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Kuwait amends housing developers law to attract private investment

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Changes give developers flexibility to offer various types of housing, including apartments

KUWAIT: Kuwait has issued a major legal amendment that reshapes how the country plans, builds, and manages residential cities. The changes, published this week in the official gazette Kuwait Al-Youm, are part of a broader effort to tackle the country’s longstanding housing shortage while opening the door wider to private investment.

The new decree law, No. 89 of 2025, amends key provisions of the 2023 legislation that first established a framework for creating companies to design and develop integrated housing cities. According to the explanatory note attached to the new law, the original legislation “required greater flexibility to suit different projects and to encourage private sector participation.” The amendment expands housing options for citizens and adds a key financial safeguard: once the government commits to funding a project, it cannot later increase or reduce that amount.

More housing options

The new law gives the government more flexibility in how it works with the private sector. Under the 2023 law, the state had to form joint-stock companies to carry out housing projects. The amendment removes that restriction. Now, the housing authority can set up companies of any legal form or size, depending on the project’s nature and feasibility. This gives the government more tools to tailor each project to its economic and technical conditions.

The amended law also expands the types of housing that can be offered to eligible citizens. Originally, developers could offer only plots or ready-built homes. Now they can also build apartments, duplexes, attached villas, gated compounds and other formats. The goal is to give families more choice and allow developers to respond to different needs and budgets.

Protecting funds

One of the most significant updates concerns the state’s financial role. The government can still help cover infrastructure costs, such as roads and utilities, when backed by a feasibility study. But the law now includes a new rule: once a contract is awarded, the government cannot change the amount it has committed to fund. This is meant to protect both public funds and private developers from uncertainty and unexpected cost shifts.

The law also makes room for more direct private sector participation. By anchoring decisions about investment types and project structuring in economic feasibility, the authority can now adapt each project to attract the right kind of investor. The executive regulations, rather than the law itself, will spell out the operational obligations of these companies, allowing for quicker policy updates when needed.

In addition to changing existing articles, the 2025 decree law introduces two new ones. The first grants PAHW clear authority to define the technical and planning standards for all components of a project – residential, commercial, industrial, or otherwise. The second allows the law to apply retroactively, letting the authority bring older or partially completed areas under the same legal framework.

The government framed the changes as part of a broader legislative push to unlock private capital, accelerate housing delivery and improve the financial sustainability of state-backed development. The explanatory note accompanying the law said Kuwait remained committed to resolving the housing crisis, but stressed the need to rethink legal tools to make its plans viable. The amended law takes effect immediately. Ministers have been instructed to begin implementation from the date of publication in the official gazette.

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Kuwait unlocks Mitribah riches | Kuwait Times Newspaper

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Commercial oil and gas production begins at field • Oil minister sees demand boost

KUWAIT: Kuwait Oil Company (KOC) officially launched commercial oil and gas production at the Mitribah field in the country’s northwest on Thursday, marking a milestone in the company’s operational strategy and reinforcing Kuwait’s position on the global oil map. KOC Chief Executive Officer Ahmed Al-Aidan said during a ceremony in Ahmadi, held under the patronage of Oil Minister Tareq Al-Roumi, that the achievement was more than the completion of a successful project.

“Mitribah has long been considered a major challenge, and today it has become a true success story, demonstrating what can be achieved when ambitious vision meets firm determination and effective execution,” he said. Al-Aidan noted that the field is now part of the company’s productive assets, providing a significant boost to its strategic plans. “This step supports Kuwait in achieving its strategy to reach an oil production capacity of 4 million bpd by 2035,” he added.

Al-Aidan recalled his personal connection to the site, having followed its progress as a geologist since the late 1990s. He added that the launch comes at a pivotal moment for KOC, which recently underwent a major restructuring aimed at greater efficiency and clearer direction. One outcome of the reorganization was the creation of the New Exploration Group, established to accelerate exploration-to-production cycles, particularly in unconventional and complex reservoirs. Mitribah, he said, stands as the first major achievement under this new framework.

Al-Aidan praised the work of geologists, engineers, planners, operators and technical support teams who overcame infrastructure challenges and deployed advanced technologies with high efficiency. He also commended the role of partners and contractors, stressing that their collaboration was vital to success.

Commercial production at Mitribah officially began on June 15, 2025, after several wells were connected to KOC’s production facilities. The field covers more than 230 sq km in a previously undeveloped area lacking infrastructure. Light crude with commercial potential was first discovered there in 2009, but the presence of high concentrations of hydrogen sulfide gas — up to 40 percent — delayed production.

Oil Minister Al-Roumi described the achievement as an important milestone for KOC, the result of nearly two decades of persistent effort. “The Mitribah well was by no means easy — it represented a real challenge to the company,” he said, expressing confidence that Kuwait’s oil companies would continue to deliver similar successes in line with the leadership’s directives. Al-Roumi also commented on global oil market trends following the US Federal Reserve’s recent interest rate cut, noting that while prices remain at suitable levels, forecasting remains difficult. He anticipated demand growth, particularly in Asia.

