Relatively improved global oil prices help cut budget deficit
KUWAIT CITY, July 31: Kuwait will not waver in executing the economic and financial reform initiated three years ago through activation of economic reform document submitted by the Ministry of Finance, which has become the national program for economic and financial sustainability, reports Al- Anba daily.
Sources said the relatively improved global oil prices in recent times has helped reduce the deficit in public budget to some extent but the positive headway does not mean that Kuwait will quit the economic reform program and demographic reform process or reinstate subsidies.
They stressed that oil revenues generated for the implementation of investment projects increased last fiscal year to KD 3.22 billion representing 16.7 percent of public budget, excluding traditional expenditure, which the Ministry of Finance seeks to rationalize based on a specific plan – in coordination with various ministries and official bodies.
They pointed out that several laws will be passed in the next period, including Public Loan Law that allows the State to receive loans over a specific period. The bill expired in October 2017. Others include reinstatement of subsidies, implementation of selective tax, dealing with budget deficit and reducing unnecessary expenditure.