Premier-designate Promises A ‘new Beginning’

His Highness the Amir signed a decree on 24 January appointing His Highness Sheikh Sabah Khaled Al-Hamad Al-Sabah as Prime Minister and assigned him with forming a new government. The prime minister designate was also asked to submit the line-up of cabinet nominees in order to approve their appointment.

His Highness Sheikh Sabah Khaled Al-Hamad Al-Sabah is the country’s 8th prime minister and he will be heading the 38th government in Kuwait’s 59 years of plodding along the path of democracy and a parliamentary way of political life that it chose. Sheikh Sabah Khaled A-Hamad was first appointed as prime minister on 19 November, 2019 when he was tasked with heading the 36th government by the late Amir Sheikh Sabah Al-Ahmad Al-Jaber Al-Sabah, following the resignation of his predecessor Sheikh Jaber Al-Mubarak Al-Hamad Al-Sabah.

Sheikh Sabah Al-Hamad was re-appointed as prime minister on 8 December, 2020 by His Highness the Amir Sheikh Nawaf Al-Ahmad Al-Sabah and assigned to head the 37th parliament, which was formed following general elections on 5 December. However, in a little over a month of assuming office, the prime minister tendered his resignation and that of his cabinet in the wake of disagreements with opposition lawmakers in parliament.

Following his third appointment as prime minister, Sheikh Sabah Khaled held a wide-ranging meeting with Editors-in-Chief of local media on 20 January. He began by expressing his appreciation to His Highness the Amir Sheikh Nawaf Al-Ahmad Al-Jaber Al-Sabah for once-again reposing his trust and confidence in him. He pledged to continue shouldering the responsibility in service of the homeland.

Asked about the formation of his new cabinet, the premier said it would require more time, as he will be meeting with lawmakers, activists, experts and specialists to listen to their views. He added that he would discuss with them the package of programs and laws that the upcoming government will put forward, and expressed hope that the program of the new government would address all pending files and issues that concern citizens.

On the grilling issue that led to the resignation of the previous cabinet, His Highness the prime minister affirmed the right of any parliament member to use the grilling tool, adding that the relationship between the executive and legislative was governed by Article 50 of the Constitution. However, he emphasized the need for constructive cooperation between the two state bodies so as to achieve desired reform in the national economy and prosperity for Kuwait and its people, Sheikh Sabah Khaled pledged to do his utmost to boost the constructive cooperation with the National Assembly, “to unify the forces in this critical phase of time for sake of attaining the aspired reforms and tackling prior issues”.

While welcoming any questioning within the parameters of the Constitution and the law, the premier reminded editors that during his premiership of the 15th legislative term of the National Assembly, he had promised that he would never resort to four things when it came to grilling: He would neither refer the grilling to the Constitutional Court, nor to the Parliamentary Legislative and Legal Affairs Committee; and that he would not request an extension of the time for the grilling, nor discuss the interrogation in a secret session.

The prime minister stressed that the next government will work to coordinate with members of the National Assembly on all issues, including on tackling economic and social affairs, infrastructure development and public services. He stressed that in order to combat corruption, which is a priority for the government, the parliament would work with lawmakers to enact legislations aimed at addressing the elimination of corruption in the country.

He revealed that the government had “submitted 87 notices regarding public money to Kuwait’s Anti-Corruption Authority (Nazaha), in addition to referring 122 cases of misappropriation of public money,1691 cases of encroachment on state property and 282 cases of residency trade, to the Public Prosecution for legal action.

Even as the premier promised to make tackling corruption his priority, a report out on 28 January highlights the deep tentacles that corruption spreads over the country. The 2020 Corruption Perception Index (CPI) published by the non-governmental organization Transparency International shows Kuwait trailing other states in the six-nation Gulf Cooperation Council (GCC) bloc in terms of corruption. With a score of 42 out of possible 100 on the CPI, Kuwait was ranked 78 out of 180 nations in the 2020 index.

Except for Bahrain, which tallied Kuwait’s score, all the other GCC states scored above the global average of 43. The UAE came out on top in the six-state bloc, and also regionally, with a score of 71 to rank 21 globally. Qatar followed with a score of 63 and a global rank of 30, while Oman with a score of 54 was ranked 49. Even Saudi Arabia managed a creditable score of 53 to rank 52 globally.

The prime minister has a latitude of two months from his appointment date to nominate the 38th cabinet. But political experts point out that even if he comes up with a cabinet line-up that is acceptable to everyone in parliament, it is doubtful if the government will be able to function effectively given the opposition dominated National Assembly. Already, several parliamentarians have said they would continue to pursue the same issues that led to dissensions and resignation of the previous cabinet.

