Kuwait Government approves 5 year transport plan

Kuweit_imagesA five year transport plan, to include a new metro in Kuwait City and a railway network, has been approved by the Kuwaiti government. Members of Parliament have criticised the new plan on several grounds, not least pointing out that the last five year plan was not fully completed.
Amidst fears of a general fall in the country’s income, 94% of which is from crude oil, the government has announced plans to build a new metro and its own section of the GCC Railway Network. The country intends on becoming a regional transport hub to offset the crude oil economy.
Kuwait however has massive cash reserves, and can run at a deficit for many years even with such mega projects. With plans to begin this phase of investment and other infrastructure projects, the government will have a large budget deficit this year of USD $24 billion.


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