KPMG reported that infrastructure has become a vital agenda in Kuwait's Vision 2035. It is adding to the demand for advancements in national infrastructure due to the country's strong pipeline of infrastructure projects. Kuwait has a robust pipeline of infrastructure projects worth an estimated $27.6 billion in the bidding stage. This is setting a tone of optimism for the sector.
KPMG INFRASTRUCTURE REPORT: ‘THE KUWAIT PERSPECTIVE’
KPMG's infrastructure report titled ‘The Kuwait Perspective’ draws from the global thought leadership publication ‘Emerging Trends in Infrastructure.’ It paints a comprehensive narrative around factors such as sustainability, ESG, mass customization, inflation, supply chain, climate change, globalization, sunk costs, and geopolitics regarding Kuwait's infrastructure sector's future. The report elaborates on the biggest trends in the infrastructure sector.
POSITIVE TONE IN THE INFRASTRUCTURE SECTOR
Despite the slowdown in the awarding and implementation of projects, Imran Shaik, Director for Deal Advisory and Head of Infrastructure Services, at KPMG in Kuwait, stated that the prevalent tone in the sector is positive.
PUSH FOR PUBLIC-PRIVATE PARTNERSHIPS (PPPS)
The report calls for attention to the push for public-private partnerships (PPPs). These partnerships have strong potential for long-term benefits. According to Shaikh, the Kuwait edition of the global report featured interviews with five key personalities from the country’s infrastructure sector. They spoke to members of KPMG in Kuwait in personal capacities to make the publication more insightful.
DRIVING THE AGENDA
Oil and gas companies and financial service-based organizations are driving the agenda as early adopters in Kuwait's commitment to achieving net-zero greenhouse gas emissions by 2060.
MOBILITY-AS-A-SERVICE’S (MAAS) POTENTIAL
The report pointed to mobility-as-a-service’s (MaaS) potential to be cost-competitive with public transport services. They are also more convenient in servicing the last mile of customer journeys. Dr. Dheeraj Bhardwaj emphasized that public transport is an ecosystem. So a single public transport system should exist i.e., MaaS.
DIGITAL TRANSFORMATION
The government has recognized the need for a comprehensive digital transformation. This will help drive better investment timelines, and resource commitments, and attract more capital into the sector.
CONCLUSION
Kuwait’s commitment to infrastructure development has set the tone for growth in the Kuwait real estate market. With a strong pipeline of infrastructure projects, a push for public-private partnerships, and driving the agenda for net-zero greenhouse gas emissions, Kuwait's infrastructure sector's future is positive.
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