kuwait emir urges reforms
Last Updated : GMT 06:49:16
Arab Today, arab today
Arab Today, arab today
Last Updated : GMT 06:49:16
Arab Today, arab today

Income drops 60%

Kuwait emir urges reforms

Arab Today, arab today

Arab Today, arab today Kuwait emir urges reforms

Oil prices lost 60% of value
Kuwait City - Arab Today

Kuwait's ruler called Tuesday on officials in the oil-rich state to seek alternative revenue sources and reduce public expenditure after state income dropped 60 percent due to a sharp slide in crude prices.

Addressing parliament at the beginning of its new term, Sheikh Sabah al-Ahmad Al-Sabah urged citizens to understand the new measures.

"The decline in global oil prices has caused state revenues to drop by around 60 percent while spending remained without any reduction leading to a huge deficit," the emir told lawmakers.

He called for "speedy actions to adopt serious and fair measures to complete economic reforms... and reduce public expenditures."

"Any delay would only increase the budget deficit and make the cost (of reforms) higher," the emir said.

Oil prices have lost around 60 percent of their value since June 2014, hitting the coffers of energy-dependent countries like Kuwait.

Oil income accounted for about 94 percent of Kuwait's revenues during the past 16 years, when the emirate posted a budget surplus and piled up massive fiscal reserves of around $600 billion (543 billion euros).

The reserves are invested mostly abroad by the country's sovereign wealth fund.

The International Monetary Fund said in a report last week that under existing conditions, the reserves would be enough to last Kuwait for the next 23 years.

But Sheikh Sabah said the government should avoid tapping the sovereign fund to finance the budget shortfall.

Based on figures published by the finance ministry, Kuwait's revenues in the first half of 2015 hit 8.34 billion dinars ($27.6 billion), way below the 15.1 billion dinars of income in the same period of last fiscal year.

The revenues, however, amounted to more than half of the 12.2 billion dinars income projected for the whole year.

At the start of 2015, Kuwait lifted subsidies on diesel, kerosene and aviation fuel. It is considering similar measures for electricity, water and petrol.

Public spending has risen more than three-fold in Kuwait over the past seven years, with the overwhelming majority of the increase going to wages and subsidies.

The tiny emirate has a native population of 1.3 million and is also home to about 2.9 million foreigners.
Source: AFP

arabstoday
arabstoday

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*

kuwait emir urges reforms kuwait emir urges reforms

 



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*

kuwait emir urges reforms kuwait emir urges reforms

 



GMT 10:06 2012 Saturday ,28 July

Querrey advances at ATP LA Open

GMT 21:15 2017 Thursday ,01 June

Trump condemns deadly Kabul explosion

GMT 02:15 2017 Thursday ,24 August

Is your country on the Qatar free entry list of 80?

GMT 19:48 2016 Monday ,03 October

Controversial boxing champ Tyson Fury retires

GMT 08:20 2015 Tuesday ,08 December

PC market woes show no sign of easing

GMT 17:27 2017 Tuesday ,25 April

20 Yemeni soldiers killed, injured in explosion

GMT 11:52 2017 Saturday ,30 December

OIC condemns Mar Mina Church attack

GMT 00:03 2017 Saturday ,25 March

Arab Meeting to Examine Anti-Corruption Methods

GMT 13:12 2017 Thursday ,20 April

Deputy premier meets Arab League chief

GMT 14:13 2014 Friday ,10 January

Opel Astra GTC

GMT 18:27 2016 Tuesday ,02 August

Turkish Foreign Minister arrives in Islamabad

GMT 11:27 2016 Tuesday ,13 December

Saudi woman arrested for challenging social norms
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

Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2021 ©

Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2021 ©

arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday