Despite concerted government efforts to recuperate outstanding dues from various entities and individuals, Kuwait’s financial statements reveal a disconcerting trend in the accumulation of government debts over the past six years. This distressing trajectory witnessed an alarming 87% surge, escalating from 1.17 billion dinars to a staggering 2.5 billion dinars in the fiscal year 2022/2023. This unsettling data underscores the persistent and worsening nature of the problem. A thorough analysis of consecutive Kuwaiti budget reports unveils a steady annual increase in government dues. The trajectory commenced at 1.3 billion dinars in the fiscal year 2017/2018 and reached its zenith at 2.5 billion dinars in 2022/2023.

These debts encompass a spectrum of financial obligations, including unresolved court cases, illicit salary and bonus disbursements, outstanding tax dues from major corporations, and fees owed to the Ministry of Electricity and Water. In stark contrast, debts owed to the government exhibited a distinct upward trajectory, growing by 34.8% over the same six-year period. The figures reached 520.8 million dinars in the fiscal year 2022/2023, marking a considerable increase from the 386.2 million dinars recorded in 2017/2018. The state’s tax dues also experienced a substantial uptick, ascending by 39.6% to reach 385.6 million dinars in 2022/2023, up from 276.2 million dinars in 2017/2018. Despite these challenges, the data indicates an encouraging trend in the collection of revenues during the last fiscal year (2022/2023). The total revenue collected amounted to 581.4 million dinars, reflecting an increase from the preceding year’s figure of 462.4 million dinars.

Notably, income, profits, and capital gains taxes surged to 164.8 million dinars, a significant rise from the 131 million dinars recorded previously. Additionally, taxes on trade and international transactions witnessed a remarkable increase, reaching 395 million dinars compared to the previous figure of 306 million dinars. The final account for the fiscal year 2022/2023 underscores the positive momentum in tax collection efforts, particularly in the face of challenges posed by burgeoning government debts. This data offers a nuanced perspective on the fiscal landscape, highlighting both areas of concern and signs of progress in Kuwait’s financial management.


© 2022 Arab Times Kuwait English Daily. All Rights Reserved. Provided by SyndiGate Media Inc. (