Tuesday, June 12, 2007

Minister promises 70,000 new housing units by 2014

Housing Minister Abdulwahed Al-Awadhi said yesterday that the ministry plans to construct about 70,000 new housing units for citizens by 2014 in a bid to reduce the waiting period for Kuwaitis to get a government house.
The plan involves the construction of at least three major cities and several other residential areas in a bid to meet increasing demand for houses as the Kuwaiti population rises, Awadhi told the National Assembly during a special debate on housing. The minister said that the number of housing applications had risen to 69,500 by the end of last year and that every year the ministry receives more than 8,000 new applications. The new cities envisaged in the plan include Kheiran, Mutla and Sabah Al-Ahmad which together will provide more than 50,000 housing units, the minister said.
As accelerating the rate of construction would require huge funding, Awadhi said the ministry plans to invite the private sector to contribute and also plans to sell government land in Kuwait City to raise sufficient funds.
MPs agreed during the debate to amend the housing law to raise the capital of the Housing Authority to KD 1.6 billion and the increase will be paid by the finance ministry. The amendment also allows the government to sell state land in an auction to use the returns for building new housing units. Awadhi said that if the plan goes on schedule, the number of waiting applicants will be considerably reduced and that the waiting period will be greatly less than at present which sometimes reaches 15 years.
Under Kuwaiti law, every citizen with a family has the right to a government house against a nominal monthly installment or for a piece of land at a KD 70,000 soft loan to build his own house. During the debate, MPs cast doubt over the government ability to be able to implement the plan, saying that they had in the past heard many such plans which were never implemented. MPs insisted that the main problem for government housing in Kuwait is the fact that the state holds 93 percent of land in the country and refuses to release enough land for housing purposes under different excuses.
Most of the remaining seven percent is held by a group of influential people who do not want the government to provide more lands so the price of land remains very high, MPs said. ?Kuwait is the only state in the world where the government holds 93 percent of the land. It is also the only country where the price of land is as high as New York. You need to be a millionaire to be able to build your own house,? MP Marzouk Al-Ghanim said. ?We must break the government monopoly over land and also the monopoly of a handful of people who want to keep prices high,? he said.
At the end of the debate MPs passed recommendations calling on the Kuwait Oil Company to release within two weeks two huge plots of land in the south of the country for housing purposes. They also passed another recommendation calling on the government to speed up the construction of houses. Published Date: June 13,Kuwait times

Friday, January 26, 2007

Kuwait Islamic banking institutions urged to bolster ties with Japan

Kuwaiti Ambassador to Japan Ghassan Al-Zawawi yesterday spoke highly of Japan's strong interest in Islamic finance stems from various Japanese institutions, while urging Kuwaiti Islamic banking industry to build cooperative ties with Japanese players."I am not much impressed with the level of attendees from the Middle Eastern countries participating in Japan's first major seminar on Islamic finance, particularly Kuwait, a market leader in this industry," Al-Zawawi told Kuwait News Agency.Al-Zawawi made remarks after the two-day international forum, which drew about 300 delegates including policymakers, banking regulators, commercial bankers, investors, economists, researchers as well as Islamic banking practitioners from the Middle East and Asia."I was expecting to see better participation from Kuwaiti financial institutions to take this opportunities gaining leverage on the world's second largest economy," Kuwaiti ambassador emphasized the importance of realising that the Japanese side is keen to entering Islamic finance industry.Japan's first full-fledged seminar on Islamic finance is aimed at facilitating further understanding of the global Islamic banking industry among local financial community, according to the Islamic Financial Services Board (IFSB), co-organiser of the event.It is the first such seminar organised by the IFSB in G8 major countries-Japan, US, Britain, Canada, France, Germany, Italy and Russia. Japan will be the first state among G8 to issue Islamic bond known as Sukuk later this year. Established by Muslim nations, IFSB's membership includes Kuwait Finance House (KFH), Boubyan Bank and nine other Kuwaiti financial institutions.With half of the world's Muslim population living in the Asia-Pacific region, the Japanese Islamic banking market has the potential for long-term growth. Boasting the Asia's biggest bourse and foreign exchange trading centre, for Japan, this is an opportunity to attract funds from oil-producing countries, which have ballooned to some USD 2 trillion.Mohammed Saleem, Treasurer of Kuwait Investment Authority (KIA) told Kuna that he is attending the seminar in order to "give confidence" to Japanese financial institutions by sending a strong message that the Kuwaiti government is supporting this event, which Al-Zawawi took an initiative to realise. "KIA also wants to explore business opportunities here and to share ideas and experiences with Japanese attendees how to convince more institutions to join Islamic banking industry," he added.Asked whether KIA has an interest in issuing Sukuk by Japanese lenders, Saleem did not rule out the possibility. "If it meets KIA's guidelines and policy, we will be happy to be involved in".According to Takeshi Maeda, Director General of the government-backed Japan Bank for International Cooperation (JBIC), JBIC plans to structure Shariah compliant financial products in Asian market with a view to intriguing the petro-dollars to strategic projects and infra structure building in Asia. JBIC set up last May a joint panel with three major Japanese commercial banks, including Bank of Tokyo-Mitsubishi UFJ, the world's biggest bank, to study Islamic financial practices. Wholly funded by the government, JBIC also plans to issue up to $500 million worth of Sukuk in Malaysia later this year, becoming the first Japanese lender to issue bonds managed by rules in accordance with the Quran's teachings.Islamic financing is based on Shari'ah, or Islamic law, which prohibits charging or paying interest. Instead, there are schemes for partnerships in trade in goods and services, direct investment and renting as well as profit sharing. Shari'ah also bans financing businesses related to alcohol, pork, gambling and weapons.With its assets worth more than $300 billion and annual growth exceeding 15 percent, Islamic financial service industry promises great potential, according to the IFSB. - Kuna

Vista centers Microsoft strategy to offer 'connected experiences'

SAN FRANCISCO — When Microsoft says Windows Vista is its most important product announcement in years, it isn't just feeding the hype machine.
The new operating system, to be made available to consumers Tuesday, will register a seismic impact on the software giant's bottom line and underscore Microsoft's future vision of computing for millions of consumers worldwide. Just ask Microsoft Chairman Bill Gates.
"Vista is the biggest thing for us in years," Gates said in a telephone interview. "It is at the core of everything we do."
Vista is the hub of Microsoft's unfolding "connected experiences" strategy, a treatise on how consumer-electronics gadgets — be they TVs, game consoles or music players — connect and their content is delivered to PCs and cellphones. The convergence of digital devices has dominated recent Gates speeches, including his keynote address at the massive Consumer Electronics Show in Las Vegas this month.

Orangutans re-learn monkey business in Indonesia

Kevin is a one-year-old orphan who's taking a walk on the wild side.
The Indonesian orangutan is one of 17 primates who were illegally captured and sold as pets but who are now learning to adjust to living in their natural habitat, thanks to the Sumatran Orangutan Conservation Programme in the North Sumatra province.
"Most of the orangutans in this quarantine are seized from houses. Kevin is the youngest," said programme manager Asril, referring to the recently captured primates.
"We also have a Borneo orangutan. We got him during a raid in Belawan. We estimate his age is 16," he added.
Most rescued animals need regular exercise to strengthen their muscles so they can again swing in the trees of the vast Sumatran forest.
Authorities say the orangutans will spend between six to 12 months in the quarantine center before being released into the Bukit Tiga Puluh National Park in Jambi province.
Many of the country's orangutans have been illegally taken to countries all over Asia and Europe and Indonesia is making continuous efforts to have them returned home.
The primate's population in Indonesia has been decreasing rapidly as their habitat in Borneo and Sumatra has been disrupted by illegal logging, forest fires, poaching of orangutan babies and the illegal pet trade.
In 2002, it was estimated there were around 60,000 orangutans left in the jungles of Borneo and Sumatra islands. Some ecologists say the number has now been halved and others say the species could become extinct in 20 years.

approvals fall of Mortgage

Mortgage approvals fell 11.1 percent in December from a year ago to 45,533, the first annual fall since April, a survey showed on Friday, indicating higher borrowing costs may be dampening demand.
The British Bankers' Association left its figure for underlying net mortgage lending reported last week unrevised at an increase of 5.8 billion pounds, a robust figure but well below the record 6.7 billion pounds' rise recorded in November.
Interest rate futures trimmed losses after the data but investors are still convinced the Bank of England will raise rates by the end of March and might even hike again later in the year, following this month's surprise increase to 5.25 percent.
"The BBA data add to some recent tentative signs that higher interest rates and elevated house prices could be starting to weigh down on housing market activity," said Howard Archer, an economist at Global Insight.
BBA director of statistics David Dooks played down the fall in approvals -- a forward-looking measure of the health of the market -- noting a broader look at the last three months of 2006 showed the housing market remained strong.

"The final quarter of last year, despite seasonally lower activity in December, showed the mortgage market to be stronger than at the same time a year earlier and lending still growing significantly at a time of rising interest rates," he said.
The majority of house market data has depicted strong demand and price increases despite rising borrowing costs. The BoE raised interest rates by a quarter-point this month following similar hikes in August and November last year.
But BBA approvals data has showed signs of weakening since the BoE's monetary tightening cycle began. Approvals rose an annual 20 and 22 percent in May and June respectively last year.

