bud­gets of Gulf coun­tries in­clud­ing Kuwait. Oil rev­enues are ex­pected to de­cline sig­nif­i­cantly, so it will bring back the bud­get deficit again.

Sources pointed out the oil price de­cline means pri­or­i­tiz­ing once again the im­ple­men­ta­tion of fi­nan­cial and eco­nomic re­forms which en­tail di­ver­si­fi­ca­tion of in­come sources, de­vel­op­ing non-oil government rev­enues, con­tin­u­ing the lim­i­ta­tion of pub­lic ex­pen­di­tures and re­duc­ing ex­ec­u­tive de­ci­sions that could drain pub­lic funds.

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