Kuwait Invites Private Companies To Build Three New Cities: Report
The Kuwaiti government has asked local and international companies to bid for contracts to develop three new cities, aiming to reduce the country’s housing shortage, Reuters reported, citing the official Gazette.
Three new cities project
This is the first project under a 2023 real estate law that allows private companies to invest in Kuwait’s housing sector. Under the law, the government can form joint companies with local and foreign partners to build and sell housing units to Kuwaiti citizens.
The contracts will run for 30 years and will include design, financing, construction, operation, and maintenance of the projects. Housing units can be sold, but non-residential properties will be returned to the government. Construction is expected to take four years.
Bidding companies must have at least 10 years of experience in large-scale housing or mixed-use projects.
The three cities will cover 300 hectares in total and are expected to ease pressure on housing demand. Currently, about 100,000 people are waiting for government housing, with some families waiting up to 17 years.
The new cities will be named Al Mutla’a City, East Saad Al Abdullah City, and West Saad Al Abdullah City, and will be located north and west of Kuwait City, the capital.
Kuwait’s budget update
In August, Kuwait said it ended the 2024-2025 fiscal year with a deficit of $3.46 billion (KD 1.056 billion), much smaller than the $18.4 billion (KD 5.6 billion) it had expected, and far lower than the $21 billion (KD 6.4 billion) deficit in 2023-2024.
The improvement came from higher-than-expected revenues, mainly from oil, and lower spending.
For 2024-2025, Kuwait recorded revenues of $72.2 billion (KD 22.06 billion), with oil contributing $63.4 billion (KD 19.36 billion)—above forecasts. Spending stood at $75.7 billion (KD 23.11 billion), below projections.
According to the World Bank, Kuwait’s economy is expected to grow 2.5% in 2025-2026, supported by steady oil production and strong global oil prices, the Kuwaiti Times reported.
Published: 15th September 2025
For more article like this please follow our social media Twitter, Linkedin & Instagram
Also Read:
Egypt Signs $121M Oil and Gas Exploration Deals
Aldar Launches New Health-Focused Community in Dubai
ADNOC & Landmark Link Loyalty Programs for 9.5M UAE Users
