Kuwait’s budget deficit reached 10.8 billion dinars ($35.5 billion) in the 2020-21 year, up 174.8 percent, the finance ministry said on Saturday.
Budget income fell to 10.5 billion dinars in the financial year that ended on March 31, down 38.9 percent, while expenditure increased 0.7 percent to 21.3 billion dinars, the ministry said in a statement.
Kuwait’s parliament in June approved the 2021-22 state budget proposed by the government in January, which projected 23.05 billion dinars in expenditure and a deficit of 12.1 billion dinars.
The parliamentary vote came amid a stand-off between government and parliament that has delayed reforms in the OPEC member state.
Earlier this year, Kuwait’s finance minister said that an increase in oil revenues due to higher oil prices does not cover the Gulf state’s budget obligations.
Kuwait would need oil prices of $90 per barrel to balance the budget, the minister, Khalifa Hamada, said in a statement.
Brent crude oil futures settled at $70.70 on Friday, while US West Texas Intermediate (WTI) crude fell to $68.28 a barrel.
Kuwait’s KFH eyes government projects, including NEOM in Saudi, plans new sukukKuwait Finance House (KFH), the Gulf nation’s biggest Islamic lender, plans to finance government projects in Saudi Arabia, including in the NEOM ... Economy
Kuwait embassy in Beirut urges citizens to get in touch on port blast anniversaryKuwait’s embassy in Beirut has called on all its citizens in Lebanon to communicate with it as soon as possible to register their information on the ... Middle East
Kuwait Ports plans region’s first city for electric car makersKuwait Ports Authority (KPA) has approved a proposal to build the Middle East’s first city to serve electric vehicle manufacturers, the authority said ... Gulf
S&P cuts Kuwait’s rating, citing lack of deficit-financing strategyRatings agency S&P Global Ratings cut Kuwait’s rating by one notch citing the Gulf state’s lack of a funding strategy to finance its deficit.Hit hard ... Economy