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Kuwait calls for fairer global financial system

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NEW YORK: Kuwait on Thursday called for reforms to the global financial system to make it “more fair and transparent” while addressing the needs of developing and least-developed countries. The country also urged the accelerated implementation of commitments to channel special drawing rights to support the most vulnerable nations.

The remarks were delivered by Kuwaiti diplomatic attaché Rashid Farhan before the United Nations General Assembly’s Second Committee, which deals with economic and financial matters.

The global financial system has long faced criticism for favoring wealthy nations while leaving developing countries vulnerable to debt crises and economic shocks. Special Drawing Rights (SDRs), created by the International Monetary Fund (IMF) in 1969, are international reserve assets that countries can exchange for hard currency to bolster reserves and support economic stability.

A historic $650 billion SDR allocation in August 2021 provided a critical source of financing to help countries weather and recover from global shocks. While SDRs are not cash, they can be traded for dollars, euros, or pounds, enabling countries to pay for imports, meet debt obligations, or boost foreign reserves without adding to debt burdens.

However, SDRs are allocated based on IMF quotas, meaning advanced economies received most of the 2021 allocation, while developing regions, including Africa, received a smaller share — prompting global initiatives to channel SDRs to countries most in need.

Addressing the UN Second Committee, Farhan highlighted the challenges facing the global economy, noting a slowdown in growth, rising debt burdens, and declining foreign financing, which threaten progress toward the Sustainable Development Goals. He said the external debt of developing countries has reached around $11.7 trillion, limiting their ability to invest in human development and infrastructure. “Global economic sustainability requires diversifying economies and strengthening the productive base through investment in infrastructure, technology, renewable energy, and sustainable agriculture,” Farhan said.

He also pointed to Kuwait’s efforts to diversify its national economy and enhance its position as a regional economic and commercial hub under the country’s New Kuwait 2035 vision. Since its establishment in 1961, Farhan noted, the Kuwait Fund for Arab Economic Development has continued to support development projects in over 100 countries, emphasizing that “real development is built on fair and sustainable partnerships, not aid alone.”

Farhan further stressed the importance of strengthening international financial cooperation and highlighted the leading role of Kuwait’s Public Investment Authority, one of the world’s oldest sovereign wealth funds, in supporting market stability and global development.

Kuwait also expressed support for the Sevilla Commitment, which outline a roadmap for reforming the international financial system and amplifying the voice of heavily indebted nations. Turning to the humanitarian situation in Gaza, Farhan drew attention to “dangerous humanitarian and economic conditions” following a recent “massacre” that caused widespread destruction of infrastructure and a near-total collapse of economic activity, emphasizing the need to support the Palestinian economy and enable gradual recovery.

He concluded by reaffirming Kuwait’s position that financing development is a collective responsibility, requiring “comprehensive reform of the international financial system to restore confidence and capacity for developing countries to invest in a more sustainable and equitable future,” ensuring that “no country is left behind in the march toward sustainable development.” — Agencies

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Kuwait participates in UNCITRAL session

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VIENNA: The 82nd session of Working Group II (Dispute Settlement) of the United Nations Commission on International Trade Law (UNCITRAL) commenced on Monday in Vienna, with the participation of a Kuwaiti delegation. A statement by the UN Information Service said the discussions, which will continue until October 17, focus on recognizing and enforcing electronic arbitration awards amid the accelerating shift towards digital dispute resolution in international commerce.

The working group will examine key issues, including enhancing reliance on electronically issued arbitration awards by reviewing the experiences of countries and organizations, and identifying associated legal and technical challenges. The discussions will also address the preparation of an interpretative recommendation on the 1958 New York Convention, clarifying that electronic form does not impede the recognition or enforcement of awards, and equating electronic awards with their paper counterparts where reliability and integrity are guaranteed.

Topics under consideration include proposed amendments to the Model Law on International Commercial Arbitration to define electronic arbitration awards and electronic data messages, establish rules for arbitrators’ electronic signatures, and set timeframes for receiving electronic communications, while reinforcing the principle of functional equivalence between paper and electronic formats. The group will also review amendments to the UNCITRAL Arbitration Rules to permit electronic issuance and delivery of awards, and update the UNCITRAL Notes on the Organization of Arbitration Procedures to encourage arbitration institutions to adopt digital systems, taking into account enforcement requirements across jurisdictions.

The session aims to create a unified, modern international legal framework ensuring electronic arbitration awards carry the same legal and enforceable force as paper awards, thereby boosting confidence in digital arbitration mechanisms and supporting the electronic transformation of cross-border commercial dispute resolution. The Kuwaiti delegation includes representatives from the Fatwa and Legislation Department, lawyer Mohammed Al-Khuwaitim, and lawyer Farah Al-Rais. — KUNA

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Kuwait underscores the need for stronger Arab cooperation in statistics

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MUSCAT: Acting Director General of the Central Statistical Administration (CSA) Wafaa Al-Yahya on Monday emphasized the importance of enhancing Arab cooperation and building national capabilities in the statistical sector. Speaking to Kuwait News Agency (KUNA) on the sidelines of the 50th meeting of the Board of Trustees of the Arab Institute for Training and Statistical Research (AITRS), hosted by the National Center for Statistics and Information (NCSI) in Muscat, Al-Yahya said Kuwait took part in the gathering alongside representatives from Arab statistical bodies and relevant organizations.

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She highlighted the institute’s key role in developing expertise and advancing statistical competencies through its training programs, research publications and bulletins. Al-Yahya noted that the trustees reviewed several items on the agenda, including approval of the meeting agenda, the external auditor’s report on the previous budget, the institute’s annual achievements and its plan for 2026-2027. Discussions also covered the proposed 2026 budget, findings from the 2020-2030 strategic evaluation study, and prominent statistical initiatives and activities across Arab countries. She added that the minutes were approved and thanked the Sultanate of Oman for its warm hospitality. — KUNA

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Today in Kuwait’s history | Kuwait Times Newspaper

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KUWAIT: 1956 — Moudhi Al-Sarhan became the first Kuwaiti female to join the Ministry of Interior’s correctional institute.

1981 — Kuwait’s Amir Sheikh Jaber Al-Ahmad Al-Sabah signed a decree to establish the Faculty of Sharia and Islamic Studies at Kuwait University, as well as changing the name of the Faculty of Law and Sharia to the Faculty of Law.

1990 — Kuwait’s Amir Sheikh Jaber Al-Ahmad Al-Sabah patronized a popular conference in the Saudi city of Jeddah. Participants in the three-day national event reiterated their commitment to the legitimate Kuwaiti leadership in the face of Iraqi aggression against the State of Kuwait.

1990 — Kuwait News Agency (KUNA), which was occupied and looted by Iraqi invaders of the State of Kuwait, began broadcasting from an interim headquarters in London, UK, to provide subscribers with news about occupied Kuwait.

1999 — Kuwait won the Gulf Junior Squash Championship, held in Riyadh, Saudi Arabia.

2010 — Kuwait Fund for Arab Economic Development (KFAED) signed a KD 11 million loan agreement with Mauritania to finance construction of a Nouakchott University campus.

2017 — The KFAED signed a KD 12 million loan agreement with Senegal to reconstruct a major highway.

2018 — Sheikh Abdullah Al-Salem Cultural Center won the Best Services Architecture Building award in the Middle East and North Africa. — KUNA

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