The Kuwaiti government’s proposal to restructure and consolidate Kuwait Authority for Partnership Projects (KAPP) and Kuwait Direct Investment Promotion Authority (KDIPA) may seem attractive on paper.

The idea would be to reduce bureaucratic obstacles and duplication by concentrating all matters regarding foreign investment in one body.

Although a decision has yet to be taken, the prospect of more restructuring and uncertainty at KAPP will not encourage confidence among potential investors in its public-private partnership (PPP) programme.

Since 2014, KAPP has been renamed and restructured in the wake of PPP reforms, and has had a change in leadership. This has understandably resulted in long delays to the country’s PPP programme.

Originally set up in 2008, KAPP has reached a financial close on just one scheme, the Al-Zour North 1 independent water and power project (IWPP), partially due to political blockages.

It is now at a critical stage of tendering a new round of projects, with bids due for the Al-Zour North 2 IWPP on 21 June.

There are still doubts around the legal and financial framework for the scheme, but KAPP is pushing ahead with this and other power, water and social infrastructure projects. Decisions on multibillion-dollar rail schemes are in the balance.

A potential consolidation carries the risk of disrupting KAPP’s work again.

Another delay or change of plans at this point could sideline Kuwait’s PPP programme for the foreseeable future.