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The technical crews and labor at the project site are preparing the infrastructure, sewage and water networks in preparation for receiving the new project
Kuwait City - After the Government Communication Center announced the entertainment and games project — the Winter Wonderland — two weeks ago, heavy machinery and equipment, under the supervision of the Ministry of Public Works, began work on preparing and equipping the site at the Al-Shaab Entertainment Park, reports Al-Qabas daily.
The preparations came after completing the signing of the agreement between the Tourism Enterprises Company and an international company specialized in the entertainment industry.
The designated site for the Games City, the supervisory staff began work on leveling the land and preparing it technically based on the standards required for the installation of equipment and mechanisms and their distribution according to the agreed technical and engineering design.
The technical crews and labor at the project site are preparing the infrastructure, sewage and water networks in preparation for receiving the new project, which begins its season in London annually in November and extends until January. Winter Wonderland entertainment project relies in designing its games on a range of games, ice skating rinks and other designs for seating inspired by snow, in addition to a wide range of hand-crafted games as well as mobile restaurants and stores.
Meanwhile, an informed source revealed that entrepreneurs and owners of small and medium enterprises are waiting for the invitation of the Ministry of Finance and the Tourism Enterprises Company to inform them of the design of the Winter Wonderland project and the possibility of applying to participate in points of sale during the upcoming winter season.
According to the source, the entrepreneurs have not yet received any invitation from the relevant authorities regarding what is required of them, and whether there will be participation from owners of small and medium enterprises and national companies working in the field of restaurants and services in the upcoming Games City project or not.
source: Zawya
Expats with student visas and those on dependency visas are now allowed to stay abroad for over six months as it applies to those with work permit. “The initiative is to make life for expats in Kuwait easier, with consideration to foreign students as the world battles COVID-19,” sources told Kuwait Times. The only exception is for domestic workers.
If they stay abroad for more than six months, their residency permit will be cancelled unless their sponsors sign an agreement.
A government decision allowing expatriates with iqama to remain outside the country for more than six months is still in force. Until now, the decree has not been cancelled,” the sources said. However, the sources said only domestic workers are not permitted to remain outside Kuwait for more than six months unless their sponsor applies for an exception on their behalf.
Expatriates are also allowed to renew their residency permits while they are outside Kuwait. “The decree allowing the expatriates to renew their iqamas online while abroad is still in effect,” the sources added.
Residency of expatriates who stay outside Kuwait for more than six months won’t be canceled, except for domestic workers.
This decision to continue with the exemption will be valid until further announcement. Kuwait’s Interior Ministry had made this exemption for expatriates during the COVID pandemic as expatriate arrivals into Kuwait were suspended for fear of spread of coronavirus.
Kuwait has slowly returned back to normalcy with all government and private sector offices functioning to pre-pandemic levels. The government recently cancelled all online work without exceptions.
Regarding the opening of visit visas, the Ministry of Interior has decided to extend its decision to halt the issuance of family visit visas until the end of this current year. According to sources, the Ministry said that security of the state and the parliamentary elections are of vital importance to the Ministry.
The Ministry will deploy its personnel and will increase its presence in strategic areas during electoral gatherings, election-day and campaigns.
The new elections will be held at the beginning of October. Files related to security need adequate time to be studied, especially the ones related to issuing family visas.
source: Kuwait Times
Kuwait-based e-grocery platform Raha, has announced its launch after raising a $6.7 million Seed round led by a group of regional and international investors.
Founded in 2020 by Saleh Al-Tunaib, Raha delivers groceries, fresh produce, and other household essentials. The startup operates out of automated micro-fulfilment centres and controls the full cycle of grocery delivery logistics from procurement to last-mile delivery.
Press release:
Raha, the region’s newest e-grocery platform, has announced that it has officially launched in the Kuwait market, with its app now available on all Apple iPhones and Samsung Android devices.
An innovative homegrown concept, Raha is the Middle East’s first pure-play, fully automated e-grocery platform - offering a full range of groceries, fresh produce, and household essentials. It also features Kuwait’s first fully automated robotics-fulfilment centre, and one of the first centres of the kind globally with a chilled warehouse capability.
Developed by global warehouse automation specialist, Swisslog, the centre serves as the core foundation of Raha’s technology-driven operational model and fully automated, data-driven intralogistics system – featuring the AutoStore solution; an innovative automated material handling solution that uses robots on top of an aluminium grid system to store and locate goods, efficiently delivering them to pick stations for processing.
Conceived as a digital operation first and foremost, Raha is making a huge investment in its technological infrastructure and completely self-serving operational model, including the robot-led fulfilment team and in-house preparation of all fresh items.
