Key View

• Increased local production of innovative products will boost access to patented drugs.
• New regulatory controls will attract multinational drugmakers, however challenges remain.
• We expect medicine spending in Kuwait to increase in the medium-term to reflect recent developments.

Increased local production of innovative products will

Key View

• At Fitch Solutions, we have revised up our 2021 current account surplus forecast from 5.9% of GDP to 7.1%, which marks a widening in the surplus from 1.4% in 2020.
• Our upward revision is driven by a significant increase in hydrocarbon exports on the back of rising oil prices.
• That said, rising imports and a wider services trade

Key View: We forecast real household spending in Kuwait to begin to recover in 2021, growing by 4.1% y-o-y, after the Covid-19 pandemic led to an estimated contraction of -4.0% y-o-y in 2020. We project Kuwait’s oil economy to perform well, due to a stronger demand outlook and higher oil prices in 2021 compared to 2020, with this driving much of

Key View

• Kuwait expands Covid-19 vaccination capacity to meet ambitious target.
• Private hospitals and clinics to buy and administer Covid-19 vaccines to accelerate mass inoculation.
• Pharmaceutical market to benefit from Covid-19 vaccine purchase agreements.

Kuwait expands Covid-19 vaccination capacity to meet ambitious target. The

Key View

• At Fitch Solutions, we expect a modest economic rebound in Kuwait, projecting real GDP growth of 2.7% in 2021 after a fall of 5.5% in 2020.
• Private consumption and, to a lesser extent, fixed investment will benefit from a rapid vaccine rollout, increased government spending, and accommodative monetary policy.
• That said, net exports

Key View

• Amid a relatively slim project pipeline of large-scale construction and infrastructure projects, Kuwait exhibits domestic contractors undertaking a sizable portion of construction roles. South Korean contractors also feature prominently due to their involvement in several oil and gas-related projects.
• Domestic financiers and sponsors

Key View

• Kuwait’s domestic gas sector continues to expand alongside its Jurassic Gas Project.
• Gas output is set to steadily increase, but we remain sceptical about whether Kuwait will meet its gas production targets.
• Strained government revenues, in light of depressed oil prices, threaten our gas production forecast.
• We anticipate increased

Key View

• At Fitch Solutions we expect a fairly sluggish economic recovery in Kuwait, projecting real GDP growth of just 3.1% in 2021, after a fall of 5.5% in 2020.
• We are pessimistic about the economy due to limited fiscal flexibility and the emergence of a second wave of Covid-19 cases which will keep the authorities reluctant to further