Kuwait

Kuwait is moving to bring its information technology (IT) infrastructure in line with its neighbours by improving services, the network and the regulatory environment that governs the sector.

The Kuwait Stock Exchange (KSE) is in the midst of what has been described as the largest overhaul of its trading system in almost 20 years, and measures to privatise the bourse, streamline procedures and strengthen transparency all aim to raise the market’s profile and appeal as an investment destination.

Plans for a major new refinery and record exports to Asia have led to heady estimates of Kuwait’s oil revenues for 2012 and the sector is looking to innovative techniques to extract huge reserves of heavy oil.

Plans are moving ahead for Kuwait’s country-wide metro system, which is hoped to address the growing issue of congestion and create a better environment for growth in commercial, business, industrial and residential markets.

The outlook for Kuwait’s banking system over the next 12-18 months remains stable, according to a recent report by Moody’s Investors Services. Asset quality has improved markedly since the days of the global financial crisis, and lenders are well capitalised. However, the country’s lenders face other challenges, most notably a sluggish economy that has left demand for loans – particularly on the corporate side – limited.

An ambitious infrastructure investment programme to be spread over the next two years is the latest stage of Kuwait’s long-term development plan.