Kuwait and the UK – Opportunities for Further Leverage

Executive Summary

What is this report about?
The relationship between Britain and Kuwait dates back to the middle of the 18th century and the activities of the British East India Company, which eventually set up an office in the country in 1793. In the 1930s, the British Anglo-Persian Oil Company (APOC) negotiated a concession to explore for oil, and in 1934, the Kuwait Oil Company formed and registered as a joint enterprise with the APOC, which later became BP. There are ample opportunities for Kuwait to tap into the UK’s experience. Over the past decade, economic reforms in the UK has enabled job creation and has driven the unemployment rate to one among the lowest among advanced economies, at below 5%. Private sector job creation has always appears high on Kuwait’s agenda since most of the nationals currently work for the government. The UK is a major financial center and Kuwait could draw some inspiration from the UK, on developing its financial infrastructure and allied industries. VAT implementation and tax codes are another area that is open for more collaboration between these two countries. This report analyzes the lessons on offer from UK, and possibilities for potential tie-ups in areas of Kuwaiti interest.

Who will benefit and why?
The report will benefit anyone tracking the Kuwait-UK relationships in trade, investments and bilateral cooperation, such as regulators and government agencies, bankers, economists, academia and cross-border traders. This report would help these entities to gain an understanding of the relationship at present, and provide an outlook for the future.

How exhaustive is this report?
We have analyzed the trade and investment relationship between Kuwait and UK, and the various avenues, where bilateral relationship exists between the two countries. The report examines the factors that have led to UK’s growth as a major global economy, and the lessons that Kuwait can learn from them. We have also highlighted how Kuwait can strengthen its own economy by leveraging on the strengths of its trade partner, and finally, the sectors of UK that should be of interest to Kuwait, both for potential tie-ups and investments.