Thursday, August 20, 2026
 
search-icon
search-icon
close-icon

Kuwait: Study pros and cons before setting up businesses

‘Switching to global codes enhances trade stability’

publish time

20/08/2026

publish time

20/08/2026

Kuwait: Study pros and cons before setting up businesses
Add as Preferred Source on Google

KUWAIT CITY, Aug 20: Kuwait Municipality said it is keen on switching from local to international codes and classifications for economic and commercial activities, as per the directives of the Council of Ministers and the Ministry of Commerce and Industry. In a statement to the newspaper, Head of the Engineering Licensing Department at the fMunicipality branch in the Capital Governorate Abdulaziz Al-Rashidi disclosed that the country has localized activities in accordance with the International Standard Industrial Classification (ISIC Rev. 4) issued by the United Nations, which aims to standardize the description and coding of economic and productive activities throughout the world.

Al-Rashidi said the ‘License Your Business… Your Steps Are Right’ campaign, recently launched by the Municipality, is part of its awareness efforts to ensure the business owners’ compliance with regulations and contribute to the rectification of certain activities. He indicated that the campaign also aims to educate business owners and investors seeking to establish new businesses on selecting the activity that best corresponds to the nature of their work. He confirmed the commitment of the Municipality to provide information and respond to the questions of business owners. He considers this one of the major factors in protecting investments and enhancing the sustainability and stability of business activities.

He then stressed the importance of engaging in consultations before launching a business, explaining that certain activities cannot be licensed in certain locations or areas. He added that some activities are subject to requirements concerning their location within a building, including restrictions on licensing certain activities on the first floor. He underscored the importance of verifying in advance that an activity is suitable for the intended location and complies with applicable regulations to avoid unnecessary costs.

He indicated that the Municipality website provides information on activities, requirements and procedures, hence, they are readily accessible to individuals and companies. He also pointed out the existence of Municipality branches in the governorates and the dedication of specialized staff to provide support and guidance to business owners. He said the website urges business owners to avail of services and consultations, submit the necessary documents and data related to their activities, and obtain the required information and guidance before beginning the licensing process.

On the other hand, Head of the Engineering Licensing Department at the Farwaniya Governorate branch of the Municipality Eng. Abeer Al-Aradi reiterated that the ‘License Your Business… Your Steps Are Right’ campaign is raising awareness about three violations related to commercial licenses, including opening or operating a business without a license. Al-Aradi disclosed that other violations include adding unlicensed space or modifying the premises without the approval of the Municipality, and adding or engaging in an unlicensed activity without obtaining approval from the Municipality.

By Inaas Awadh Al-Seyassah/Arab Times Staff