KUWAIT CITY, Sept 3: The head of the Kuwait Real Estate Union Ibrahim Al-Awadhi affirmed the need to reassess many pending decisions and issues to advance real estate and economic development in the country. He asserted that the real estate market is a prime driver of the Kuwaiti economy. In a press statement, Al-Awadhi explained that many real estate activities fall directly under the Ministry of Commerce and Industry’s jurisdiction and indirectly through its intersection with other relevant ministries and agencies. Minister of Commerce and Industry Khalifa Al-Ajeel, who is renowned for his extensive knowledge and understanding of the country’s economic challenges, should address the pending real estate issues and develop effective solutions.

Pending Issues
Al-Awadhi outlined the five major real estate issues that require urgent attention from Minister Al-Ajeel.
These include
1. Regulating the professions of real estate evaluation and brokerage.
2. Reviewing decisions to halt real estate exhibitions.
3. Addressing decisions related to registering real estate in the names of companies listed on the stock exchange.
4. Documenting rental contracts and unified contracts.
5. Implementing controls for evaluating real estate assets.

Organizing Exhibitions
Al-Awadhi urged Minister Al-Ajeel to reconsider and review the decisions regarding the organization of real estate exhibitions. He explained that, despite the issuance of laws and regulations intended to govern these exhibitions, Kuwait has not hosted any real estate exhibitions since their implementation. This absence is seen as a negative factor impacting the state’s economy. The real estate market is vital, attractive, and one of the main drivers of the Kuwaiti economy. The stringent oversight by the Ministry of Commerce and Industry on projects might be contributing to the absence of new real estate exhibitions in Kuwait, which has adversely affected the real estate market.
Al-Awadhi stressed the necessity for cooperation between the Ministry of Commerce and Industry and other relevant authorities, such as the Ministry of Justice and the Public Authority for Civil Information, to document rental contracts and unified contracts. He said the Real Estate Union had previously discussed the issue of documenting unified rental contracts with representatives from the Ministry of Commerce and Industry, the Ministry of Justice, and the Public Authority for Civil Information. Al-Awadhi highlighted the positive impact these measures would have on the real estate market, stressing the importance of organizing the market, understanding population trends, and creating a comprehensive database to help mitigate risks.

Real Estate Assets
He stressed the Ministry of Commerce and Industry’s responsibility in regulating the controls and procedures for evaluating real estate assets. Al-Awadhi indicated that it is important to open the local market to attract international firms specializing in consulting and evaluation services, which are currently available in other Gulf countries but not in Kuwait. He expressed hope that measures would be taken to encourage the provision of diverse real estate consulting services in market studies and evaluations to attract companies and counteract monopolistic practices in the absence of a specific regulatory mechanism. In addition, Al-Awadhi addressed the issue of real estate registration in the names of companies listed on the Kuwait Stock Exchange. He said, “Despite repeated discussions on this matter, it remains unresolved. No clear decisions have been made regarding the registration of listed real estate companies with foreign ownership due to conflicts with Kuwait’s foreign ownership laws. This issue requires urgent resolution.”