A recent government report called for the need to transfer activities from the public sector to the private sector, through a privatization strategy, and to support and enhance the entry of foreign direct investment into the national economy.
The report issued by the General Secretariat of the Supreme Council for Planning and Development, entitled “Global Inflation and its Impact on the Kuwaiti Economy,” specified its recommendations, including taking initiatives to diversify sources of income in the long term, and implementing them quickly, so that Kuwait does not enter the cycle of factors affecting global inflation, especially with the development of geopolitical events in moving oil prices.
The report indicated the possibility of local inflation recording good rates in the medium term, ranging between 2.3% and 2.7%, supported by monetary policies and measures to be implemented to enhance economic diversification, especially with regard to supporting local industries and expanding their scope, with the aim of achieving self-sufficiency in the long term, while continuing to seriously monitor prices.
While the report called for increasing projects funded through public-private partnerships, in order to enhance private sector participation and develop large-scale, highly efficient productive economies, by developing priority economic sectors and providing equal opportunities for all, the report stressed the development of innovative products and services, by developing an integrated environment for technology, innovation and knowledge, and focusing on increasing the impact of small and medium-sized projects and companies by financing, sponsoring and expanding their scope, in addition to the importance of stimulating the industrial sector to support import substitution and enhance exports.
Here are the details:
A recent government report called for the need to support and enhance foreign direct investment by facilitating entry into the national economy. The report issued by the General Secretariat of the Supreme Council for Planning and Development recently, entitled: “Global Inflation and its Impact on the Kuwaiti Economy,” specified its recommendations for taking initiatives to diversify sources of income in the long term and implementing them quickly so that Kuwait does not fall into the cycle of factors affecting global inflation, especially since geopolitical events play a prominent role in driving oil prices.
The report called for the necessity of transferring activities from the public sector to the private sector through a privatization strategy and transforming the government’s role from an operational body to a supervisory body responsible for the state’s general policies, so that the private sector is the one leading economic activity in the medium and long term.
global inflation
Despite the gradual recovery from global inflation as a result of the monetary policies followed by international central banks, on the local level, average interest rates in Kuwait are expected to reach about 4.5% in the medium term. This rate is high and one of the reasons leading to the contraction of the local economy.
The report indicated the possibility of local inflation recording good rates in the medium term, ranging between 2.3% and 2.7%, affected by the monetary policies and measures that the report hopes Kuwait will take with regard to economic diversification, especially with regard to supporting local industries and expanding their scope with the aim of achieving self-sufficiency in the long term, while continuing to seriously monitor prices.
The Secretariat confirmed in its report its support for one of the most important pillars of the development plan, which is a diversified and sustainable economy, and its directives to various state agencies to implement strategic and feasible projects for this pillar within the policies and programs set to achieve Kuwait Vision 2035, noting that one of the most important effective programs for this pillar is the program to enhance a dynamic private sector.
Strengthening partnership
The report called for increasing projects financed through public-private partnerships in order to enhance private sector participation and develop large-scale, highly efficient productive economies by developing priority economic sectors and providing equal opportunities for all by strengthening the competition framework. The report also emphasized improving the ease of doing business to establish, operate and expand companies.
The report stressed the development of innovative products and services through the development of an integrated environment for technology, innovation and knowledge. It also focused on increasing the impact of small and medium-sized projects and companies through financing, sponsoring and expanding their scope, in addition to the importance of focusing on stimulating the industrial sector to support import substitution and enhance exports.
العربية 
English 
Français