British Chancellor of the Exchequer Rachel Reeves looks on during a cabinet meeting at 10 Downing Street, in London on Sept 9. (AP)

LONDON, Sept 17, (AP): Inflation in the UK held steady at 3.8% in the year to August, official figures showed Wednesday, a day before the Bank of England is widely expected to keep interest rates on hold. The Office for National Statistics found food and drink prices rose for the fifth month in a row, but airfares fell sharply after a big spike in July.

Though inflation remains nearly double the Bank of England’s target rate of 2%, most economists had anticipated a modest increase in August. Stubbornly high inflation has been one of the reasons why the Labour government’s poll ratings have fallen sharply since it came to power in July 2024. Treasury chief Rachel Reeves will be hoping inflation starts to drop down towards target, as many forecasters predict, in the year to come as it will relieve some of the cost-of-living pressures that are hurting households and undermining the government’s support.

“I know families are finding it tough and that for many the economy feels stuck,” she said after the figures were released. “That’s why I’m determined to bring costs down and support people who are facing higher bills.” Reeves’ economic plans will be in the spotlight over the coming weeks ahead of her annual budget on Nov 26, where she is widely expected to increase taxes again to bolster revenues and simultaneously introduce policies to ease the cost-of-living pressures.

Many critics blame Reeves personally for the increase inflation this year, saying her decision to increase taxes on businesses to plug a budget hole prompted firms to up prices. The inflation figures have cemented market expectations that the Bank of England will keep interest rates unchanged on Thursday. Since it started cutting borrowing rates in August 2024 after the unwinding of the previous spike in inflation in the wake of Russia’s invasion of Ukraine, the bank has done so in a gradual manner every three months.

When it cut its main rate to 4% in August, it was largely expected there would be no further reduction at the September meeting. If the bank were to continue to cut interest rates in the manner it has been doing so, the next meeting in November would see a further reduction. However, economists remain split as to whether another cut is forthcoming since inflation has proven to be stickier than anticipated earlier this year, partly because of relatively high wage increases. 

Minister of Commerce and Industry Khalifa Al-Ajeel

KUWAIT CITY, Sept 17: Minister of Commerce and Industry Khalifa Al-Ajeel issued three ministerial decisions Tuesday to establish specialized inspection committees aimed at monitoring and controlling violations on industrial plots supervised by the Public Authority for Industry (PAI).

The committees, each headed by a senior advisor, will conduct comprehensive surveys of industrial plots, oversee violations, and enforce corrective actions as necessary. The PAI said in a statement to KUNA that this initiative seeks to restore order and discipline within the industrial and service sectors, support compliant factories, and encourage serious business activities. The ultimate goal is to foster an advanced industrial environment that strengthens the national economy and boosts its competitiveness.

The inspection committees comprise representatives from eight government entities: the Ministry of Interior, Kuwait Municipality, Fatwa and Legislation Department, General Fire Force, Ministry of Electricity, Water and Renewable Energy, Ministry of Health, Public Authority for Manpower, and Ministry of Justice. This multi-agency collaboration aims to streamline regulatory and supervisory roles.

According to the decisions, the committees are tasked with conducting integrated surveys of all plots under PAI supervision, identifying violations, and taking legal action accordingly. They will also prepare detailed reports outlining detected violations, recommendations, and proposed procedures.

The PAI emphasized that the committees have been granted extensive inspection and oversight powers, including the use of modern technology to enhance operational efficiency. The Authority highlighted that this move underlines the government’s commitment to transparency and discipline in managing industrial, commercial, service, and craft plots.

By reinforcing investor confidence, promoting fair competition, and ensuring regulatory compliance, the committees are expected to create an industrial sector capable of significantly contributing to Kuwait’s national economy.

KUWAIT CITY, Sept 16: A Bangladeshi delegation led by His Excellency Sayed Tariq Hussain, Ambassador of Bangladesh to Kuwait, held a meeting on Tuesday, September 16, at the Kuwait Chamber of Commerce and Industry (KCCI).

The meeting was attended by Assistant Director General at KCCI, Feras Muhammad Al-Oudah, along with several senior officials and representatives from private sector companies.

Al-Oudah welcomed the delegation and praised the strong and friendly relations between Kuwait and the Republic of Bangladesh. He expressed KCCI’s interest in further developing cooperation with Bangladesh in the areas of trade, commercial exchange, and investment.

He noted that the Bangladeshi delegation included senior officials from the Ministry of Commerce and Industry as well as representatives from various sectors, including food, textiles, pharmaceuticals, healthcare, and more.

Al-Oudah highlighted that trade volume between Kuwait and Bangladesh increased from approximately $19.9 million in 2014 to nearly $42.2 million in 2023.

He expressed hope that the meeting would yield fruitful outcomes and contribute to achieving KCCI’s goal of boosting commercial ties with countries around the world.

Al-Oudah reaffirmed KCCI’s commitment to strengthening cooperation with Bangladesh in trade, commerce, and investment.

For his part, the Ambassador of Bangladesh to Kuwait, H.E. Sayed Tariq Hussain, expressed pride in the strong and long-standing relations between his country and Kuwait, emphasizing his desire to advance economic cooperation.

He explained that a cooperation agreement was signed between Bangladesh and Kuwait in 2016; however, no follow-up meetings had been held since then. However, Bangladesh is now taking the initiative, with the meeting on Tuesday being just the beginning, which he hopes will lead to the signing of multiple agreements in the near future.

The ambassador highlighted the vast investment and trade opportunities in Bangladesh, which is undergoing rapid development, particularly in sectors such as industry, artificial intelligence (AI), information technology (IT), pharmaceuticals, ready-made garments, and natural gas.

He explained that Bangladesh is taking serious steps to attract foreign investment, including facilitating procedures and offering a one-stop service window for investors to complete all official processes. In addition, a wide range of online services is now available to facilitate investment.

The ambassador concluded by expressing his country’s ambition to significantly increase commercial cooperation with Kuwait, from the current volume of a few million U.S. dollars to several billion in the coming years.

The Bangladeshi delegation included senior officials from the Ministry of Commerce and the Ministry of Foreign Affairs, as well as a number of prominent businessmen.

By Saeed Mahmoud Saleh

Al-Seyassah/Arab Times Staff