Kuwait cancels controversial housing clause favoring citizens who sold their homes

On Sunday, Decree-Law No. 83 of 2025 was issued, cancelling Article (29 bis) of Law No. 47 of 1993 concerning housing care — a provision widely known as the ‘He Who Sold His House’ clause.
According to Article 1 of the newly issued decree-law, the text of Article 29 bis is annulled. Article 2 directs the Prime Minister and relevant ministers to enforce the decree, which takes effect immediately upon its publication in the official gazette, Kuwait Alyawm.
The explanatory memorandum accompanying the decree-law stated that the now-repealed article had caused significant negative impacts, reports Al-Rai daily.
It led to unequal housing opportunities by granting certain citizens more than one chance at housing care, undermining the state’s goal of fairness and equal access, particularly at a time when thousands of housing applications remain pending from citizens who have never received any form of government housing.
The repealed article had granted access to housing on a usufruct or rental basis to a specific group: citizens who had previously received housing loans from the Credit Bank to build or purchase homes but later sold those homes and repaid the loans — provided the transactions occurred between April 15, 1992, and February 15, 2015.
Citizens who sold homes after that period or disposed of ready-built units allocated by the Public Institution for Housing Care were excluded from these benefits.
The memorandum emphasized that, in line with the state’s commitment to justice and the proper allocation of limited housing resources, the removal of this clause was necessary.
The reform also aligns with the Emiri Order issued on May 10, 2024, which allows laws to be enacted through decree-laws in the public interest.
This legislative move is seen as part of broader efforts to ensure equality and fairness in housing policies, especially amid rising demand and the growing backlog of applications from first-time housing care applicants.