The National Assembly in its session Wednesday referred the draft bill on direct investment protection to the government after the bill secured majority approval in the second deliberation on the issue.
The first article of the bill defined terms used while the second stated on establishment of a "state authority for encouragement of direct investment" under the direct authority of the Minister of Commerce and Industry.
Most prominent among the bill's articles are articles 19-22, which deal with guarantees offered to investors such as guarantees against confiscation and guarantees of freedom of moving funds and investments to destinations abroad. Article 23 stressed investors are to be guaranteed confidentiality of technical, economic, and monetary details relating to their ventures, among other incentives.
Article 26 meanwhile stated disputes are to be dealt with within the framework of the Kuwaiti judicial system with the option of an agreement on seeking arbitration, and articles 27-29 list some of the benefits and exemptions to be approved virtue of the bill.
As stated in article 35, all funds, assets, liabilities, and equity and all that relates to the foreign investment bureau established through law 8/2001 is to now fall under the capacity of the proposed "state authority for encouragement of direct investment".
Article 36 stated that the Minister of Commerce and Industry has to issue regulations and decisions towards implementation of the bill within a period of six months from date of issue of the bill in the state's official gazette.
Kuwait Foreign Investment Bureau (KFIB) is currently cooperating and coordinating with various governmental institutions in the state of Kuwait to offer the best services and whatever facilities required by foreign direct investors.
The body strives to implement law 8/2001 regulating foreign direct investment in the state of Kuwait and its executive regulations and strives to improve the state's overall FDI environment.
As to criteria for granting incentives under the current law for FDI projects, the bureau lists, "Modern technology and administration as well as practical, technical, and marketing expertise", "Extending and activating the role of the Kuwaiti private sector", "Creating job opportunities for national labor force and training them", "Economic development plans and the targeted sectors", and "Location".