Advisor to the Prime Minister, Mazhar Muhammad Salih, confirmed on Thursday that the delay in approving the budget incurred the country significant losses, while a member of the Finance Committee indicated that the delay in the budget would make the country live in a state of economic stagnation.
“Not approving the budget means delaying the investment of any new projects and relying on spending on current expenditures,” Saleh said in a statement to the official Al-Sabah newspaper.
He added that “any expansion of government spending for development and economic progress has constraints and delays, as the budget delay constrains the financial plan and all the goals that are supposed to be achieved,” noting that “the budget constitutes about 45 of the gross domestic product.”
He continued, “Failure to approve the budget will incur huge losses for the country.”
On his part, Adnan al-Zarfi, a member of the Parliamentary Finance Committee, affirmed that “the lack of approval of the budget causes the suspension of project financing and the disruption of investment expenditures.”
He added, “The delay in the budget will make the country live in a state of economic stagnation and this will be applied to all sectors.”