KUWAIT: Ahmad Al-Haroun, the Minister of Commerce and Industry asserted that the price rise is not a local issue, and that it is connected to the international market conditions, and the situation of supply and demand. Al-Haroun was speaking during a weekly seminar held at the Arab Media Forum hosted by General Secretary Madi Al-Khamis.

Several issues were raised during the seminar. Al-Haroun explained to attendees that the new amendments made to commercial laws like the Kuwait Stock Exchange Authority Law, Chamber of Commerce law updated amendments.

Al-Haroun explained that the price rise issue is an offshoot of international problems and is considered 'seasonal' due to the lack of supply during certain seasons, "This is natural. We are an importing country, we are influenced by the ups and downs of the agricultural seasons worldwide", he explained. Al-Haroun pointed out that Kuwait is one of the countries in the Arab World where food items are sold at subsidized rates. Other Arab countries also suffer from the high price of tomatoes. He predicted that the price of legumes would also shoot up, adding that the government had taken precautionary measures and that the country has enough reserves for at least six months. The minister assured that the government body has been trying to break merchants' monopoly, especially those that have been hiking prices in an artificial manner.

Al-Haroun stressed the importance of issuing new regulations that fit in with the latest world trends as part of HH Amir's vision to transform Kuwait into a financial and commercial hub. He also spoke at length about the new regulations placed in several fields. First, the Kuwait Stock Exchange authority law which is strongly linked to the companies law, then the competition protection law which is being prepared for implementation, in addition to a privatization law which is expected to boost market inflows.

Real estate expert Sulaiman Al-Dejjan and General Manager of Al-Madina Investment Company Khaled Al-Muttawaa also attended the seminar questioned the obstacles and persistent problems that plague the real estate market in Kuwait, including the new companies' law. Al-Haroun explained that the real estate market needs to be completely revamped. The government has been encouraging its institutions and companies to complete real market transaction through 'Makassa' or bidding company' that was established to tackle all the real estate transactions to prevent manipulation and speculation.

Al-Haroun underplayed the so-called problem of the Chamber of Commerce. He accused the media of blowing the issue out of proportion. He, at the same time, pointed out that the new amendments made to the law are legal and any amendment is considered legal, and ready for implementation, after it passes through the legal and bureaucratic channels.

Al-Haroun announced that the Industrial authority executed around 102 industrial projects in Amghara and Sabhan areas, in addition to 1,062 industrial establishments. More studies are being conducted in Al-Naaeim, west to Kuwait City to set up heavy industries.

Finally Al-Haroun described the influence of the global economic crisis on Kuwait as 'normal,' as a player in the international market. He stressed that the country's banks operate safely as they possess collateral against deposits, and most Kuwaitis are civil servants and their purchasing power has not been affected by the financial crisis, especially in terms of deposits made to the private sector that exceeds 24 billion dollars. Al-Haroun drew attention to the fact that the government has been backing up every Kuwaiti by providing a sum of KD 300 KD per month. - Kuwait Times