Kuwait diversifies to strengthen economy (page 2 of 2)

It is anticipated that build-own-operate projects will gain favour, especially in the power, wastewater, urban development and transport areas.

Current developments include residential and tourism projects on the islands of Bubiyan and Falaika, which also include a deep sea port on Bubiyan and the $85bn plan for Madinat al-Hareer (City of Silk).

The project involves the development of a 250-square-kilometre new city in Subiya that will feature the world's tallest building, the one-kilometre high Burj Mubarak al-Kabir. Other major urban projects are also planned to relieve pressure on Kuwait City while a $1.8bn metro system is also planned for the capital.

Petrochemical investment

There are also investment opportunities in the country's expanding petrochemical sector. The $2bn Equate complex, 45% owned by Dow Chemical, has now recorded a decade of operations.

Further development of intermediate petrochemical products including ethylene, polyethylene and ethylene glycol will create opportunities for a range of chemical and plastic industries.

Last September, Kuwait also finally approved a $14.3bn project to build the Middle East's largest refinery at Al Zour. The planned 615,000 barrels-a-day facility will raise Kuwait's refined products capacity nearly 70% from its current 930,000 b/d.

See also:
Oil prices propel GCC inflation surges