Kuwait Issues 9,881 New Business Licenses In Q1 2025

The Ministry of Commerce and Industry in Kuwait announced a notable 9.4% rise in the issuance of business licenses during the first quarter of 2025, with a total of 9,881 new licenses issued. This increase highlights the government’s ongoing efforts to enhance the investment climate by streamlining procedures and eliminating bureaucratic delays.

One of the key drivers behind this surge is the implementation of the Single Window Administration system, which has significantly simplified the process for investors and entrepreneurs to obtain business licenses.

Over 5,900 Companies Established in First Quarter

Between January and March 2025, 5,940 companies were successfully formed. This figure represents the outcome of reduced administrative hurdles, including faster approvals and fewer documentation requirements.

These numbers signal a positive shift in Kuwait's investment ecosystem, especially as the country looks to diversify its economy in line with New Kuwait Vision 2035.

Majority of Licenses Issued for Personal Companies

• 8,390 licenses were issued to personal companies
• Only 38 licenses were for companies of special nature, showing a 97% decline compared to the same quarter in 2024

Despite 56 applications submitted for special nature companies, only 9 were successfully established, indicating stricter evaluation criteria or investor hesitancy in this segment.

Freelance and Micro-Enterprise Licenses Surge by 227%

A major contributor to the growth in new licenses was the freelance and micro-enterprise sector, which witnessed an impressive 227% increase, reaching 1,453 licenses. This surge is attributed to regulatory changes introduced in August 2024, which allowed:

• Licensing of 175 freelance activities
• No requirement for a physical office space

Licenses can now be obtained via digital platforms such as Sahl, Sahl Biznest, and the Ministry’s official website — making it easier for individuals to enter the business landscape.

Mandatory Compliance and Transparency for Freelancers

To ensure a transparent and compliant business environment, the Ministry mandated that all freelancers:

• Display license numbers clearly on their online platforms
• Conduct all payments electronically

This step aligns with the country’s digital transformation strategy and ensures greater accountability in online commerce.

Conclusion

The first quarter of 2025 signals strong momentum for Kuwait’s entrepreneurial landscape. Through regulatory simplification, digital solutions, and support for freelance activities, the Ministry of Commerce and Industry is not only encouraging business creation but also paving the way for a more flexible and modern economy.

As Kuwait continues its transition toward economic diversification, such initiatives are vital for fostering sustainable growth and attracting both local and foreign investments.