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Thursday, February 06, 2025
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Finance Ministry instructs gov't agencies to price services based on cost and benefit

publish time

06/02/2025

publish time

06/02/2025

Finance Ministry instructs gov't agencies to price services based on cost and benefit
Kuwait government unveils pricing reforms to improve state spending and revenue management

KUWAIT CITY, Feb 6: The government has initiated measures to reform the public finance structure and increase public revenues by addressing the pricing of goods and services. This follows the issuance of Decree No. 1 of 2025 in January, which outlines the fees and financial costs related to the use of public facilities and services.

In line with the decree, the Ministry of Finance has directed ministries and government agencies to establish pricing for the goods and services they provide, based on the actual cost of services and applicable fees. This initiative aims to improve government spending efficiency, enhance the management of state financial resources, and ensure the sustainable delivery of public services.

Government agencies are expected to submit their evaluations on service costs and pricing after preparing the required studies. These proposals will then be presented to the Council of Ministers for review and approval or further amendments.

The decree stipulates that each entity must set the fees, costs, and charges for using public facilities and services through a decision by the competent authority in each respective entity, in accordance with the applicable law, after obtaining approval from the Council of Ministers.