Raha’s easy-to-navigate smart platform leverages users’ data and insights to provide a personalized customer journey unlike any other in the market, with made-to-order items, easy step-by-step customization, tailored recipes, and an impressively wide range of varieties across all product segments.
According to the Co-Founder and CEO of the company, Saleh Al-Tunaib, Raha’s investment in technology and innovation did not come as an added value extension of the business, but rather has been the driving notion at the heart of its conception and service model from the very beginning. “From the outset, the goal was to develop a pure-play digital retail operation that combined operational excellence with a simplified, intelligent user experience.
Every step of the customer journey – from first log-in to final order delivery – has been carefully designed to deliver maximum convenience. We wanted to translate and elevate the traditional grocery experience at its absolute best to a seamless digital experience,” said Al-Tunaib.
Raha’s heavy investment in the infrastructure of both its software and product technology built a self-serving operational model that is now Kuwait’s first robotic fulfilment centre.
Concurrently, Raha successfully launched a fully-automated chilled fulfilment centre - making it one of the first of its kind globally. This achievement introduces to the entire region the emerging trend of intralogistics, which is proving to shape the future of the eCommerce industry worldwide.
With a core commitment to hit quality and freshness benchmarks across every order, Raha employs a completely temperature-controlled and precise process. The full cycle of logistics - from procurement to last-mile delivery - is systematic and precisely controlled. Dedicated areas for the in-house preparation of meats, poultry, fish, and deli items offer consumers unparalleled freshness when coupled with Raha’s unique indoor dispatch area.
Their trained fleet carries out the last-mile delivery that is route-optimized and time-efficient to complete the full cycle, seamlessly inserting Raha’s redefined grocery experience into the online commerce space that users are increasingly migrating to today. Additionally, Raha offers a nutritionally categorized assortment to fit all lifestyles and a unique feature in the form of Raha Recipes: a one-click add-to-cart recipes component, with recipes produced in-house using only items available in the app.
"Delivering this next level, seamless modern grocery delivery experience is credited also to Swisslog's adept implementation of AutoStore that propelled us past the traditional warehousing and fulfilment systems currently present in our landscape,” added Al-Tunaib.
On his part, David Dronfield, General Manager of Swisslog Middle East, noted: “The micro-fulfilment centre designed for Raha is the first automated micro-fulfilment centre (MFC) implemented in Kuwait, with a system designed in such a way that order capacity per day can be effectively doubled through the ease of expansion our solution provides.”
Customers are offered unparalleled flexibility and convenience by building a system that not only caters to both chilled and ambient products but that is designed to execute both express and scheduled delivery.
Evidently, the pandemic present at the time of the envisage and conceptualization of the partnership played a role in the final desired outcomes and vision.
Though Kuwait was under lockdown, a tremendous work ethic and solid collaboration between Swisslog and Raha made possible the timely and successful implementation of the system, overcoming the pandemic barriers through our joint efforts.
It serves to note that Raha was created and designed by a diverse team of driven young talents, who bring with them wide-ranging expertise and experience in the fields of grocery retail, e-commerce and tech development in the region.
The company has completed its seed round of funding, with an impressive capital of USD 6.7 million raised by Saudi and Kuwaiti backers, as well as international VCs.
source: Wamda
Many countries in the region have launched their own funds in order to fund certain industries or types of companies such as startups.
Saudi Arabia has its world-famous Public Investment Fund (PIF), Bahrain launched two $100 million funds in order to spur innovation and entrepreneurship, Jordan launched a similar fund and Egypt has announced that it will launch a fund as well.
In short, there is no shortage of government funds in the region to stimulate the economy and make strategic investments. Often, these investments are in areas that have the highest impact on the economy, which is most likely to be technology or technology-enabled startups and corporations.
On 20th January, 2019, Kuwait was the latest country to announce a government fund, amounting to $200 million, one of the largest in the region. Kuwaiti Deputy Prime Minister and Foreign Minister Sheikh Sabah Al-Khaled Al-Hamad Al-Sabah stated, the fund was set up to invest in technology companies, which is necessary when moving toward a more digital economy.
source: sme10x
Kuwait has become the latest country to receive the coveted emerging markets status from MSCI, in a move that is expected to result in billions of dollars of investor inflows into the Gulf country's stocks.
MSCI, the world's top equity indexing provider, said in a statement late on Tuesday that it would reclassify its MSCI Kuwait Index benchmark to emerging markets status.
Kuwait was previously classified as a frontier market. The upgrade, which comes following MSCI's latest market classification review, will see nine Kuwaiti blue chips included in MSCI's emerging markets benchmark from May next year, with an index weighting of 0.5 per cent .
MSCI's emerging markets index is tracked by about $1.9trn in investment funds globally.
