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FINANCIAL NEWS
MPs want govt to pay part of Kuwaitis’ debts
28 Jan 2013
(MENAFN) A group of Kuwaiti MPs made a push to the government to pay a portion of the interest on citizens’ personal loans and give a USD3,500 grant to each Kuwaiti without such debts, official news agency KUNA reported.
The proposal from the financial and economic affairs committee, which is made up of members of parliament, would need approval of the wider assembly and the country’s ruler if it is to be passed into law.
The proposal states that the government pays off interest incurred on loans. This applied to the January 2002-April 2008 period, citing committee rapporteur Safa al-Hashem.
MPs had originally proposed a total complete bailout of billions of dollars of household debt. However policymakers stood firmly against it saying the plans were not feasible.
Kuwait’s oil wealth and generous welfare state have helped to shield the country from severe Arab Spring-style unrest, although there have been frequent demonstrations over political participation and other local issues.
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