Tuesday , October 3 2023

Kuwaitis, expats spending dips

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KUWAIT CITY, May 10: The spending rate of citizens and expatriates declined by 3.4 percent in the first quarter of 2021 — a total of KD 5.4 billion compared to KD 5.6 billion in the fourth quarter of 2020, reports Al-Anba daily. This is attributed to the re-implementation of closure measures to curb the spread of coronavirus, partial curfew in March, and travel restrictions which limited citizens’ travels for tourism purposes. Thus, their spending decreased in the first quarter of this year. In the fourth quarter of last year, the country witnessed a partial breakthrough in the restrictions imposed to address the pandemic and the gradual return to normal of various economic activities.

However, the number of corona cases increased again in the first quarter of this year; so the closure measures were implemented again and this has affected consumer spending. According to statistics that the daily generated based on data from the Central Bank of Kuwait, the spending of citizens and expatriates increased by eight percent annually before the corona crisis. This is in comparison with the amount recorded in the first quarter of 2020 — KD5 billion. It should be noted that the first quarter of last year witnessed the implementation of measures similar to those applied in the first quarter of this year – curfew, economic and travel restrictions.

Meanwhile , seven Kuwaiti companies are ranked among the “100 Most Powerful Arab Family Companies 2021” published by Forbes International, reports Al-Anba daily. The seven companies are the Alghanim Industries, Al Shaya Group, Murad Yusuf Behbehani Group, Al Sayer Holding, Bukhamseen Holding Group, Al Mulla Group, and the Boodai Group. Family businesses have an effect on the Middle East and contribute to the economy more than their counterparts in nonfamily businesses, and according to the 2019 report issued by PwC, family businesses contribute about 60% to the region’s GDP, and employ 80 percent of the total workforce.

According to the report, about a trillion dollars have been passed on from generation to generation within family businesses in the Middle East over the past decade, and the current decade may be the most challenging, especially since most of the large family companies in the region operate in traditional sectors such as distribution, franchising, industries, real estate and construction and hospitality. And, in another, unrelated development, the Environment Public Authority (EPA) will soon implement an industrial project for recycling products and achieving sustainability through the used tyres which will be disposed in Salmi, reports Al-Qabas daily.

Director General of the authority Sheikh Abdullah Al-Ahmad confirmed in a press statement that the project will be implemented after the transfer of used tyres from Rahiya to the new site in Salmi in August. He stressed the used tyres, which will be transferred to Salmi, will be recycled and utilized in other industries in order to achieve sustainability and prevent the accumulation of these tyres. “Companies engaged in used tyres transportation will benefit through the establishment of factories in Salmi, recycling tyres and achieving sustainability without any cost for the public treasury,” he concluded.

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