The reclassification of Kuwait as an emerging market could see the country's stock market lure an additional $2.8bn in passive investment flows, according to NBK Capital. In comparison, China's much larger equity markets is expected to see $125bn in inflows as its presence in the emerging markets benchmark expands.
NBK Capital said that the upgrade for Kuwait could boost liquidity, corporate governance and earnings growth in the Gulf nation's equity market. The upgrade is subject to the Kuwait market meeting certain stipulations and reforms.
In the year through to May 31, Kuwaiti stocks returned 22 per cent, versus 4 per cent for emerging markets overall.
The Gulf bourse's biggest names include National Bank of Kuwait and global logistics business Agility.
source: FT
Kuwait's sovereign wealth fund assets grow despite oil price volatility
30 Jun 2019 Written by Admin AdminThe oil price shock has led the country's government to record sustained fiscal deficits since 2015, which has forced it to draw on the reserves of one of its sovereign wealth fund's assets
Assets of the Kuwait Investment Authority (KIA), the oldest sovereign wealth fund (SWF) in the world, have continued to grow despite the oil price shocks, according to Moody’s Investors Service.
Future Generations Fund (FGF), one of two funds managed by the KIA, which receives mandatory transfers of funds equivalent to 10 per cent of the government's revenue has continued to grow with solid profitability that has seen it rise to about 309 per cent of Kuwait's gross domestic product, Moody’s said in a report. The growth has come despite a reduction in the ratio of mandatory funds transfer from previous 25 per cent, Moody’s which rates Kuwait at Aa2 with a stable outlook, said.
“We expect it [FGF] will continue to grow as long as the fund remains profitable and the mandatory transfer remains in place,” it noted in the report.
By contrast, Kuwait's government has drawn down on its second investment vehicle, the General Reserve Fund (GRF) “quite rapidly since the 2015-16 fiscal year to finance deficits triggered by the oil price shock,” Moody’s said.
Kuwait's fiscal deficit peaked at 17.5 per cent of its GDP in 2016-17, a huge decline from a 20 per cent surplus recorded in 2013-14. The government had tried to relieve pressure on the GRF in the beginning of the oil price slump that saw crude falling from a peak of $115 per barrel in the mid-2014 to below $30 per barrel in the first quarter of 2016.
However, the country’s parliament blocked the government's attempts to increase the debt ceiling to 25 billion dinars (Dh301.6bn) and lengthen tenors up to 30 years in 2017 from previous 10bn dinars and 10 years, respectively. The debt law subsequently expired and the government was forced to finance deficits and maturing domestic borrowings from the GRF.
Relying on the GRF has led to an accelerated drawdown of the fund's assets to an estimated 23bn dinars as of March 2019, from 26.
4bn dinars from a year earlier, Moody’s explained.
The rating agency said a further depletion of the GRF would depend on “if and when” parliament passed another debt law, but the government will need to finance deficits around 9 per cent of GDP over the next few years. However, as only around 65 per cent of GRF assets are liquid, the fund would only be able to finance around three years’ worth of deficits and run out by the end of fiscal year 2021-22.
“The eventual depletion of the GRF could have several implications for sovereign creditworthiness,” Moody’s said. “Under our baseline scenario, which assumes parliament approves the debt law by 2020 and FGF assets remain ring-fenced, a depleted GRF implies that the government will rely much more on debt issuance for funding.”
Combined with large fiscal deficits, such a scenario could lead to a rapid increase in general government debt and an increase in debt-servicing costs from the budget.
“Although unlikely, a situation where the GRF is depleted before no alternative funding sources have been arranged would be very credit negative,” Moody’s said.
“Such a scenario would require the government to make significant cuts to spending, given our expectations for persistent fiscal deficits.”
source: thenationalthenational
Kuwait inaugurates the fourth longest bridge in the world for new megacity
24 May 2019 Written by Admin AdminThe bridge will bring the capital closer to the planned new free trade zone known as 'Silk City'
Kuwait inaugurated one of the world’s longest sea bridges on Wednesday, shaving an hour off the drive from the Gulf country's capital to an uninhabited area set to become the country’s major free trade zone.
The Sheikh Jaber Causeway, named after the late Sheikh Jaber Al Sabah who reigned during the Gulf War, is 36 kilometres long – making it the fourth longest bridge in the world.
Approximately 80 per cent of the bridge is over water and will connect Kuwait City to Subiya, where a 100-billion dollar mega-city is being built.
The bridge also makes Kuwait’s largest island 30 minutes from the Gulf state’s capital, having previously been a near two-hour drive.
The $3.6 billion causeway, designed by Paris-based engineering and consulting group Systra, took a consortium led by South Korea's Hyundai Engineering and Construction Co.
along with Kuwait's Combined Group Contracting Co four years to build.
