Why invest in Kuwait?
Kuwait presents several advantages.
First, the country has a high quality of life, its oil reserves are consistent. The cost of energy is very low.
Kuwait is endowed with a good financial management and a solid banking system. The Kuwaiti government is willing to diversify its economy and has launched an open policy to foreign investments. To close it up,
The country's infrastructures are of high quality, the labor force provided by immigrants is inexpensive and the absence of taxes are some of the undeniable advantages to foreign investors.
Kuwait's government, with the goal of attracting foreign investments to the country, issued a law in 2001, renewed in 2003, regulating Foreign Direct Investments. The new law allows foreign investors to own majority capital holdings up to 100% equity if their business activities are in the sectors that the government wants to develop, such as the projects of new infrastructures (water, power energy, drainage and communications). It applies also to some investing companies such as insurance, information technologies, hospitals, hotels, construction of housing zones, freight transportation, etc. This new law provides the enterprises with tax exemptions that can last up to ten years. The law makes it easier to recruit foreign low cost labor. It also provides a guarantee against expropriation and ensures the right to repatriate their capital gains. New investors are also protected against changes in legislation.
No Investment Entity, licensed , shall be confiscated nor be deprived of its property except in the public interest and only in accordance with the applicable laws and against compensation equivalent to the true economic value of the expropriated project at the time of expropriation, estimated in accordance with the economic situation prior to any threat of expropriation.
The Investor shall have the right to transfer abroad his profits, capital or proceeds resulting from the disposal over his shares or participation in the Investment Entity or the compensation set Moreover, employees in the Investment Entity shall have the right to transfer their savings and entitlements abroad.