Kuwait ‘should take measures to cut spending’

Kuwait, October 1, 2012

Kuwait's government should take all necessary measures to cut spending and current monetary policy settings are in line with economic developments, Central Bank Governor Mohammad al-Hashel said on Monday.

"We think it (the government spending) is very high and we should take all the necessary actions to reduce the current expenditure and spend more on investment and capital expenditure because this is the way for the future and we have to secure sufficient funds for future generations in order to continue the prosperity of our country," he told reporters.

Hashel, who spoke after a meeting of Arab central bank governors in Kuwait, also said he will not hesitate to change policy settings when needed and that the Opec member's economy could grow 5-6 per cent this year. – <!--Reuters-->

Tags: Central Bank | economy | Opec | Kuwait | Spending |