Arabi Holding, KIA settle legal disputes to advance Dhaman project
Decree overhauls healthcare venture, hands 50 percent stake to Kuwait Investment Authority
Kuwait has issued a new decree-law reshaping the ownership structure of the Health Assurance Hospitals Company, in a move aimed at accelerating the long-delayed national healthcare project and resolving the longstanding legal and operational challenges.
Decree-Law No. 50 of 2026, published in the Official Gazette today (Sunday), transfers the shares previously earmarked for public subscription, representing 50 percent of the company, to the Kuwait Investment Authority (KIA). The Authority is now empowered to determine the proportion of these shares to be reoffered to Kuwaiti citizens at a later stage.
The decree introduces an exception to the provisions of Law No. 9 of 2010, which originally governed the distribution of shares in state-backed development projects. It also nullifies any conflicting legal provisions and mandates all relevant authorities to implement its terms with immediate effect, reports Al-Jarida daily.
The move comes as part of broader efforts to revive the Health Assurance Hospitals Company, established in 2014 to provide specialized healthcare services for expatriates and ease pressure on the public health system.
Under the original framework, 50 percent of the company’s shares were allocated for Kuwaiti citizens, 26 percent for a strategic investor through public auction, and up to 24 percent for government entities. The Kuwait Investment Authority had temporarily subscribed to the citizens’ share portion, pending a public offering that never materialized.
However, persistent obstacles, including delays in launching the public subscription and ensuing legal disputes, have hindered the company’s operations and raised concerns over its viability.
According to the explanatory memorandum, the new decree aims to correct the company’s legal standing, eliminate barriers to its operation, and fast-track its role in delivering healthcare services in line with Kuwait’s development objectives.
By consolidating ownership of the public subscription shares under the KIA, the government seeks to streamline decision-making and ensure the project’s long-term sustainability, while retaining the option to reintroduce citizen participation at a later stage under revised terms.
