All Measures Will Be Taken to 'Kuwaitize' Oil Sector, Says Minister

A view of Kuwait City, Kuwait. (AFP file photo)
A view of Kuwait City, Kuwait. (AFP file photo)
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All Measures Will Be Taken to 'Kuwaitize' Oil Sector, Says Minister

A view of Kuwait City, Kuwait. (AFP file photo)
A view of Kuwait City, Kuwait. (AFP file photo)

Kuwait’s Deputy Prime Minister and Minister of Oil, Electricity, Water and Renewable Energy Dr. Mohammad Al-Fares, said that "Kuwaitization" as a policy is approved by the Kuwait Petroleum Corporation (KPC) and all necessary measures will be taken to "Kuwaitize" the oil sector.

In response to a parliamentary question about the reason for renewing the contracts of non-Kuwaiti engineers in the KPC, he explained that the Kuwaitization procedures for the sector will take place in two phases.

The first phase begins with direct employment. Two thousand Kuwaitis were employed during the past year, reported the state news agency (KUNA).

The second phase is the Kuwaitization of the private sector represented by contractor companies, equivalent to 30 percent of workers in the sector.

Al-Fares stressed the government's interest in appointing engineering graduates at the ministry, whether university students or diploma holders.

The optimum utilization of engineers in water production plants was reviewed, added Al-Fares, pointing out the preparation of an integrated plan to develop the sector and upscale engineers.

He underscored the ministry's commitment to the decision of the Civil Service Council regarding the dismissal of resident workers and their replacement with Kuwaiti engineers and technicians.

Kuwait has a strategic plan to increase the oil output to 3.2 million barrels per day by 2025 and 4 million bpd by 2035 and to maintain this level by 2040.



Gold Hits One-month High as Prospects for Fed Cuts Rise on Softer US Inflation Data

Gold prices firmed near one-month highs hit earlier on Thursday - File Photo
Gold prices firmed near one-month highs hit earlier on Thursday - File Photo
TT

Gold Hits One-month High as Prospects for Fed Cuts Rise on Softer US Inflation Data

Gold prices firmed near one-month highs hit earlier on Thursday - File Photo
Gold prices firmed near one-month highs hit earlier on Thursday - File Photo

Gold prices firmed near one-month highs hit earlier on Thursday after a softer-than-expected core US inflation print increased chances of two Federal Reserve rate cuts this year, with the first likely in June.

Spot gold gained 0.3% to $2,704.56 per ounce as of 0934 GMT after hitting its highest level since Dec. 12 earlier in the session. US gold futures gained 0.7% to $2,736.50.

Further gains in safe-haven bullion were, however, limited as Hamas and Israel reached a deal for a ceasefire in Gaza after 15 months of conflict and heightened Middle East tensions, according to Reuters.

Gold rallied to multiple-record highs and is still up nearly 50% since the war began in October 2023.

"Although de-escalating geopolitical tensions can dilute demand for safe havens, bullion is still holding on to most of its post-CPI gains, suggesting that the Fed rate outlook remains the primary driver for gold prices," said Exinity Group chief market analyst Han Tan.

"Gold should find itself in a supportive environment, so long as market participants can hold on to expectations for Fed rate cuts in 2025."

Interest rate futures traders are pricing in near-even odds that the Fed would reduce rates twice by the end of this year, with the first reduction to come in June. Before the inflation data on Wednesday, futures were only pricing a single quarter-point interest-rate cut in 2025.

Core US inflation increased 0.2% in December after rising 0.3% for four straight months.

Central bank officials noted US inflation continues to ease after Wednesday's data, but foresee uncertainty due to anticipated Trump administration policies.

Investors are worried that the potential for tariffs after Donald Trump re-enters the White House next week could stoke inflation and limit the Fed's ability to lower rates to a greater extent.

Non-yielding bullion, a hedge against inflation, loses its appeal with higher interest rates.

Elsewhere, spot silver rose 0.7% to $30.87 per ounce and platinum firmed 0.6% to $944.23, while palladium fell 0.8% to $953.49.