Arab Today, arab today qnb kuwait is well placed to withstand lower oil prices
Last Updated : GMT 06:49:32
Arab Today, arab today
Arab Today, arab today

QNB: Kuwait is well placed to withstand lower oil prices

Arab Today, arab today

Arab Today, arab today QNB: Kuwait is well placed to withstand lower oil prices

Qatar National Bank
Doha - QNA

Qatar National Bank (QNB) Group has published its Kuwait Economic Insight 2015. The report examines recent developments and the outlook for Kuwait’s economy. Kuwait is well placed to withstand lower international oil prices with strong macroeconomic fundamentals and the lowest breakeven oil prices amongst the GCC countries.
According to the report, Real GDP is projected to slow in 2015 (1.0%) as the government cuts subsidies before recovering in 2016 (1.8%) and 2017 (3.3%) as major development projects get underway.
In the hydrocarbon sector, the government plans to invest USD100bn in 2015-19 on boosting production, upgrading refineries, petrochemicals and transportation the Burgan oil project, among others, should accelerate oil production growth starting in 2017.
Non-hydrocarbons are expected to be the main engine of growth, driven by government investments, including the Kuwait Metro, the new port and the redevelopment of the airport.
Inflation is expected to rise as subsidies are reduced, with the largest impact in 2015 (4.2%), subsiding to an average 4.0% in 2016-17.
The government has announced plans to substantially cut current spending in 2015, mainly through the removal of subsidies on diesel, electricity and water, healthcare and petrol.
Foreign inflation is likely to slow in 2015 as commodity prices fall on weak global demand, but this is expected to be reversed in 2016-17, leading to higher foreign inflation.
 A small fiscal surplus is expected in 2015 (1.6% of GDP) as the government cuts back expenditure; the surplus is projected to widen in 2016-17 (4.9% of GDP on average) as hydrocarbon revenues recover on higher oil prices.
The government has announced plans for a 20% cut in current spending in 2015, which will mainly be achieved by reducing subsidies This will moderate expenditures throughout 2015-17 despite a growing wage bill and an increasing amount of public investment.
Public debt remains low at 6.2% of GDP at end-2014, while the government has a large positive foreign asset position through its sovereign wealth fund We expect slower deposit growth in 2015 as lower fiscal surpluses reduce oil-related flows to the banking sector, but this should reverse in 2016-17 Credit growth will be slightly faster on robust consumer lending.
Kuwait’s strong macroeconomic fundamentals should support asset quality going forward; we therefore expect profitability to rise on falling NPLs and high capitalisation.

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today qnb kuwait is well placed to withstand lower oil prices Arab Today, arab today qnb kuwait is well placed to withstand lower oil prices

 



Arab Today, arab today
Arab Today, arab today Heart of Turkish Riviera is Alluring Seaside Escape

GMT 11:11 2017 Tuesday ,28 March

Heart of Turkish Riviera is Alluring Seaside Escape
Arab Today, arab today 5 Crafty Must-Have Limited-Budget Ideas

GMT 17:03 2017 Saturday ,25 March

5 Crafty Must-Have Limited-Budget Ideas
Arab Today, arab today Russia, Iran ink economic deals

GMT 08:03 2017 Wednesday ,29 March

Russia, Iran ink economic deals
Arab Today, arab today Media host gives priority to problems of people

GMT 07:00 2017 Tuesday ,28 March

Media host gives priority to problems of people
View News in Arabic - Business: نفط وبتروكيماويات
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Disaster costs nearly double to $175bn

GMT 10:42 2017 Tuesday ,28 March

Disaster costs nearly double to $175bn
Arab Today, arab today Campaign fights sexual harassment in Egypt

GMT 11:14 2017 Tuesday ,28 March

Campaign fights sexual harassment in Egypt
Arab Today, arab today Trump moves to roll back Obama climate measures

GMT 08:39 2017 Wednesday ,29 March

Trump moves to roll back Obama climate measures
Arab Today, arab today Prepares to give stargazers an eyeful

GMT 13:38 2017 Monday ,06 March

Prepares to give stargazers an eyeful
Arab Today, arab today Mercedes, VW recall million vehicles in China

GMT 09:16 2017 Wednesday ,29 March

Mercedes, VW recall million vehicles in China
Arab Today, arab today Uber grounds self-driving cars

GMT 09:11 2017 Monday ,27 March

Uber grounds self-driving cars
Arab Today, arab today Trump poised to roll back climate protections

GMT 09:28 2017 Tuesday ,28 March

Trump poised to roll back climate protections

GMT 18:57 2017 Tuesday ,21 March

Accessories designer reveals her new collection

GMT 11:10 2017 Monday ,27 March

Trump to roll back Obama clean power plan

GMT 13:26 2017 Friday ,24 February

Expresses Algerian history by woody figures

GMT 11:55 2017 Wednesday ,29 March

Need ‘gymspiration?’ The top fun fitness bloggers

GMT 09:02 2017 Thursday ,23 March

Laptop ban sparks ire

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons

GMT 05:17 2017 Wednesday ,29 March

Samsung to sell refurbished Galaxy Note 7s

GMT 19:27 2017 Saturday ,11 March

Boualsof launches "Priestess Kahina" collection
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday