The economic report issued by the government big steps have been taken through the implementation of 164 programs and projects to increase investments in the industrial sector in Kuwait earmarking about 11 billion dinars during the coming period.
According to a recent report issued by MEED, the implementation of the industrial strategy would achieve increased added value of the manufacturing sector from 1.8 billion dinars to about 2.4 billion dinars; industrial sector exports will increase from 1.67 billion dinars to about 3 billion dinars and increase the number of jobs for nationals in the industrial sector from 11 thousand to 25 thousand.
The Public Authority for Industry seeks to develop the sector through the following:
1 – By establishing an independent body for standards and metrology in cooperation with the National Assembly.
2 – By preparing a national industrial strategy 2035.
3 – Establishing the Industrial Exports Fund.
4 – Reassessing the usufruct fees and fees for services provided by the Public Authority for Industry to others.
5 – Assessing the current and future status of all sites that the private sector is rehabilitating and operating to benefit from upon the expiry of the contracts.
6 – Rationalizing the incentives system and linking it to achieving national priorities.
7 – Expanding research and development in the industrial sector.
8 – Enhancing the participation of the private sector in the projects of the Public Authority for Development Industry.
9 – Encouraging attracting global investments in the industrial sector.
Amending Law No. 116 of 2014 regarding partnership between the public and private sectors is a governmental priority, in order to pave the way for the implementation of government projects, especially since the last period witnessed the faltering implementation of some projects according to the current law, as the concerned authorities rely a lot on the private sector to change the economic and development scene during the coming period by enabling it to participate effectively in major development projects in order to avoid the funding and bureaucratic problems that faced government agencies in implementing most development projects, say the sources.
While the economic circles are awaiting the creation of a legislative and regulatory environment for the involvement of the private sector in the implementation of projects through the introduction of amendments to the laws of privatization, industry, and partnership, it was found through numerous government correspondences that most of the projects to be proposed during the coming period will rely on the implementation of the private sector in partnership with the government.
On a parallel line to the advancement of the industrial sector in the country, the government plans to increase foreign direct investment by 300%, which means it will reach about 42 billion dinars during the period of implementation of the development plan.
According to official figures, the total foreign investment balances in Kuwait increased by the end of 2020 to reach about 14 billion dinars, an increase of 7.9% from the total balances of 2019 amounting to 12.98 billion dinars.
The concerned authorities are promoting investment in Kuwait, after introducing the appropriate legislative amendments, which established many incentives for the foreign investor to be present in the country by offering projects in various fields.