Kuwait's Cabinet says it has ordered a spending cut from current budget of at least 10%
20 August 2021, 12:00 AM
31 August 2021, 12:00 AM
The Kuwaiti Cabinet has ordered all government departments to reduce spending from the current fiscal year (2021/2022) budget by no less than 10%, it said in a statement on Monday.
The decision was taken after studying recommendations by the economic affairs committee regarding a lack of liquidity in the general reserve and "the need to find radical solutions to confront the deficit in the state’s general budget," the statement said.
The Cabinet was also briefed by the finance minister in its meeting about immediate measures and recommendations to reduce spending and enhance non-oil revenue in the budget for the fiscal year 2021/2022.
The Cabinet also agreed to reconsider the list of prices for state property rents, land and buildings, and raise the efficiency of collecting government debts due.
Public Authority for Manpower will be studying the possibility of stopping the disbursement of national labor support to workers in the private sector whose total salary reaches 3,000 dinars ($9,993) or more.
The cabinet also decided to establish a committee for the governance of the sovereign credit rating, led by the finance ministry, with the membership of the central bank, the General Investment Authority and the General Secretariat of the Supreme Council for Planning and Development.