Public Investment Authority to complete legal procedures for Kuwait Airways move.
Kuwait's cabinet has "tentatively" agreed terms to privatise its national airline, Kuwait Airways Corporation, with legal procedures to change the company now being finalised.
The government debated the move in a marathon session that continued into the early hours of Monday, on the back of reports on the privatisation plan conducted by international consultancy agencies.
Dr Bader Mohammad Al-Saad, managing director of the Public Investment Authority (PIA), told KUNA News Agency that necessary steps for the implementation of the law regarding the company were reviewed during the session.
The government has tasked the PIA with completing legal procedures to transform the corporation into a shareholding Kuwaiti company, KUNA added.
Kuwaiti media in March 2009 reported that Kuwait Airways draft budget for 2009-2010 forecast a loss of 36 million Kuwaiti dinars ($123.3 million).
The Kuwaiti government said in January 2008 that the airline would be privatised. The government will maintain a 60 percent share in the carrier, while the remaining will be sold.
Please do not waste our time with fiction. This story has been around for decades and will NEVER happen.
Yes, this news has been there for years without materialization! This is how all affairs in Kuwait are; and for this reason Kuwait has lagged behind all other GCC nations. No expatriate knows what this privatization involves. Nobody except the kuwaitiies are informed about the privitazation. If this privatization has been due to KAC losses, then the Govt has accepted in principle that kuwaitization has failed to run this airline and in fact the country with such huge cash surpluses. We can safely say that KAC can run without a single kuwaiti as none of them are productive in any sense. They are in fact barriers to productivity and a huge burden on personnel expenditures as they have highest salaries and benefits without any reason except their nationality. No country can progress with this philosophy.
Ever since I have been in Kuwait, I have had good experiences with Kuwait airways. It doesnt matter if its privatised or not..I still love Kuwait airways.
Well, Its Kuwait, You can not rely on rules and laws which changes any times and many times.
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