Kuwait Economy

A- Economic Indicators:

Gross Domestic Product (2008): at current prices amounted to K.D.(39.8) billion.

Inflation: (2009): (5.7%)

Labor Force: (2009): total labor force is about (2.047) million labors, (1.523) million males and (524) thousand females.

Dealt Currency (2009): amounted to K.D. (994) million.

Kuwaiti Dinar’s Exchange Price (2008):

The exchange price of the Kuwaiti Dinar was bound to a currency basket. In the said date, and for considerations relevant to organizing with the other GCC countries, in pavement for achieving their monetary unity, the Kuwaiti Dinar is bound to American Dollar. In general, it can be said that K.D. 1/- , as a general average, is equivalent to US 3.48

Governmental Revenues and Expenses (2008/2009):

Revenues amounted to K.D. (21) billions, while expenses amounted to K.D. (18.3) billions.

Commercial Balance (2009):

Achieved a surplus of about K.D. (2.7) billions.

b- Economic Sectors:

Agriculture and Animal Wealth Sector:

Economically speaking, the agricultural sector in Kuwait is still limited. This is due to many reasons, most important of which is the lack of fertile soil, rarity of water valid for irrigation

purposes, and severity of the weather. Despite of this, the government is keen to develop the agricultural sector and to encourage farmers by providing agricultural subsidy and

services for development of the sector to guarantee a reasonable limit of food security to the country.

Crop Production as per Area, Quantity and Value (2006):

Type of CropCultivated Area in thousand square metersQuantity in TonValue in K.D Million
Winter crops59,704182,54315.7
Summer crops17,64137,0403.9
Semi-permanent crops39,135331,5078.5
Green house crops18,148120,91416.2
Total134,628672,00344.3

Most Important Crops: Vegetables, and some kinds of fruits:

Animal Wealth in Agricultural Possesses (2006):

TypeValue ( thousand K.D
Cows843
Sheep’s & Goats3,789
Poultry14,237
Camels137

Fish & Insect Production: 2006

TypeValue ( thousand K.D
Consumable local fish7,390
Planted fish870
Exported fish1,654
Honey and wax113

industrial Sector:

The government encourages the industrial sector via the establishment of many industrial companies and sharing in the same. It also grants easy loans and necessary facilities, and works on providing basic structures and protecting emerging industries. The government issued the new Industry law No. 56 in 1996.

Products and Sales of Transformational Industries (2007):

Most Important IndustriesProductionSales
Flour (in thousand tons)178.2176.1
Macaroni (in thousand tons)8.23.6
Bread (in thousand tons)84.684.6
Bran (in thousand tons)46.947.0
Biscuits (in thousand tons)2.01.9
Oils and fats (in thousand tons)20.116.8
Chlorine gas (in thousand tons)19.114.4
Caustic soda (in thousand tons)56.69.6
Uria (in thousand tons)555.03.3
Tiles of all types (in million square meters)0.91.0
Limy and light brick (in thousand square meters)338.0287.6
Ready made concrete (in thousand square meters)247.0247.0
Cement pipes (thousand linear meter)90.886.1

·       Remark: some sales are shown to be in greater amount than production of 2007. The reason is attributed to the sale of some stock from the production of 2006 as well.

Power Sector:

Oil and natural gas represent the natural wealth of the country and the basic source of national income. In 1938, oil was discovered for the first time in Burgan field. The first shipment of oil was exported in 1946. In 1949, Al-Ahmadi port (southern platform) was founded in addition to a refinery with the production power o 25,000 bpd, and a plant for electricity generation and seawater desalination. In 1955, oil was discovered in (Al-Rawdatin) in the north part of Kuwait. In August 1991, the first shipment of crude oil was resumed after a long cease due to the fires and destruction caused b the Iraqi invasion. In the year 2001, a new center was opened for compiling the oil, with the capacity of (210) thousand bpd.

Production of Crude Oil and Natural Gas/ Exports of Crude Oil and Refined Products: (2008):

Production of crude oil (in thousand barrelProduction of natural gas (million square feet)Exports
Crude oil (thousand barrels)Refined Products (thousand barrels)
979,436489,718588,648275,883

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