By Muhammed Al-Muthafar
Since Kuwait became independent in the year 1961 and the British protectorate was lifted from it, the country was enveloped in the mantle of democracy through fair and free elected legislative systems, national oversight and executive bodies, and a stable economic climate. The Kuwaitis are dreaming of their country becoming a destination for investors and surpassing its counterparts in its regional environment in attracting investments
The successive governments of the State of Kuwait have taken many measures that help attract investments and advance the economy, relying on that to develop long-term plans through strong and bold legislation and quick executive steps on the ground. The necessity required working on implementing several main axes in the financial and economic affairs as follows: –
Developing and motivating the human element – Since the human element is the most important element in the reform system, and in order for countries to rise, attention must be paid to the human being and the provision of the necessary support ,attention must be paid to education, health, talent development and motivation, and the creation of a suitable climate to launch innovations, which is what Kuwait is currently working on, as it has remained It relied on the foreign human element for a period of time that exceeded a quarter of a century, and it is time for Kuwait to depend on its people, by relying on self-reliance, training and developing the Kuwaiti youth and guiding them properly so that they can compete with foreigners and outperform them. This will only happen by developing these young people, educating them, creating more challenge, the ability to work, patience, tolerance for it, good training, and distance from laziness, despair and frustration.
Creating alternative revenues – The state must develop a plan to create alternative sources of oil revenues, as state revenues cannot be dependent on the global demand for oil.
Stopping temporary solutions to economic problems by finding radical solutions to them – This comes through adopting successful procedures and mechanisms in how to deal with the financial and economic file and not resorting to traditional temporary solutions such as imposing more fees
The importance of having an economic, financial, legislative reform program – The government must set its reform program in a way that considers the situation of Kuwait and its citizens and their interest, and the investors and their common interests, so that these reforms will be easier. Likewise, legislation and legal amendments must be appropriate to reality, as Kuwait needs to adopt clear and effective rules for governance and transparency in all economic legislation that needs amendments or new legislation issued in the future to keep pace with any economic development in the country.
And since Kuwait, until this moment, has not stopped at a certain level of ambition to develop the country, it provides distinguished services and incentives to both national and foreign investors to encourage them to invest in Kuwait, especially in industrial activity, as it provided plots of land in industrial cities for a symbolic fee for rent and allowed the investor to get more From one piece, unlimited customs exemptions were provided to him, as well as large infrastructure and logistical services, including sound and suitable roads, providing electricity, water, housing, good health services for workers, the internet, and industrial security
Kuwait has also adopted a modern system in the legal form for all types of companies, so that it has become in keeping with the best international systems. It has introduced a one-person company system through which he can establish a holding company under which many companies join, in addition to not allowing prejudice to the rights of shareholders in joint stock companies of all kinds. It also provided huge incentives that do not exist in most modern systems, which is not imposing taxes except on large institutions without companies, at a rate of no more than 15% of the profits, which is one of the best tax systems in the world – as well as labor laws that consider as the rules of right justice.
However, we still hope to obtain more support and incentives for Kuwait to move forward in a better, fast and distinguished way, so that it truly becomes the destination for investors in the region and even the world as a whole.