Saturday, December 30, 2006

Kuwaitis rejoice as Saddam's end nears

By Ahmad Al-Khaled
KUWAIT: Kuwaitis' celebrations may be doubled this year with the possible execution of Saddam Hussein on the first day of Eid Al-Adha. Many locals visit the gravesites of their near and dear departed souls on the morning of the first day of the Eid. When asked how a Saddam 'Eid' execution would affect Kuwaitis going about their usual Eid traditions, Abu Khaled said, "We go to the graves of our families to honour them - I will not think about this animal's death during my rituals, but if they execute him today, he will be lucky to die on such a day as Eid, although he does not deserve an 'Eid' death." He added: "They should have executed him years ago - but thanks to God, justice will be served the day he dies." "I will visit ??????????????the my brother's (a martyr) grave as well as the graves of all my departed family members. I will honour and remember them, after which I will enjoy Eid with my family and pray to God for justice," Abu Yusef said. With a majority of Kuwaitis having lost relatives, suffered violence and property loss during Saddam's 1990 invasion and the subsequent occupation of the state, all Kuwaitis old enough to remember have their own opinions of Saddam, although many showed a reluctance to elaborate on their personal experiences during those dark miserable days. Many showed great candour in expressing their opinions on the impending execution of the man who tormented them. "He is an evil man...he invaded us, he slaughtered our people and even killed his own people, he deserves what he gets. I hope they wait until after Eid to give him what he deserves, let him sit and wait for death like so many of his victims did," said Umm Abdullah. "He took from our country the feeling of safety and security we had enjoyed for so long, and with his death there will be a new feeling of calm and security in Kuwait as justice is finally going to be served. This Eid we can be doubly grateful to God. God is great!" said Abu Ali. "Saddam's soldiers killed my brother, but he took from our family more than one life - he killed us all that day but we have survived to see him executed for the crimes he committed against his own people - not for the crimes he committed against us Kuwaitis. But he will pay for those crimes after the execution, for which Almighty God will give justice to us Kuwaitis," said Abu Muhamed.Reminiscing on the occupation, Umm Barrak said: "During this time we thank God for food, water and pray for our families' safety - this year we will thank God for justice served! We know all Kuwaitis will rejoice when they hear the news that he is finally dead." "I remember wondering during the occupation if we would ever be free again...we were forced to shave our beards by Saddam - the Iraqis did not allow us to move freely or even to pray in the mosque. Thanks to God for our freedom and may God give justice to the Kuwaitis for all the crimes he committed on our people," Abu Salah said. "Saddam went unpunished for the crimes against us during his lifetime, let God now decide how he should pay in death," he added.The execution of Saddam at the hands of the Iraqi people would not be a new event in Iraq's modern history. Iraq's King Ghazi I was killed in a mysterious car crash in 1939 shortly after a failed coup. King Faysal II was killed in a coup wherein the entire royal family was massacred in their palace in 1958. Prime Minister of Iraq Abdul-Karem Qassim was killed in 1963 after a faction took over the country in a coup and killed him after a mock trial. One should not be surprised then if Kuwaitis, while worshipping God in the traditional ways of Eid, also rejoice during this Eid and celebrate as justice is finally served with the execution of Saddam - albeit sixteen years too late

Thursday, December 28, 2006

Millions in Makkah for haj

MAKKAH: Around two million Muslims will today begin the annual haj pilgrimage to Makkah amid increased safety measures aimed at preventing stampedes which each year claim scores of lives. The Haj Commission reported that more than 1.6 million people had arrived in the kingdom by Tuesday and more were on their way. Saudis and other Muslims resident in the country are expected to swell the number of the faithful undertaking the haj to some two million - about the same number as last year. The official SPA news agency said Interior Minister Prince Nayef bin Abdul Aziz, who also heads the Haj Supreme Committee, had taken charge of security arrangements and was marshalling security and civil defence forces in the holy city.Nayef warned that security forces would crack down on any attempt to undermine the haj. "We hope nothing will happen" to disrupt the pilgrimage, but "we will act firmly and vigorously" to deal with any risk, he told reporters late Tuesday in Mina near Makkah. "We will not tolerate any activity other than (haj rituals) whatever their nature," the Saudi official added when asked about the risks of sectarian tensions during the pilgrimage. His remarks come against a backdrop of the daily Sunni-Shiite violence in Iraq which has prompted some commentators to express concerns about the risks of a proxy conflict between Sunni-dominated Saudi Arabia and Shiite-majority Iran.Since the 1979 Islamic revolution..... read more kuwait times 28/12/2006