KUWAIT CITY, Aug 22: The Municipal Council’s approval of the Ministry of Finance’s request to transfer ownership of the Entertainment City project from the Amiri Diwan to the Kuwait Investment Authority (KIA) has finally set the long-awaited project on the path to implementation.

This move by the government constitutes a strong push for its efforts aimed at supporting development projects in the country. It will contribute to upgrading the tourism sector in Kuwait to form a non-oil revenue stream that will positively impact the nation’s income.

According to informed sources, the timetable for the new Entertainment City project aims for completion within two years. The KIA has assured the Municipal Council that it will present a comprehensive and integrated vision for the project and launch it within six months. The Ministry of Finance’s decision to transfer the management of the Entertainment City project from the Amiri Diwan to the KIA is in line with the ministry’s latest plan, which was presented by Minister of Finance Dr. Anwar Al-Mudhaf at the first forum on the state’s general budget. It is part of a broader financial and economic reform package designed to boost non-oil revenues, with a particular focus on enhancing the tourism sector.

A study submitted by the Tourism Enterprises Company in 2023 revealed that Kuwait has the lowest contribution from the tourism sector to its gross domestic product (GDP) compared to other Gulf Cooperation Council (GCC) countries, with just 6.1 percent. On the other hand, tourism contributes 10.8 percent to the GDP in the UAE, 9.8 percent in Bahrain, 9.7 percent in Qatar, 9.4 percent in Saudi Arabia, and 6.8 percent in Oman. In contrast, Kuwaitis’ annual spending on tourism overseas is estimated to exceed KD 4 billion (USD 14 billion), which represents about 11 percent of the country’s GDP. Meanwhile, the Tourism Enterprises Company has formed a team of consultants to explore ways to develop the Entertainment City project to maximize economic benefits for the country.

The goal is to attract specialized foreign companies to invest, contribute to the city’s development and operation, and transfer the required expertise. The team conducted opinion polls among citizens and expatriates and analyzed the results to determine the components and feasibility of the new Entertainment City project.

The study estimates the total cost of the project at approximately KD 200 million, with KD 120 million allocated for capital expenditures and KD 80 million for infrastructure. The project is expected to contribute about KD 85 million to the GDP by 2035 and create around 4,000 new job opportunities. The number of potential visitors to the Entertainment City is projected to reach 900,000 by 2030.

By Inaas Awadh
Al-Seyassah/Arab Times Staff