Kuwait's PPP Law

Executive Summary

What is this report about?
The year 2014 witnessed a big push in reforms momentum as the Kuwaiti government introduced new PPP (Public Private Partnership) laws repealing the old ones. This subsequently led to greater private investments in utility (energy, water) and real estate sectors. The new laws are primarily designed to redress the issues and challenges faced under the virtue of previous laws released in 2008. Despite having a robust legal framework for PPPs, the law has not been received well within the private sector. This has resulted in delays in a number of important projects in the country. The report analyses the key features of the law and major bottlenecks in the PPP environment in Kuwait.

Who will benefit and why?
The report will benefit anyone tracking the Public Private Partnership programs in the region. It includes firms at both regional and international level, finance companies, construction firms, regulators, government agencies and legal experts. This report would help these entities to gain in-depth understanding about the PPP in Kuwait and GCC.

How exhaustive is this report?
The report provides a critical analysis of the Kuwait PPP law, the possible reasons for the ineffectiveness of the law has been evaluated. The report also analysis the type of PPP model, the project financing options that can be effectively used to execute the PPP projects. We have briefly elaborated the regulatory framework used by the other countries in the GCC region, focus is placed on the financing options, sector specific laws and its impact. As PPP projects in general face specific challenges like transferring appropriate risks, key governance principles for the Kuwait's PPP projects have been enumerated.