KUWAIT CITY, July 10: Political reforms appear to be yielding swift results in the local market and this became evident when the economic sources informed Al-Seyassah that numerous Kuwaiti real estate, investment, and oil companies that had been investing abroad are now preparing to return to the Kuwaiti market. This shift follows the suspension of the National Assembly’s work, which had been a major impediment to their return.

The sources emphasized that the stagnation in the country’s economic situation and the loss of numerous investment opportunities for the private sector were partly due to priorities being given to favored and influential individuals who had ‘connections’ to some National Assembly members. The Ministry of Finance is now actively working to attract Kuwaiti companies back by offering more investment opportunities through BOT projects and other initiatives. With His Highness the Amir advocating for ample opportunities for the private sector and the removal of all barriers to its growth, the sources expect the return of at least 700 Kuwaiti companies in the industrial, real estate, and oil sectors by mid- 2025.

This is amid a significant economic boom and efforts to clamp down on corruption and money laundering, which had previously driven capital away from Kuwait. Currently, over 5,000 Kuwaiti companies operate abroad, having migrated to the GCC, other Arab nations, and foreign countries in search of more favorable investment conditions. The local market’s complex policies and economic stagnation over the past two decades had contributed to this exodus. The government is urged to provide more industrial and investment lands to attract these companies back, particularly from the industrial sector.

Oil sources disclosed to Al-Seyassah that a private Kuwaiti oil company involved in overseas exploration plans to return to Kuwait this year. This company, which competes with the Kuwait Foreign Petroleum Exploration Company in various markets, has decided to sell some of its foreign projects due to sustained losses abroad and to capitalize on new opportunities in the Kuwaiti oil market. The private oil company’s board of directors supports this return, recognizing significant opportunities in oil projects offered by companies under the Kuwait Petroleum Corporation.

With extensive experience in oil and gas exploration and notable achievements in Egypt, Iraq, China, and Europe, the company’s return is expected to bolster the Kuwaiti economy and create employment for Kuwaiti youth. The Chamber of Commerce and Industry has also started providing more incentives to encourage local private companies operating abroad to return. Last week, Al-Seyassah published an extensive investigation where economic experts called for the repatriation of Kuwaiti capital to take advantage of the current political and economic resurgence.

By Najeh Bilal
Al-Seyassah/Arab Times Staff