Kuwait mulls $165bln investment firm
Finance Minister Noura Al-Fassam has submitted the proposal to the cabinet for approval, the Arabic language daily Alqabas said.
The paper quoted ministry sources as saying the government would fund the new company which will invest in 'projects covering energy, transport, infrastructure, smart cities and industrial zones.'
'A study by the ministry has found that this investment entity will have a strong positive effect on the Kuwaiti economy as it will contribute to major projects and ease budget burdens by 30 percent...it will also attract private and foreign investment worth nearly KWD10 billion ($33 billion)' the report said.
'A visual demonstration about the new company's structure showed that it will lead to great development of Kuwait's infrastructure and this will boost the country's competitiveness regional and internationally,' it added.
Alqabas quoted the sources as saying priority could be given to such projects as solar and wind energy, green hydrogen, new power facilities, tourism island, industrial and economic zones, shopping malls, road expansions and export-oriented projects.
The company will have an authorised capital of KWD50 billion to be funded by the government through 'capital call drawdown.'
The study is proposing a six-year time schedule for the creation of the new entity, including its structure, capital and project approval.
'In 2028, it will issue bonds and sukuk worth KWD4.5 billion ($15 billion) to finance projects…investments will be expanded in the following two years,' it said.
The report did not mention how the government will fund the massive capital but Kuwait has just revived an old law allowing it to borrow up to $100 billion over a period of 50 years to shore up its fiscal deficit and fund infrastructure projects.
Kuwait's Investment Authority, the emirate's sovereign wealth fund, is also the world's fifth largest SWF with assets of more than $1 trillion, according to the SWF Institute.
The founding OPEC member said this year it is planning new solar energy and conventional electricity projects to tackle a chronic power supply shortage caused by rapid growth in demand and project shortage.
(Writing by Nadim Kawach; Editing by Anoop Menon)
(anoop.menon@lseg.com)
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Zawya
26 minutes ago
- Zawya
UAB, Lune partner to deliver AI-powered, personalised banking experiences
SHARJAH: United Arab Bank (UAB) has announced a strategic partnership with Lune, a leading UAE-based fintech company specialising in AI-driven transaction enrichment and financial data analytics solutions. This collaboration is set to enhance UAB's upcoming mobile banking experience by delivering smarter, data-driven, and hyper-personalised customer journeys—further positioning the bank as innovation-led and customer-centric. The signing ceremony was attended by Emre Yalcin, Head of Retail Banking at UAB, Helal Tariq Lootah, and Alexandre Soued Co-Founders and Co-CEOs of Lune, along with senior executives from both organisations. Leveraging Lune's technology, UAB will enrich and transform raw transaction data into meaningful financial insights through a user-friendly interface—empowering customers with enhanced transparency and informed financial decision-making. The solution will also drive intelligent digital engagement, including personalised recommendations, contextual offers, and advanced financial planning features—all delivered through conversational digital interfaces. Emre Yalcin, Head of Retail Banking at United Arab Bank, commented, "While the underlying technologies have existed for some time, we at UAB were not entirely convinced about the maturity of the outcomes—until now. Partnering with Lune, a homegrown fintech with deep expertise in the UAE's payment ecosystem and cutting-edge technologies, gives us confidence in delivering the enriched digital experience our customers expect. This partnership enables us to offer context-rich financial insights, unlocking new opportunities for customer engagement, operational efficiency, and long-term growth.' Helal Tariq Lootah, Co-CEO and Co-Founder of Lune, said, 'We're delighted to be working with United Arab Bank. This collaboration reflects our shared commitment to innovation, customer empowerment, and building a stronger, data-driven financial future. Together, we look forward to delivering meaningful impact and value to the market.'
