ABSTRACT — Kuwait owns the world’s seventh largest proven oil reserves and with an oil production capacity of 3.1 million barrels per day is one of the world’s most important oil-producing countries. The country’s economy is dominated by the oil sector because more than 50% of the G.D.P, 92% of export revenues, and 90% of the government income come all from the oil sector. Because of this single-pillar economy, it would be advisable that Kuwait succeed in diversifying the economy and boosting its private-sector hiring. However, with reference to the petroleum sector, the correct strategy, despite all the present uncertainties, must be continuity with the past. Here the logic must be to understand what Kuwait can and cannot do now and in the next years. In fact, notwithstanding all the ongoing discussions, it’s impossible for Kuwait not to rely on the revenues deriving from the sale of oil, which has been for the last decades and will continue to be, at least in the near future, the country’s most important asset.
Read the full article here: http://www.alessandrobacci.com/2018/04/kuwaits-petroleum-sector-what-is-the-right-strategy.html
Alessandro Bacci is an independent energy consultant in relation to business strategy and corporate diplomacy (policy, government, and public affairs). Much of his activity is linked to the MENA region, an area where he lived for four years. Alessandro is now based in London, United Kingdom (www.alessandrobacci.com), and he is a member of the Association of International Petroleum Negotiators (A.I.P.N.). A multilingual professional, Alessandro holds a Bachelor of Laws and Master of Laws from the University of Florence (Italy), a Master of Public Affairs from Sciences Po (France), and a Master in Public Policy from the Lee Kuan Yew School of Public Policy (Singapore).