Kuwait Seeks To Tap Foreign Investment As Impetus To Economic Growth

(MENAFN- Kuwait News Agency (KUNA)) (Report)
KUWAIT, Nov 30 (KUNA) -- Under the directives of His Highness the Amir sheikh Meshal Al-Ahmad Al-Jaber Al-Sabah, Kuwait is adopting an ambitious approach to promote foreign investment and turn it into main economic momentum by taking steps that aim at revamping the investment environment.
The State of Kuwait is eyeing partnership with major global companies, marking investments that would drive the wheels for economic growth forward.
In this regard, meetings of representatives of His Highness the Amir, His Highness the crown prince Sheikh Sabah Khaled Al-Hamad Al-Sabah on the sidelines of the 79th UNGA reflected the countryآ's desire to bring in foreign investors who would contribute to the overall economic development of the state and benefit partners.
An instance of moving matters forward could be seen in the last few weeks when Kuwait and China activated the previously signed seven deals inked during His Highness the Amirآ's visit to China in September of 2023.
Kuwait had received several Chinese delegations who met with a number of Kuwaiti officials to explore venues of cooperation and also initialize previously signed agreements.
On the part of the Chinese, the Asian country expressed trust in the future of Sino-Kuwaiti relations. This was seen in the visit of the CCC Chinese company to Kuwait recently.
The Kuwaiti cabinet, in return, tasked ministers and state entities to implement signed agreement with the Chinese side and also called for more measures to enhance investment climate in Kuwait to support the Kuwaitآ's transformation to a hub of commerce, trade, and investments.
The cabinet also has a vision to include the private sector in some of its projects including for example developing the framework to the Gulf of Sulaibikhat project and the Jahra waterfront corniche.
On the monetary side, the Minister of Finance, Minister of State for Economic and Investment Affairs, and Acting Minister of Oil Nora Al-Fassam stressed the importance of maintaining the monetary and financial stability of the state via bolstering the national economy, diversifying non-oil income, attracting foreign investments, supporting national cadres. Al-Fassam reiterated such points during her meeting with the mission chief of the International Monetary Fund (IMF) Francisco Parodi.
In August, Kuwait set the new foundation to encourage more foreign investments in Kuwait and this came in a decision made by the 2013آ-established Kuwait Direct Investment Promotion Authority (KDIPA), which allowed entities with less than a year of operation to submit to the authoritiesآ' papers allowing for privileges and exemptions.
Moreover, Kuwaitآ's 2024-25 development plan called for the establishment of a specialized economic development zone of unique laws aimed at attracting global investors of high value and also encourages transparency in managing financial resources.
Last August, Kuwait agreed via a decree on the MoU signed with Oman within the framework of direct investments.
Kuwait also signed this year a MoU with South Korea to bolster economic cooperation, and mutual investment, and encourage direct investment visits between the two sides.
On foreign companies expressing interest in the Kuwaiti market, London-based Joseph Gallagher, one of the UKآ's construction giants, joined last September the list of companies interested in investments in the Kuwaiti market.
The British company established a one-person-licenses entity in Kuwait dubbed the Joseph Gallagher company for project management.
Meanwhile, Google Cloud opened its new office in Kuwait last July to boost digital transformation in the country and bring in more income for the state.
It is worth noting that the volume of incoming direct investment from January 2015 until late March 2024 reached KD 1.7 billion (USD 5.55 billion), including KD 206.9 million (around USD 675 million) in inward direct investments during the FY 2023-2024.
The investments came from 95 entities belonging to 34 countries, according to Kuwait Direct Investment Promotion Authority (KDIPA).
The European continent heads direct investments in Kuwait by 59.98 percent, followed by Asia by 28.50 percent, North America by 9.52 percent and Africa by 1.90 percent. (end)
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