Green light for delayed Kuwait Airways privatisation

National Assembly paves way for privatisation of loss-making carrier within three years

Kuwait’s National Assembly committee for financial and economic affairs has approved the privatisation of Kuwait Airways, state news agency KUNA reported.

“The approval was taken after both the Minister and Kuwait Airways Corporation (KAC) chairman gave written statements obliging them to present a three-year action plan,” Communications Minister Safa Al Hashem said.

The committee also discussed the carrier’s fleet, accidents, malfunctions, delays and employees’ benefits, he added.

Kuwait’s parliament first approved a plan to privatise the loss-making carrier in 2008 but the process has been repeatedly delayed. 

The Gulf state’s cabinet in April approved an amended draft law paving the way for the privatisation within three years but the plan still had to be approved by the National Assembly.

Under the proposed plans, Kuwait will offer a 35 percent stake in the carrier to companies on the country’s stock exchange and to local or international firms, KUNA said in April. The government will retain a 20 percent stake while 5 percent will be distributed to KAC employees “equally and for free”.

The remaining 40 percent will be allotted to citizens registered with the Public Authority for Civil Information, the Kuwaiti body that issues civil identity cards, it added.

Join the Discussion

Disclaimer:The view expressed here by our readers are not necessarily shared by Arabian Business, its employees, sponsors or its advertisers.

Please post responsibly. Commenter Rules

  • No comments yet, be the first!

All comments are subject to approval before appearing

Further reading

Features & Analysis
Smart move: Automated transport in the Gulf

Smart move: Automated transport in the Gulf

In a few short years how we get from A to B will be dramatically...

How technology is revving up the future of driving

How technology is revving up the future of driving

Technology firms have been investing in autonomous driving for...

Could the GCC have a free zone-free future?

Could the GCC have a free zone-free future?

Free zones, particularly attached to major ports, have become...

Most Discussed