Article

Friday, September 05, 2025
search-icon

New reforms: Kuwait tightens public fund protection and streamlines legal processes

publish time

13/08/2025

publish time

13/08/2025

New reforms: Kuwait tightens public fund protection and streamlines legal processes
The Kuwaiti Council of Ministers holds its weekly meeting.

KUWAIT CITY, Aug 13: The Kuwaiti Cabinet, during its weekly meeting on Tuesday, approved several significant legislative reforms and updates to development projects aimed at boosting the nation’s infrastructure and economy. The meeting, held at Bayan Palace under the leadership of Acting Prime Minister and Minister of Interior Sheikh Fahad Yusuf Saud Al-Sabah, covered a range of critical issues, including the protection of public funds, digital transformation, and large-scale housing and energy initiatives.

Revised law for protecting public funds

One of the major decisions taken was the approval of a draft decree-law amending Law No. 1/1993, aimed at strengthening the protection of public funds. The revised law aims to address gaps revealed through the practical application of existing regulations. Key changes include expanding the scope of criminalization, enhancing procedural protections, and updating legal formulations. The amendments introduce stricter measures, including tightening rules for job exploitation, increasing penalties for fraud and corruption, and criminalizing intentional damage to public funds. Additionally, the law increases penalties for submitting false information and allows the Public Prosecution to demand the return of misappropriated funds even if a criminal case has been dismissed.

Streamlining legal procedures with digital transformation

In a bid to expedite legal processes and embrace digital advancements, the Cabinet also approved a draft decree-law to amend Law No. 38/1980, governing civil and commercial procedures. The amendments aim to streamline litigation by implementing full electronic procedures, allowing remote hearings, and tightening controls on judicial recusal. Notably, the reforms propose an increased guarantee and fine system for recusal requests, ensuring a more efficient and modernized legal framework.

Strategic development projects: Housing, energy, and AI innovations

The Cabinet was briefed on several high-profile development initiatives, including the Al-Sabriya City housing project in northern Kuwait. Minister of State for Municipal Affairs Abdullatif Al-Meshari shared details about the 80-km² project, which will provide 55,000 housing units, along with service, commercial, recreational areas, and public facilities. This development is set to be one of the largest housing and urban projects in the region.

Minister of Oil Tareq Al-Roumi also presented updates on the Kuwait Oil Company’s newly launched Artificial Intelligence Innovation Center. This initiative is part of the Kuwait Petroleum Corporation’s broader digital transformation strategy in the energy sector, aimed at enhancing operational efficiency and fostering innovation.

Furthermore, Minister of Finance and Acting Minister of State for Economic and Investment Affairs Dr. Sabeeh Al-Mukhaizeem briefed the Cabinet on the signing of the second and third phases of the Al-Zour North Power Plant Project. This partnership with ACWA Power and the Gulf Investment Corporation will establish a state-of-the-art power generation and water desalination plant.

Public sector updates and national holiday announcement

The Cabinet also decided to suspend work in all ministries, government agencies, public institutions, and bodies on Thursday, September 4, 2025, to mark the Prophet’s Birthday holiday. Regular work will resume on Sunday, September 7, 2025, with exceptions for agencies that operate under special conditions, whose holidays will be determined by their respective authorities.

Bilateral relations and international cooperation

Additionally, the Cabinet reviewed and approved several agreements and memoranda of understanding with other nations, aimed at strengthening Kuwait’s diplomatic and economic ties. These agreements were submitted for approval to His Highness the Amir, Sheikh Meshal Al-Ahmad Al-Jaber Al-Sabah.

In conclusion, the Cabinet reaffirmed its commitment to accelerating the implementation of vital development projects and legislative reforms, underscoring the importance of timely and effective action to support Kuwait’s continued growth and modernization.