Khaleej Times
an hour ago
- Khaleej Times
Gold prices rise by Dh100 per gram in a year: Here is how much UAE residents gained
Gold prices in the UAE have surged by approximately Dh100 per gram over the past year, prompting many residents to call their gold jewellery purchases one of the best investment decisions they've made. Last summer, the 22K gold variant was trading between Dh279 and Dh290 per gram. As of Wednesday, it was priced at over Dh380 per gram. According to World Gold Council data, the price has been steadily rising since the third quarter of 2023. Prices have risen by nearly $800 per ounce year-on-year in the first quarter of 2025. Data showed that gold price averaged $1,928.5 per ounce in Q3 2023, rising to $1,971.5 in the fourth quarter of that year. In 2024, price averaged around $2,069.8 per ounce in the first quarter, rising to $2,338.2 in Q2, $2,474.3 in Q3, $2,663.4 in Q4 and $2,859.6 in the first quarter of 2025. 'When I bought gold in 2024, the 22K price was around Dh290 per gram,' said Rajitha Nair, a PR and corporate communications professional. 'I used to check rates regularly and felt it was a good time to invest. With prices now above Dh380, the same purchase would be significantly more expensive today. It really shows how much value gold has gained in just a year.' Rajitha considers her gold jewellery purchase both emotionally meaningful and financially smart. 'I'd say it's one of the most rewarding investments I've made. A Dh100-per-gram gain in a year is substantial — especially for something I love to wear as well.' She added, 'Jewellery is a tangible asset with emotional value. While coins and bars are great for pure investment, jewellery offers personal satisfaction and beauty.' Another long-time UAE resident, Pooja S., a sales and marketing executive, also purchased gold jewellery last year when 22K gold was priced at Dh277 per gram. 'With prices up by about Dh100 per gram now, I would have spent roughly Dh2,450 more for the same pieces today,' she said. Hold, don't sell Pooja also invests in gold bars and coins, viewing the metal as a safe and reliable store of value. Rajitha advised fellow residents to hold on to their gold rather than selling it at this stage. 'With prices climbing steadily, I think it's wise to wait. A little patience now might result in better returns later,' she said. She also emphasised the enduring significance of gold. 'Gold remains relevant regardless of the economic climate. It's not just about financial returns — it represents cultural heritage, security, and timeless beauty. Especially in our region, gold is both an investment and a tradition.' What do jewellers say? According to Nirmal Kumar, senior executive at Yogesh Jewellers, a Dh100-per-gram increase within a year is 'remarkable". 'For many clients, especially those who bought in early 2024, gold has proven to be both a profitable and sentimental investment — something beautiful that appreciates in value,' he said. 'Coins and bars are ideal for pure investment, but jewellery offers both value and experience. Whether for wealth protection, gifting, or legacy planning, gold — especially 18K and 21K jewellery — blends tradition, security, and return on investment.' Aditya Singh, head of international jewellery business at Titan Company (Tanishq), noted a transformation in both consumer behaviour and retail strategy over the past year. 'We've seen a shift toward lighter, modular, and versatile designs that are wearable on multiple occasions and more affordable. Younger consumers are driving this demand — they're looking for jewellery that reflects their personal identity through customisation, storytelling, and modernised traditional design,' he said. 'Today's customers want transparency on pricing, making charges, sourcing, and certifications. Retailers that lead with authenticity and meaningful value — not just discounts — are earning long-term trust.'
Khaleej Times
an hour ago
- Khaleej Times
UAE banks to cancel OTPs, switch to app verification from July 25: Emarat Al Youm
UAE banks will gradually stop sending one-time passwords (OTPs) via SMS and email for digital transactions starting July 25, 2025, according to a report by Emarat Al Youm. The change will apply to all types of local and international financial transfers and online transactions. Instead of OTPs, banks will shift to authentication via mobile banking apps, using in-app confirmation features. An official notice, highlighted in the report, confirms that the move follows directives from the Central Bank of the UAE and will be implemented in phases. Customers will need to enable and use the app-based verification feature to authorise transactions going forward.
