Kuwait Plans to Reduce Tax on Foreign Firms
Kuwait, debating several laws and amendments to liberalize the economy, plans to reduce tax on foreign firms to 25 percent from the current 55 percent, planning minister, Mohammed Duwaihess, was quoted by the Gulf News as saying Saturday.
Duwaihess said the plan was recommended by a cabinet economic committee that was set up to study and propose reforms to the state-dominated economy.
"The committee had sent its recommendation to the cabinet for approval before presenting it to the parliament," the minister said.
on Tuesday, Kuwaiti MPs backed a draft bill which calls for the opening of the country to foreign investments in a bid to boost the sagging national economy.
MPs are due to vote on February 5 on the legislation which grants foreign investors tax holidays for up to 10 years, exemption from customs and charges, and long-term protection against nationalization.
The bill also allows foreign investors to establish companies in the emirate without a Kuwaiti sponsor or partner, currently needed for any business venture.
MPs said the bill would help bring advanced technology and modern management, besides billions of dollars of investment needed to revitalize the local economy, KUNA said.
According to figures released by the Kuwaiti Investment Authority, total foreign investments in the emirate in the past 20 years amounted to just $550 million -- Albawaba.com