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Crude prices leave Kuwait fiscal surplus high

The National Bank of Kuwait (NBK) has said Kuwait's fiscal surplus for 2011/2012 is expected to come in high due to budget-surpassing crude prices, Saudi Gazette has reported. Crude price projections in Kuwait were budgeted at $60 for 2011/2012, although the actual price averaged about $109 per barrel, or 80% higher than projections, the lender said. Actual figures have not been released by the government, but NBK forecasts the Gulf country's oil earnings to hit about KD28.2bn due to soaring oil prices, an almost 45% increase over the previous year. Spending is forecasted to come in 5 to 10% below budgeted figures, creating a surplus of KD11.4bn to KD12.4bn before allocations are made to the Reserve Fund for Future Generations. A surplus is forecasted for 2012/2013 as well, at about KD10.2bn and almost KD7.2bn post-RFFG allocations, the report said.