Expenditure rationalization ‘plan’ proposal presented to government

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KUWAIT CITY, May 28: Parliamentary sources disclosed that a proposal has been presented to government, as part of the expenditure rationalization plan, to stop providing financial aid to Kuwaitis working in the private sector whose salaries exceed KD 10,000 per month, reports Al-Anba daily.

Meanwhile, high ranking government sources explained that government peruses and contemplates any proposal concerning rationalization of expenditure before taking any decision in that regard.

They noted the ‘economy reform document’ presents several issues that may led to rationalization and streamlining of State’s expenditure. The same sources added that decisions have already been made on the level of members of department councils, as to cutting down financial bonuses. He stressed the annual bonus has been reduced, so there is nothing preventing the proposal to be looked into.

They indicated that government has yet to make any decision on the suspension of financial aid entailing social and child allowances paid to Kuwaitis working in private sector whose salaries exceed KD 10,000 per month.

They also revealed that government is looking into more regulatory measures to prevent some citizens who do not qualify for financial aid from receiving support. Meanwhile, government’s move will be ‘irrational’ in view of the fact that the State is obliged by law to pay social and child allowance to citizens, sources noted. Therefore, it is difficult to reduce the number of those receiving the benefit unless government comes up with regulations that will seal the loopholes in concerned laws so as to disqualify some citizens from receiving support and subsequently, reduce expenditure.

Ministry of Electricity and Water has signed two contracts worth KD 21,400,000 to renew and develop the electricity network in different parts of Kuwait after obtaining the approval of Central Tenders Committee, reports Annahar daily. Informed sources said the first contract valued at 3.875 million dinars includes supply, repair, operation and maintenance of condenser. The contract covers the power distribution network and secondary transformers in the residential areas, as per the ministry’s plan. The second contract entails the replacement of 132,300-voltage pneumatic insulators in different parts of the country at a cost of KD 17,490,000 to help improve the security and safety standards of power transformers. Sources pointed out that the ministry will refer the two contracts to State Audit Bureau for approval after obtaining the approval of Central Tenders Committee.

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