Kuwait’s Economic Overhaul Plan Faces Familiar Parliament Hurdle

15 Mar 2016   Kuwait

Kuwait’s plan to impose corporate taxes and cut fuel subsidies to reduce the OPEC member’s reliance on oil faces a familiar obstacle: a parliament that has resisted previous attempts to curtail one of the world’s most generous welfare systems. Finance Minister Anas al-Saleh on Monday submitted a six-point plan to the cabinet that aims in part to bolster revenue and cut public spending. Measures include selling stakes in state-owned entities, official media reported. The plan needs parliamentary approval. “In the current parliament there are no political blocks with defined economic plans or philosophies,” Abdullah al-Naibari, a former lawmaker, said a phone interview from Kuwait on Tuesday. “There are individuals with one aim, which is winning votes nothing else.” The plunge in crude prices have increased pressure on oil exporters from Saudi Arabia to Venezuela to shore up their public finances and find alternative sources of revenue. While Kuwait has […]

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