RIYADH: The UK economy is set to receive a considerable boost over the next five years following the signing of an investment partnership with Kuwait, according to the Department for Business and Trade.
In a press statement, the department said the partnership would facilitate the Kuwait Investment Authority to invest directly into mutually beneficial sectors in the UK, including education, renewables, life sciences and technology.
UK Minister for Investment Lord Dominic Johnson and Kuwaiti Deputy Prime Minister Dr. Saad Al-Barrak signed the partnership on Tuesday in the presence of Kuwaiti Crown Prince Mishal Al-Ahmad Al-Jaber Al-Sabah at Downing Street.
The Kuwaiti government has also signed a statement of intent with the UK government to collaborate on creating Kuwait’s National Cyber Security Centre.
“We look forward to many more years of friendship and mutual success bringing new jobs and opportunities across some of the UK’s most exciting sectors,” said Johnson in a statement.
Minister of State for the Middle East Lord Tariq Ahmad of Wimbledon said: “The UK has a long-standing and strong partnership with Kuwait that continues to go from strength to strength. I welcome the bold and ambitious investment partnership agreement.”
The statement further said that the UK is a world leader in the sectors of the future, including renewables, life sciences and technology. Through more significant inward investment, both countries can continue to create jobs, spur innovation and grow the economy.
The Kuwait Investment Office, which will manage the investment into the UK, is celebrating its 70th anniversary, having first established itself in London in 1953. It has made Kuwait one of the UK’s most prominent investors.
Kuwait is also vital to the UK’s negotiations with the Gulf Cooperation Council on a free trade agreement, which is expected to increase trade between the UK and GCC by 16 percent.
The UK and GCC members have made good progress in negotiations, with both sides showing strong commitment to move at pace. Round 5 of talks will take place before the end of this year in Riyadh.
UK-Kuwait trade and investment
In 2021, the inward stock of foreign direct investment in the UK from Kuwait was £367 million ($465 million).
Total trade in goods and services between the UK and Kuwait was £5.7 billion in the four quarters to the end of the first quarter of 2023, an increase of 118.3 percent or £3.1 billion in current prices over the same period last year.
Moreover, it was the UK’s 43rd largest trading partner in the four quarters to the end of the first quarter, accounting for 0.3 percent of total UK trade.
