KUWAIT CITY, Aug 8: The Ministry of Commerce and Industry, along with the Public Authority for Manpower, is developing an internal regulation to streamline residency rules, particularly concerning Article 19.

The initiative aims to simplify procedures for managing different residency categories, but officials indicate that coordination with various government agencies will require additional time.

According to informed sources, the ministry received the suspension order following a request from the Public Authority for Manpower. Currently, the ministry is reviewing the rules and regulations that govern the employment of individuals under various residency articles, with the goal of facilitating the transfer of partners from Article 18 to Article 19.

Emphasizing uncertainty
The decision to temporarily suspend business registrations, renewals, and changes has created uncertainty and the risk of capital outflow.

Additionally, no expatriates, whether partners, managers, or visa holders will be allowed to be added to the commercial register unless they fall under Article 19 of the residency provisions.

The controversial Circular No. 11 of 2024 affects Articles 17, 18, 19, 20, 22, and 24, and the Ministry of Commerce and Industry will work to adjust the status of existing licenses where one of the partners or managers does not meet the Article 19 requirement. The decision is based on the Public Authority for Manpower's Book No. 2802, dated March 1.

As the ministry works on these regulatory adjustments, businesses are closely watching the situation, concerned about the potential economic impact and the future of foreign investment in Kuwait.