Parliament committee approves raising gov't borrowing ceiling to KD 25 billion

January 9, 2018

Parliamentary financial and economic affairs committee approved on Sunday a bill allowing the government to raise the borrowing ceiling to KD 25 billion (about US$ 83 billion), with a borrowing period of 30 years. The bill also authorizes the government to sign public loans and carry out financing operations from local and international financial markets. The committee agreed a request submitted by the government on raising the ceiling of debt and borrowing from local and foreign markets, head of the committee MP Salah Khorshed told reporters after the meeting.

The committee will refer the bill to the National Assembly for a general vote. The committee studied the matter carefully and discussed the request with Minister of Finance and the governor of Central Bank of Kuwait, he noted. The minister and governor presented their views regarding this matter.

Meanwhile, Khorshed elaborated that the committee agreed, by a majority, to withdraw the reports on the early retirement and the reduction of the interest rate on the loans of retirees, as an international company will study this dossier.

The move came as the National Assembly assigned a neutral foreign company to set an integrated study on this dossier, provided that the report will be finalized within 45 days of the signing date of the contract, he noted.