As the chief executive body of the state, if the cabinet’s effective functioning is held hostage to demands by some lawmakers and parliamentary paralysis continues, Kuwait’s social, political and economic future, at least in the near-term, appears rather bleak. Without the cabinet being able to take much-needed decisions and implement them on an urgent basis, the economy which has struggled to stay afloat for the last many months is expected to falter and come to a grinding halt. For one, the General Reserve Fund, which provides the government with the reserves to function has been nearly depleted by consecutive budget deficits.

The ongoing COVID-19 crisis that began in early 2020 in Kuwait has further drained state reserves and brought economic activity to a practical standstill, thereby exacerbating the economic exigencies facing the country. A lifeline to provide an economic breather for the state — to borrow on the international debt market — has yet to receive the necessary parliamentary approval. Lawmakers opposed to the proposition have thwarted the passage of the debt bill since October 2017, when the previous bill lapsed.

Meanwhile, oil revenues which constitute the main source of revenue for the state has been steadily declining due to a ‘lower-for-longer’ international oil price scenario. Concomitantly, oil production cuts that were mandated by the Organization of Petroleum Exporting Countries (OPEC) and its allies since 2017, have led to Kuwait’s production dropping from nearly 2.8 million barrels per day to around 2.4 million barrels today. Lower oil prices and lower production have combined to wreak havoc on the country’s budget in recent years, with expenditures rising while revenues continue to fall.

Immediately after the new premier was appointed, the care-taker cabinet held its weekly session at Seif Palace on 25 January and endorsed the budgets of ministries and government departments for the fiscal year 2021-2022. The projected expenditure amounts to KD23.1 billion and projected income stands at KD 10.9 billion, of which the largest chunk of KD9.1 billion comes from oil revenues, with non-oil contributing KD1.8 billion. The expected deficit for the fiscal year 2021-2022 is thus estimated at KD 12.1 billion, based on an average oil price of US$45 per barrel.

Presenting his budget, the care-taker Finance Minister Khalifa Hamada said, “We are in a transitional phase that requires concerted efforts for economic recovery and growth.” He urged for “more cooperation and collaboration with parliament to introduce and amend more laws that will benefit and improve our fiscal framework, and empower Kuwait’s economy”.

It is obvious that unless something gives in the immediate future, either through oil prices soaring back to over US$80 per barrel, or the government using the interim period before cabinet formation to pass the debt bill through a Constitutionally approved Amiri decree, or the legislative having a sudden change of heart and deciding to cooperate with the executive, or probably, Manna dropping from heaven above, parliamentary paralysis will clearly be the least of Kuwait’s worries in the coming months.

Asked by the media chiefs during his interview about the slow pace of the vaccination drive, with only around 35,000 people receiving the anti-COVID vaccine despite one month of the campaign, Sheikh Sabah Khaled said that immunization in Kuwait is a process conducted according to a timetable and a schedule. Kuwait has begun administering the Pfizer-BioNTech vaccine as per a plan that prioritizes frontline workers, the elderly, and those with medical vulnerabilities. The premier clarified that, “unfortunately, shipments of the jabs have been stopped throughout the world because suppliers are re-examining the needs, and we now hope to receive the new shipment of vaccines by 15 February”.

The premier stressed that though there are several vaccines available in the market, he would not “accept dealing with any unsafe and unapproved vaccine that are not approved by the US Food Drug Administration and European Food Safety Authority”. He pointed out that “Kuwait was the first among nations for securing vaccination against COVID-19 for all. The international community has only now chosen the logo, ‘vaccine for all’, which underlines the need for an international partnership, so as to secure vaccines for nations and people everywhere”.

Elaborating on the demographics issue facing the country, Prime Minister Sheikh Sabah Khaled said that the demographics issue needs to move to an acceptable position during the coming period in order to correct the imbalances in the labor market. He added that “a law regarding demographics was approved by the National Assembly in the last legislative term, and executive regulations are being worked on now to amend the imbalance of the labor market, which in turn will be reflected in the demographic composition.”

“I have said previously that the ideal situation is for the demographics to be 70 percent of citizens and 30 percent of residents,” Sheikh Sabah Khaled said. “In order for us to move from the current imbalance to this ideal situation, we need to first move at least to an acceptable position in the next stage, and then on to a good position, and then even more,” he added.

Promising that the new cabinet being formed will herald a ‘new beginning and work as a team to find solutions to all problems that the country is facing, the premier concluded his meeting with media chiefs by calling for unity and safeguarding the country’s security, safety and stability under the leadership of His Highness the Amir Sheikh Nawaf Al-Ahmad Al-Jaber Al-Sabah and His Highness Crown Prince Sheikh Mishal Al-Ahmad Al-Jaber Al-Sabah.

 

SOURCE TIMESKUWAIT

Comments Post Comment

Leave a Comment

Submit