Kuwait Foreign Investments
Kuwait concentrates now more on laws to attract to Kuwait foreign investments. For example, Kuwait Foreign Investment Bureau law gives benefits towards foreign investors who brings to Kuwait foreign investments such as: tax holidays for up to ten years, total or partial exemption from customs duties, and 100 % full ownership (The Kuwaiti Law normally request 51% to be owned by a Kuwaiti citizen). All these benefits make Kuwait definitely more attractive bring to Kuwait foreign investments and for foreign investors.
Interview with Sheikh Meshaal Jaber Al Ahmed Al Sabah
Do you think the government is doing enough to lure investors into Kuwait?
The former Minister of Finance mentioned that the amount of foreign directed investment was around 150 million dollars compared to 33 billion dollars in Saudi Arabia. However, the laws have changed so do you expect this situation to change?
Kuwait Foreign Investments, Chairman of Kuwait Foreign Investment Bureau, HE Sheikh Meshaal Jaber Al Ahmed Al Sabah: Kuwait concentrates now more on laws to attract foreign investors. For example, Kuwait Foreign Investment Bureau law gives benefits towards foreign investors such as: tax holidays for up to ten years, total or partial exemption from customs duties, and 100 % full ownership (The Kuwaiti Law normally request 51% to be owned by a Kuwaiti citizen). All these benefits make Kuwait definitely more attractive to foreign investors. Not to forget that Kuwait is very strategic location, and this makes it even more interesting for foreign investors willing to expand in the GCC or the Middle East. Most investors are very happy with our educated HR force and, finally, the legal system is very clear.
One of the obstacles is the visas into Kuwait. Do you think this will change in the future?
Kuwait Foreign Investments, Chairman of Kuwait Foreign Investment Bureau, HE Sheikh Meshaal Jaber Al Ahmed Al Sabah: The existing restrictions are limited. We should underline the easiness to enter the country for about 34 countries from which citizens can obtain the visa at the airport. If there were any complications for other countries, the government is working hard on those issues to simplify the procedure.
The Emir has a vision to turn Kuwait into a financial and commercial center that will present a number of opportunities to Kuwaitis in the country. Can you elaborate on this vision and give us some examples of these opportunities that foreign investors could take advantage of?
Kuwait Foreign Investments, Chairman of Kuwait Foreign Investment Bureau, HE Sheikh Meshaal Jaber Al Ahmed Al Sabah: The Emir’s vision is to turn the country into a commercial and financial center. Kuwait is very well located, and all Laws are there to encourage and facilitate the establishment of new foreign investors. It is important to understand that the purpose of Kuwait Foreign Investment Bureau is not to bring new capital to Kuwait. Our interest is, to bring new technology, innovation, and create job opportunities for all Kuwaitis. And, I do believe all sectors will benefit from the Emir’s vision.
What is your expectation for Kuwait’s Kuwait Foreign Investments in 2010?
Kuwait Foreign Investments, Chairman of Kuwait Foreign Investment Bureau, HE Sheikh Meshaal Jaber Al Ahmed Al Sabah: Kuwait Foreign Investments of the last few years didn’t really meet the target, but, in the upcoming years we expect a significant growth, probably double of the current figures.
What attracts investors to Kuwait?
Kuwait Foreign Investments, Chairman of Kuwait Foreign Investment Bureau, HE Sheikh Meshaal Jaber Al Ahmed Al Sabah: A clear established legal system, a proven political stability, recognized democracy, a very high quality of Kuwaiti HR resources, and a remarkable strategic location. All of these factors make Kuwait the unique location to attract foreign investors.
What are your major challenges?
Kuwait Foreign Investments, Chairman of Kuwait Foreign Investment Bureau, HE Sheikh Meshaal Jaber Al Ahmed Al Sabah: One of our challenges would be to reduce the delays mainly caused by the paperwork involved in the processes. It is time consuming but, the Government is working hard to reduce this and improve efficiency. I believe this is already slightly showing signs of improvement and this is a step forward as Kuwait Foreign Investment Bureau is working on reducing the paperwork as well. And now, most of the process is being done electronically.
How would you define your communication strategy in attracting Kuwait Foreign Investments to Kuwait and how do you unlock your own line of communication strategy?
Kuwait Foreign Investments, Chairman of Kuwait Foreign Investment Bureau, HE Sheikh Meshaal Jaber Al Ahmed Al Sabah: We have a variety of methods to communicate the Laws and processes for new investors to consider Kuwait for their projects. Kuwait Foreign Investment Bureau is present in the most reputable magazines (Finance and Economic), we regularly deploy press releases, advertisements are in many related conferences, and all reports are available for interested parties. Step by step, we will increase our efforts in targeting new investors.
What is your final message about Kuwait?
Kuwait Foreign Investments, Chairman of Kuwait Foreign Investment Bureau, HE Sheikh Meshaal Jaber Al Ahmed Al Sabah: Kuwait is a welcoming, friendly and open country for foreign investors. We support technology, innovation, and create job opportunities. Kuwait has a very stable political situation, a very strong currency and is known as the best strategic location in the Middle East. We can secure the investment and support the projects from its inception to its successful accomplishment. We look forward for more foreign investors to come to Kuwait and trust us with their projects.