KUWAIT CITY, Aug 11: According to the weekly report from Al-Shall Center, Kuwait’s general budget for the fiscal 2024/2025 is expected to face a deficit of 2.040 billion dinars, reports Al-Seyassah daily. This projection is based on anticipated total budget revenues of 22.515 billion dinars, which includes 2.428 billion dinars in nonoil revenues, against expenditure appropriations of 24.555 billion dinars. The report noted that as of the end of July 2024, the average price of Kuwaiti oil was about $85.8 per barrel.

This is approximately $15.8 per barrel higher, or 22.6 percent, than the budget’s estimated price of $70 per barrel. For the previous fiscal year 2023/2024, the average price was $84.4 per barrel. The July 2024 average price represents a 1.7 percent increase from the previous fiscal year’s average but is $4.9 per barrel below the new breakeven price of $90.7. Oil revenues for July are projected to be 1.679 billion dinars. Assuming stable production levels and prices, oil revenues could total 20.087 billion dinars after accounting for production costs. This would be 3.853 billion dinars higher than the budget’s estimated oil revenue of 16.234 billion dinars