Gulf News, 18 August 2024: The Kuwait Direct Investment Promotion Authority (KDIPA) has introduced regulations to streamline the process for foreign investors who wish to benefit from investment incentives and exemptions there.

The decision outlines the criteria and procedures for investment entities looking to capitalise on benefits under Kuwait Law No. 116/2013.

Investors must apply for an investment licence to access these benefits.

The application must meet the criteria set by KDIPA’s evaluation mechanism, which assesses the eligibility for these benefits and exemptions.

Investment entities licensed under Kuwait Law No. 116/2013 which have at least one year of operational experience, are eligible to request the benefits and exemptions.

These entities must follow the Authority’s evaluation criteria, submit periodic reports that demonstrate adherence to their work plans and provide a comprehensive business plan detailing their past achievements and future objectives.

Benefits apply from the date of application, provided that all required documentation and fees have been submitted. However, the exemption does not cover taxes and customs duties that have already been paid.

Article 3 of the decision outlines special provisions for entities seeking benefits either at the time of or after they have obtained an investment licence.

It clarifies that exemptions will not apply to existing contracts or projects which have bids submitted before the application date, even if these contracts or projects are subsequently transferred to another entity.

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