Kuwaiti gov't could lose $6bn in debts owed

State enterprises could be forced to wipe off $6bn in debts owed by civilians & businesses because they’ve reportedly been too slow to collect them within the statue to limitations
Kuwaiti gov't could lose $6bn in debts owed
Kuwait
By Courtney Trenwith
Sun 22 Feb 2015 11:48 AM

The Kuwaiti government could be forced to write-off up to $6 billion worth of debts owed by residents and businesses because they have failed to collect them within the statute of limitations, Arab Times reported.

The state is owed KD1.8 billion ($6.1 billion), up from KD1.1 billion in April last year, according to the Ministry of Finance.

Sources close to the ministry reported told Arab Times many of the debts had been accrued years ago may no longer be enforceable.

The news comes as Kuwait is studying alternative revenue methods following a 60 percent drop in the price of oil, which accounts for 90 percent of the country’s export revenues.

About two-thirds of the country’s population are expats, however they are usually not allowed to officially exit the country without paying all debts and closing bank accounts.

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