Development co-operation institutions:
Kuwait’s Law No. 35 of 1961 created the legal basis for KFAED to act as an implementing agency in all developing countries on behalf of the Kuwaiti government. KFAED was initially an institution for development co-operation with other countries in the Arab region, although KFAED is now a global provider. KFAED acts under the Prime Minister’s overall supervision, who in practice delegates this mandate to the Minister of Finance. Other ministries, public authorities and non-governmental organisations also contribute to promoting development internationally, notably the Ministry of Foreign Affairs, which can also provide humanitarian assistance. The mandate of the fund was transferred to the Minister of Foreign Affairs in 2003.
The state of Kuwait is among the largest providers of development co-operation in the Gulf region, providing its assistance under the broad framework of its commitment to the 2030 Agenda for Sustainable Development. Kuwait provided USD 388 million as ODA in 2020, representing 0.28% of gross national income (GNI). This was a decrease in real terms in volume and an increase in the share of GNI from 2019. Within Kuwait’s ODA portfolio in 2020, 9.2% was provided in the form of grants and 90.8% in the form of non-grants. The Kuwait Fund for Arab Economic Development (KFAED) – the first fund to be established in the Arab world – primarily provides concessional loans for development projects that are a high priority to recipient countries, following a demand-driven approach.
Global Partnership monitoring trend
In 2020, Kuwait’s bilateral ODA was primarily focused on Africa and the Middle East. LDCs received 9.4% of Kuwait’s gross bilateral ODA (USD 71.5 million) and support to fragile contexts reached USD 96 million in 2020, representing 12.7% of Kuwait’s gross bilateral ODA. In 2020, more than half of all of Kuwait’s bilateral ODA was allocated to economic infrastructure and services.
Kuwait is a participant in the OECD Development Assistance Committee and is reporting to the OECD since 1970 and reporting activity-level data since 2011 on 2010 activities.