Kuwait revenues drop by half on oil price slide

AFP, KUWAIT CITY: Kuwait said yesterday that its government revenues had dropped by nearly half since April as oil-rich Gulf states suffer from the slump in crude prices.
Kuwait and its Gulf neighbours are having to deal with oil prices that have dropped by more than half in a year to below $50 a barrel, with many forecasting deficits after enjoying huge windfalls from high crude prices over many years.
In the first figures released in its fiscal year that started in April, Kuwait's finance ministry said revenues had dropped 42.5 per cent in the first five months to 7.3 billion dinars ($24.2 billion/21 billion euros).
Oil receipts, which accounted for 94 per cent of total revenues, slid at a similar rate, it said. The OPEC member is projecting a deficit of 7 billion dinars in this fiscal year -- after posting a budget surplus in each of the past 16 years thanks to high oil prices.
Like its Gulf neighbours, Kuwait has built up huge fiscal reserves to help it weather the oil price drop.
The small emirate, which has a native population of just 1.3 million, has reserves worth $592 billion invested overseas, mostly in the United States and Europe.

Kuwait revenues drop by half on oil price slide

AFP, KUWAIT CITY: Kuwait said yesterday that its government revenues had dropped by nearly half since April as oil-rich Gulf states suffer from the slump in crude prices. Kuwait and its Gulf neighbours are having to deal with oil prices that have dropped by more than half in a year to below $50 a barrel, with many forecasting deficits after enjoying huge windfalls from high crude prices over many years. In the first figures released in its fiscal year that started in April, Kuwaits finance ministry said revenues had dropped 42.5 per cent in the first five months to 7.3 billion dinars ($24.2 billion/21 billion euros). Oil receipts, which accounted for 94 per cent of total revenues, slid at a similar rate, it said. The OPEC member is projecting a deficit of 7 billion dinars in this fiscal year -- after posting a budget surplus in each of the past 16 years thanks to high oil prices. Like its Gulf neighbours, Kuwait has built up huge fiscal reserves to help it weather the oil price drop. The small emirate, which has a native population of just 1.3 million, has reserves worth $592 billion invested overseas, mostly in the United States and Europe.