The country’s National Assembly (parliament) voted to pass the bill, which projects revenues of KD8.1bn against expenditure of KD12.1bn, on 2 July.
The budget also provides KD807.5m for Kuwait’s Future Generations Fund, bringing the forecast deficit for the year up to KD4.9bn.
The budget was passed in March, shortly after Kuwait’s ruler, Sheikh Sabah al-Ahmed al-Jaber al-Sabah, dissolved the national assembly following the resignation of the cabinet to avoid parliamentary questioning.
Elections in May resulted in a more liberal legislature being installed, and the reappointment of the emir’s nephew Sheikh Nasser al-Mohamed al-Ahmed al-Jaber as prime minister.
Parliament has yet to pass another, more controversial economic stability bill, which the emir also passed by decree in the absence of parliament in April. This bill provides loan guarantees to local businesses.
The budget is based on an oil price of $35 a barrel. The country’s benchmark Kuwait Export Crude has been trading at more than $60 a barrel since early June.