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Monday , January 30 2023

Obstacles seen in depletion of liquidity from reserves

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KUWAIT CITY, Oct 13: The decision issued last August by the Council of Ministers to government agencies to take urgent measures to address the depletion of the liquidity of the general reserve ran into 5 major obstacles, in addition to the ministries’ announcement of their inability to implement some decisions, reports Al-Qabas daily. The daily quoting sources said coordination by the Ministry of Finance with government agencies resulted in reducing expenditure to the tune of 616.2 million dinars from the current fiscal 2021/2022 budget by no less than 10% — by cutting down participation in all local and foreign exhibitions and conferences by 50%, and reducing local and external training for all government agencies.

This is in addition to reducing official missions, research, studies and contracts for nonessential services by 50% of the approved budget, in addition to prioritizing construction projects and contracts and postponing unnecessary ones. Informed sources revealed that the Ministry of Finance has compiled a list for study of prices, rents, lands and buildings of state property and placed the issue on the table for government discussion.

The sources indicated that the Public Authority for Manpower proposed raising the salary and age ceiling for workers in the private sector, which is expected to stop disbursing employment support for them. The decision shall be implemented after one year from the date of its issuance.

The Council of Ministers had issued a decision in its meeting No. 39-2/2021 held on 8-16- 2021, and instructed all government agencies to take the necessary measures regarding a number of decisions, including the following:
1. Re-examination of the funds allocated for military support operations at the Ministry of Defense.
2. Reconsidering reducing financial allocations for treatment abroad so that it is limited for critical cases only.
3. Reviewing the number of students on scholarships.
4. Reviewing the support, aid and subsidies provided by the Ministry of Interior (for the Police Force Club) related to sports activities.
5. Examining the possibility of fixing the amount approved in the 2020-2021 budget for the costs of staff scholarships.
6. Reconsidering the decision of the Minister of Finance No. 18/1990 regarding mobile phones.