KUWAIT: MP Saleh Ashour claimed that according to reports made by the parliamentary finance and budget committees on the total cost of subsidies and how they are spent, the majority of subsidies benefit expats. "Millions of dinars are spent on medicine and the majority who benefits from this is expat residents, in addition to visitors who come for medical treatment, mainly surgeries," he said, noting that the same applies to electricity subsidies.

Kuwait began selling diesel and kerosene at market prices at the start of 2015, cut spending by 17 percent and is in the process of raising petrol prices and charges on electricity and water. Ashour also pointed out that hundreds of millions of dinars is spent on foreigners hired as advisors and consultants at various ministries and government establishments, in addition to fortunes spent on holding conferences, training courses and official assignments abroad.

Faced with heavy losses from low oil prices, Gulf states have embarked on belt-tightening measures to cut spending and boost non-crude revenues, but analysts warn much more needs to be done. After more than a decade of abundant surpluses thanks to high oil prices, the six Gulf Cooperation Council (GCC) states are projected to post a combined record budgetary shortfall of $180 billion in 2015 and the drought is expected to continue for years. Some countries have already cut subsidies, while others are considering measures to reduce their spending.

By A Saleh