Fitch Solutions, affiliated with the global credit rating agency “Fitch”, expected the economic growth in Kuwait to accelerate from 0.9% in 2021 to 5% in 2022, indicating that this post-Corona recovery will be weaker compared to most of Kuwait's peer economies.
According to Fitch Solutions, Kuwait will return to its pre-crisis level of production in 2023, while most Gulf countries will precede it to this standard in 2022. Export growth, which was a major driver of economic growth, will slow during the coming period with the stability of oil production. According to “Fitch”, without a major diversification plan, the growth trend in the country will slow significantly towards the end of the current decade.
“Fitch” expected that Kuwait's real GDP growth on an annual basis will reach 0.9 percent this year and 5 percent in 2021, while the nominal GDP will reach 110.7 billion euros in 2021 and 119 billion in 2022, with inflation declining from 2.5 percent by 2021 to 2% 2022 on an annual basis. It also expected the current account balance to rise from 12 percent of GDP in 2021 to 13.4 percent next year.
Source (Al Rai Newspaper-Kuwait, Edited)