Eight OPEC+ members agreed on Sept 7 to raise output by 137,000 bpd in October, an extension of the group’s policy since April of increasing production after years of cuts to support the oil market. Despite the agreement to raise output, “prices are more than good”, Al-Roumi said. “We had expected the worst but things are fine,” he added. “The oil market is puzzling and very difficult to predict.”

Kuwait Petroleum Corporation (KPC) CEO Sheikh Nawaf Saud Al-Sabah hailed the launch as a “new breakthrough” for the oil sector under the leadership of HH the Amir Sheikh Meshal Al-Ahmad Al-Jaber Al-Sabah. He noted that Mitribah is among the most complex fields in Kuwait due to its high sulfur content and that KOC had partnered with international firms to apply, for the first time, an integrated production management system. Sheikh Nawaf also underlined that the project contributes to KPC’s long-term strategic goal of reaching and sustaining a production capacity of 4 million barrels per day by 2035. – Agencies

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Kuwait discusses preparations with Portuguese business leaders for upcoming forum

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 MADRID:  Kuwait’s Ambassador to Portugal Hamad Al-Hazeem met with senior Portuguese business figures to review preparations for Kuwait’s hosting of the 9th EU-GCC Business Forum, scheduled for November.In a statement to KUNA on Friday, Ambassador Al-Hazeem highlighted the significance of the forum during talks with Portuguese Business Confederation (CIP) President Armindo Monteiro, attended by the confederation’s Director General, Rafael Alves Rocha, at the CIP headquarters in Lisbon.

The Ambassador noted that the Kuwaiti Embassy in Lisbon had sent a formal invitation encouraging the CIP to participate in the event, stressing the importance of the forum as a major economic platform.He underlined that the forum represents a vital opportunity to strengthen commercial cooperation between the GCC and the EU, while also emphasizing the importance of deepening bilateral economic and trade relations between Kuwait and Portugal.

He pointed out that Kuwaiti private and commercial sectors are gaining a stronger presence in the Portuguese market, reflecting Kuwait’s interest in expanding investment partnerships.On his part, Monteiro welcomed Kuwait’s initiative to host the forum, describing it as a strategic platform for opening broader horizons of economic and trade cooperation between the GCC and the EU, stressing that boosting economic relations between Portugal and Kuwait is essential for creating new opportunities for Portuguese companies and enhancing bilateral cooperation to serve the interests of both nations.

Monteiro noted that the CIP, established in 1974 to promote a market economy and private initiatives, is Portugal’s largest and most influential business organization. Representing over 150,000 companies and 1.8 million workers-equivalent to 71 percent of Portugal’s GDP-the confederation operates across multiple sectors nationwide.

The EU-GCC Business Forum serves as a strategic platform to exchange perspectives, explore trade and investment partnerships, and highlight opportunities for non-oil growth in Gulf states in collaboration with European partners. — KUNA

 

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MoI launches new domestic worker visa inquiry service

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KUWAIT: The Ministry of Interior announced Thursday the launch of a new service on the unified government application for electronic services (Sahel), enabling citizens and residents to verify the possibility of recruiting a domestic worker. The service allows users to check whether a previous visa has been issued for the same worker before starting recruitment procedures, helping to prevent duplication or rejection of applications, the ministry said in a statement.

Citizenship issues

In a separate development, the Supreme Committee for the Investigation of Kuwaiti Citizenship, chaired by First Deputy Prime Minister and Minister of Interior Sheikh Fahad Al-Yousef Saud Al-Sabah, held a meeting Thursday and announced decisions to revoke Kuwaiti citizenship in several cases. These included withdrawal of citizenship obtained through fraud and false statements, loss of citizenship certificates and revocation of citizenship in cases deemed necessary for the higher interest of the country. The committee confirmed that the cases will be submitted to the Cabinet for approval.

Advertising licenses

Meanwhile, Kuwait Municipality reaffirmed Thursday its intensified monitoring of advertising licenses across all governorates through field inspection campaigns. Bader Al-Najdi, supervisor and head of the Hawally Municipality inspection team, said during a field tour of a shopping mall that the campaigns aim to ensure companies’ compliance with advertising licenses and the validity of health permits.

Al-Najdi noted that inspection teams verify rooftop, screen, and mall advertisements according to municipal regulations. He said 32 shops were inspected on Thursday, with nine fined for failing to renew licenses or placing unlicensed advertisements. He added that statistics on violations, warnings, and collected fees will be compiled, while governorate branches will submit monthly reports to the Financial Affairs Department. He stressed that inspection teams will continue strict enforcement measures to uphold regulations, urging commercial establishments to adhere to municipal laws. — KUNA

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