Kuwait City – Kuwait has announced a comprehensive economic reform plan for 2023-2027 to address various challenges facing the country’s economy, including the need for diversification and improved performance.
The Kuwaiti government has presented an ambitious program for the legislative term of 2023-2027, titled “Correcting the Path: A Productive Economy and Sustainable Prosperity,” to the National Assembly.
The plan focuses on general budget stability, economic agenda, job creation, skill development, sustainable stability, strong human capital, and a productive government.
The government will set up a development fund to nationalize investment in the economy, creating job opportunities and increasing non-oil profits.
The program emphasizes the digitalization of government work to attract both local and foreign investments.
One of the priorities is to establish economic zones in line with international standards and global partnerships.
The plan also includes a medium-term state budget, control of public spending, and a general framework for taxing large local companies.
MP Abdullah Al-Anboie, a member of the Financial and Economic Affairs Committee in the National Assembly, praised the initiative, particularly the focus on creating job opportunities and enhancing development. He also highlighted the need for Kuwaitization of the private sector, noting that about 90 percent of Kuwaitis are employed in government jobs.
Dr Abdulaziz Al-Osaimi, Director of Macroeconomics and Fiscal Policy in the Ministry of Finance, said the program includes economic, social, and institutional reforms. It aims to invest in infrastructure in tourism and entertainment, support small-to-medium enterprises (SMEs), and continuously re-evaluate the minimum wage of retirement salaries.
The program aims to upgrade Kuwait’s monetary markets rating in FTSE Russell Indexes from emerging markets to advanced emerging markets.
In the petrochemical and oil sector, the government aims to increase oil production to 3.15 million barrels a day and refinery capacity to 1.45 million barrels a day.
Treasurer of Kuwait Economic Society Abdulaziz Al-Humaidhi stressed the need to fight corruption and enhance transparency, which are crucial for Kuwait’s financial standing globally.
The comprehensive plan aligns with the goals of Kuwait’s Vision 2035 and is seen as a significant step toward achieving a diversified and sustainable economy.