The project is Kuwait’s largest construction feat to date and kicks off the country’s economic reform measures titled Kuwait 2035.
In addition to a free zone and port, Silk City envisions an airport, an Olympic stadium, a tower taller than Dubai’s Burj Khalifa, currently the world’s highest, and housing for up to 700,000 people.
However, some members of Kuwait’s democratically elected parliament have opposed what they say are laws that will allow the Silk City to function as a “state within a state”.
Some of Kuwait's top parliamentarians have expressed fears over how the project could fall outside of their jurisdiction, claiming that the laws governing Silk City could be completely different to those followed in the country.
The Silk City project is being led by the Emir Nasser Al Sabah, the deputy prime minister, and will see Kuwait partner with China to build the zone.
The opening ceremony was attended by Kuwait's emir, Sheikh Sabah Al Ahmed along with South Korean Prime Minister Lee Nak-yeon and the leader of the French senate, Gerard Larcher.
The Minister of Public Works and Minister State for Housing, Jenan Boushiri was also present, saying the bridge’s inauguration marks the first step towards Kuwait’s future away from an exclusively oil-dependent economy.
"We are beginning a new era in building Kuwait 2035, under the vision of your noble Highness and your high guidance, bearing in mind the aspirations of citizens and their aspirations for a better life committed to building a better tomorrow for the future of our generations,” she told reporters.
Mr Nak-yeon said Wednesday the causeway would establish Kuwait as an international trade centre connecting the Middle East with the rest of Asia.
Source: Thenational
Kuwait loosens ownership rules: Foreigners to be allowed to own more local bank shares
21 Dec 2018 Written by Admin AdminKuwait has loosened its capital market rules, allowing foreign investors to own a bigger stake of its local banks, according to a press statement issued by the Ministry of Commerce and Industry on Saturday, another step in the Gulf state’s bid to encourage more overseas investment into the country.
Foreign ownership was previously not allowed to exceed more than 49 percent of a bank’s capital, but the new resolution removes this upper limit, according to a statement in Arabic issued by the ministry on Saturday.
It is not yet clear whether shares owned by foreign investors will be allowed to represent 100 percent of a bank’s capital, or how these rules will impact local investors. However, a report by the state news agency KUNA said investors will be required to gain approval from the Central Bank of Kuwait if the shares they want to buy represent more than 5 percent of a bank’s total capital.
The decision comes in accordance with Resolution No. 694 of 2018, which stipulates that "Article 3 of Ministerial Resolution No. 205 shall be replaced by a provision that allows the non-Kuwaiti investor to own and trade the shares of Kuwaiti banks".
The resolution affirmed that each person or group of people who are bound by a legal or economic connection either through joint ownership or mutual interests shall be considered as a single investor.
The decision to loosen the rules related to foreign ownership follows a recommendation by the Capital Markets Authority, which had recently been on a promotional tour of overseas markets to assess what concerns or challenges international investors face when investing in the Kuwaiti market.
The country’s capital markets are currently undergoing a series of reforms to make it more attractive to outside investors.
On April 1 this year, Kuwait divided its stock market into three segments as part of a reform programme aimed at improving the attractiveness of the exchange to investors.
In late June, global index compiler Morgan Stanley Capital International (MSCI) announced that it will include the Kuwait index in its 2019 Annual Market Classification Review for a potential reclassification from frontier to emerging market status. Analysts foresee an increasing probability of Kuwait joining its peer GCC stock markets in Saudi, UAE and Qatar in gaining the upgrade
Last year, the governance board of the Financial Times Stock Exchange (FTSE) Russell index compiler added Kuwait to its Secondary Emerging Market Index.
In Saudi Arabia, foreign investors will be allowed to own up to 49 percent of listed stocks on the local bourse. MSCI also decided it will reclassify Saudi Arabia as an emerging market from the middle of 2019
This year, the UAE announced allowing 100 percent foreign ownership in companies in a move to further encourage foreign investment in the country.
In a recent paper, the International Monetary Fund (IMF) said that financial systems in the Gulf region have developed significantly over the last couple of decades, but there is room for more progress.
“Financial systems have deepened and, overall, the level of financial development compares well with emerging markets. However, it still lags advanced economies and, other than for Saudi Arabia, appears to be lower than would be expected given economic fundamentals, such as income levels," the report noted.
Kuwait to go ahead with the largest oil refinery project in the Middle East
14 Oct 2015 Written by Admin SAEThe CEO of the Kuwait National Petroleum, Mohammed Al-Mutairi, said in an interview with the Arabian TV "Al-Arabiya" that the company will go forward in its giant projects, mainly the project to construct Zour refinery at a cost of nearly 5 billion dinars, or about $ 16 billion, this project will be financed by the State of Kuwait only.
