Kuwait’s economy faces a structural imbalance

Kuwait’s economy faces a structural imbalance

KUWAIT CITY, March 17: In a recent report the Al-Shall has revealed that Kuwait’s local economy grapples with a significant structural imbalance in production, primarily attributed to the overwhelming dominance of the public sector, particularly the oil sector, which accounts for approximately 70% of the economy. This imbalance poses grave risks to the sustainability of …

<p>The post Kuwait’s economy faces a structural imbalance first appeared on ARAB TIMES - KUWAIT NEWS.</p>KUWAIT CITY, March 17: In a recent report the Al-Shall has revealed that Kuwait’s local economy grapples with a significant structural imbalance in production, primarily attributed to the overwhelming dominance of the public sector, particularly the oil sector, which accounts for approximately 70% of the economy. This imbalance poses grave risks to the sustainability of public finances and the national labor market, reports Al-Qabas daily. The report underscores the challenges faced by the industrial sector, including exorbitant land costs compared to neighboring countries, inadequate market protection, and bureaucratic hurdles hindering efficiency. The lack of early intervention to address these issues escalates the cost of rectification and diminishes the likelihood of success. Highlighting the government’s acknowledgment of the poor business environment, the report discusses the need for real partnerships with the