Kuwait

A number of major developments are underway in the transport sector following the massive spending plan approved by the Kuwaiti government in 2010. Projects include the expansion at Kuwait International Airport, with a new terminal set to raise passenger capacity from 7.2m to 20m upon completion in 2017. Plans to develop a metro system are now at the feasibility stage. While defence and...

Ever since Kuwait opened its mobile market to further competition by granting a licence to a third mobile operator, Viva, in 2008, competition has ratcheted up. However, while the number of mobile subscribers has also increased, from 4.09m in first-quarter 2010, to 4.59m registered users in 2011, operator revenues have declined. With tightening margins, mobile internet and value-added services...

As in many other countries, the construction industry in Kuwait was one of the first-hit areas of the economy during the global recession. However, because of this, the sector is set to benefit from hundreds of billions of dollars in infrastructure spending to be spent over the next 20-25 years as part of Vision 2035. This investment will be staggered over a series of five-year plans, the first...

With oil still very much the backbone of its economy, Kuwait is looking to expand production. State-owned Kuwait Petroleum Corporation (KPC) has approved $90bn worth of spending on the oil and gas industry up to 2015. Indeed, gas has sizeable potential, since Kuwait currently produces less than 1% of its proven reserves of natural gas. Increasing this amount will translate into both financial and...

The sector is entering a period of transition following its recovery from the global economic downturn. Although penetration rates are low, rapid population growth, rising per capita income levels and regulatory developments like the 2010 privatisation law are driving up demand for insurance products in Kuwait. A number of takaful (sharia-compliant) insurers are successfully emerging, tapping...

Sharia-compliant banking represents a large and vibrant market segment in Kuwait, as Islamic banks exhibit a similar profitability trend to their conventional counterparts. Within Kuwait, Islamic banks hold 35% of total banking assets, and it has been estimated that they are growing at a rate of 20% per annum. On the other hand, the 2008 financial crisis brought the sharia-compliant segment slow...