Sales across all segments of Kuwait’s real estate market in May were down 28 per cent from the same period last year, according to a report published by the National Bank of Kuwait (NBK).

The report goes on to state that despite the slowdown in activity, the size of transactions in the market continued to be strong during the first five months of the year, helped by stabilising oil prices.

The market’s current softening in activity is expected to continue, with low economic activity in the summer months and the month of Ramadan.

The residential market was down 30 per cent over the period. NBK’s report says apartments accounted for 54 per cent of all transactions, while villas constituted 38 per cent. The Ahmadi governorate once again witnessed the bulk of activity, making up 48 per cent of all transactions.

Kuwait’s economic forecasts are positive despite slumping oil prices. The forecast rate of growth to 2020 is the highest in the GCC and reflects expectations that oil and gas production will increase, the government will continue to invest in major projects, and private sector activity will be buoyant.