Kuwait eyes $28bn PPP projects in new plan
Kuwait, August 16, 2014
Kuwait plans to establish public - private partnership (PPP) projects worth KD8 billion ($28.17 billion) under the new five-year development plan announced recently.
The Kuwait Development Plan (KDP) for 2015-2020 will also focus on economic reforms and the implementation of several long-stalled mega strategic projects, a senior government official was quoted as saying in an Arab Times report.
The plan, approved by the cabinet, still needs to be passed by the parliament, said Hind Al-Subaih, Minister of Social Affairs and Labour and Minister of State for Development and Planning Affairs.
Projects in the plan include the construction of a metro project and a KD8bn rail project to link the five partners of the Gulf Cooperation Council; Construction of a new terminal at Kuwait airport; construction of a media city; further development of the Mubarak Al Kabeer Port on Boubiyan Island; Al Zour 2 power generation project; Al Zour refinery; establishment of a joint stock low-cost housing company; development of the Failaka Island; expansion of the sewage network; and a solid waste treatment facility in Kabd.
The plan also envisages the development of Madeenat Al Hareer (Silk City), a proposed 250-sq km urban area in the northern Subiya region. It will feature the Burj Mubarak Al Kabir tower, a nature reserve, a duty free area, a nearby airport, a large business centre and other facilities, said the report.
The country's last five-year development plan did not have a successful implementation rate as only 57 per cent of the allocated budget was spent, the report said.
Kuwait has already confirmed the network layout for its new $20 billion metro and the construction is due to begin in 2017.
Oil sector is also expected to expand further in the coming years. The Kuwait National
Petroleum Company (KNPC) chief executive Mohammed Ghazi al Mutairi said earlier said KNPC would invest $35 billion on expanding oil and gas projects over the next five years.
Much of this will be spent on Kuwait's Clean Fuels Project (a major component of Kuwait's current development plans), which involves a series of refinery upgrades, the report said.