Kuwait’s $508b oil spending plan gets banks’ attention

Dubai: Kuwait’s $508 billion (Dh1.86 trillion) energy spending plan and the prospect for juicy profits from financing it is grabbing the attention of some of the nation’s banks.

With Brent crude near $70 a barrel, oil companies are looking to spend to boost production and build refineries after cutting back since oil began plunging in June 2014. Kuwait, Opec’s fifth-biggest crude producer, plans to invest $114 billion on capital projects over the next five years and another $394 billion by 2040, Kuwait Petroleum Corp. Chief Executive Officer Nizar Al Adsani said this week. The nation’s lenders are focused on financing those projects, Shaheen Hamad Al Ganem, CEO of Kuwait’s Warba Bank, said in an interview with CNBC Arabia televised on Thursday.