AGP Executive Report

Strait of Hormuz Pressure on Trade: The US says it has destroyed eight Iranian crude carriers in recent strikes, while Iran retaliates against vessels and US bases—pushing Brent back above $100 and raising shipping risk. Saudi Energy Disruption: Saudi Arabia shut its East-West oil pipeline after drone attacks launched from Iraq, a move that underlines how quickly Gulf supply routes can tighten. Shipping Costs Spike: Maersk introduced emergency freight rates up to $4,800 per container for cargo tied to Hormuz disruption, including Kuwait, Bahrain, Qatar, UAE and Iraq. Regional Talks in Oman: Iran and Gulf states are set to meet in Salalah, Oman, to discuss safe navigation arrangements for Hormuz amid ongoing tensions. Kuwait-Linked Tax Case: An Indian in Kuwait won partial relief from an income tax notice after ITAT Ahmedabad scrutiny of a KD-to-INR remittance trail. Business Signals: Bahrain’s business confidence index rose in Q3 2026, while GCC investment remains a key driver. Kuwait Angle on Mobility: Kuwait is preparing for a unified Gulf tourist visa scheme.

GCC-Iran Shipping Talks: GCC foreign ministers are set to meet Iran’s top diplomat in Oman on Sept 14 to back a temporary arrangement for Strait of Hormuz shipping, though a full reopening still hinges on US-Iran agreement. Oil Market Watch: Kuwait’s crude price slipped $1.45 to $116.65/bbl, while Brent and WTI rose on renewed US-Iran tensions. Kuwait Security Case: A Kuwaiti man was sentenced to five years for insulting the Amir and for financing ISIS and promoting its ideology via social media. Regional Energy Pressure: Iran says it seized an advanced US undersea drone, underscoring the escalating maritime contest around Hormuz. Business & Finance: Kuwait’s PIFSS-linked Swiss bribery and money-laundering case again spotlights pension-asset governance risks. Tech & Consumer: Apple’s iPhone 18 Pro goes eSIM-only in Kuwait and other markets, changing how residents activate devices. Education Exchange: PAAET sends a student delegation to China for technology and innovation exposure.

GCC UN push: Bahrain’s UN ambassador, speaking for the GCC, condemned Houthi attacks on Saudi Arabia and warned the rebels’ seizure of Yemen’s Red Sea port city of Mokha threatens regional security and shipping. Kuwait security case: A Kuwaiti man was sentenced to five years for insulting the Amir and for financing and promoting ISIS, including alleged explosive-related training. Kuwait–Senegal ties: Kuwait’s Finance Minister met Senegal’s attaché to discuss development and investment cooperation. Education for tech: PAAET students will travel to China to visit tech and innovation sites, including Huawei and BYD, as part of applied training links. Oil shock watch: Brent extended gains toward $102 as US-Iran hostilities raise fears of longer supply disruption; Hormuz traffic remains below normal. Shipping costs rise: Maersk introduced emergency freight surcharges for upper Gulf routes and extra charges for Strait of Hormuz transits amid security risks. Gulf markets cautious: Most Gulf bourses closed lower as investors priced in disruption risk from the US-Iran maritime escalation and Houthi attacks. Kuwait corruption spotlight: A Swiss bribery and money-laundering case tied to Kuwaiti pension assets again raised questions about who else was involved. Retail expansion: Primark confirmed its first Saudi store will open in March 2027 with Alshaya at Riyadh’s The Avenues Mall. AI risk warning: BIS chief warned that AI spending is large enough to complicate monetary policy and create new financial stability risks.

GCC Tourism Push: Kuwait is set to benefit from a unified Gulf tourist visa, with the scheme expected to boost regional visitor flows and help diversify economies beyond oil. Oil & Shipping Shock: Brent crude surged above $100 as US-Iran tensions escalated, with tankers and warships targeted and Hormuz disruption risks feeding into higher energy and inflation expectations. Kuwait Security Response: Kuwait’s Cabinet condemned Iranian missile/drone attacks on Kuwait and Houthi strikes on Saudi cities, warning of dangerous escalation and reaffirming Kuwait’s right to self-defence. Energy Infrastructure Contract: Heisco won a KD111.05m ($359m) EPC contract for Kuwait Oil’s Jurassic Light Oil export tanks, with delivery planned within 42 months. Public Tenders Overhaul: Cabinet approved draft amendments to Kuwait’s public tenders law to simplify procedures and improve speed, transparency and fairness. Tech & Space Data: Kuwait Innovation Center partnered with Lonestar on space-based data storage, aiming to expand Kuwait’s tech and investment role across the region. Business & Finance: Kuwait International Bank priced a $500m senior sukuk debut, while Kuwait’s banking sector study highlighted how banks can back “New Kuwait 2035” via SMEs, digital finance and non-oil projects.

GCC Integration & Tourism: The GCC is edging toward a unified tourist visa that would let foreign visitors travel across all six member states on one permit, with the secretary-general saying it will “see the light soon,” a move expected to boost regional tourism and investment. Energy & Trade Security: Kuwait is backing OPEC+’s output hold for October at 2.67 million bpd, while Kuwait Petroleum Corp says it’s preparing for long disruption risks around the Strait of Hormuz and is looking to buy more ships to better control supply flows. Regional Security: Kuwait’s Cabinet condemned repeated Iranian missile and drone attacks, calling them violations of sovereignty and UN rules, and also backed international moves to restrict trade tied to illegal Israeli settlements. Public Sector & Business Climate: The Cabinet approved draft amendments to Kuwait’s public tenders law to speed up procedures and improve transparency and flexibility. Tech & Partnerships: Kuwait Innovation Center signed a space-based data storage partnership with Lonestar, aiming to turn Kuwait into a regional tech and investment launchpad. Finance & Banking: NBK announced winners of its Al-Jawhara and Al-Jawhara Junior prize draws, including a KD 1m top prize winner. Diplomacy: Kuwait welcomed the start of the 8th India-Kuwait Foreign Office consultations, covering cooperation across energy, trade, investment, defense and security.

Gulf Energy Shock: Brent pushed past US$100 a barrel as US-Iran tit-for-tat escalated, with Washington saying it destroyed five Iranian oil tankers and Tehran retaliating with missile strikes on US-linked targets in Jordan and threats to tankers off Kuwait and Bahrain—raising fresh supply and inflation worries. Maritime Insurance & Shipping Costs: Risk insurance for oil tanker transit surged to record levels, adding cost pressure for regional trade as attacks keep the Strait of Hormuz and wider shipping lanes under strain. Kuwait Petroleum Operations: Kuwait Petroleum Corp said it is offering ship-to-ship transfers outside the Strait of Hormuz when safe, aiming to keep exports moving despite the conflict. Labour Protection: Kuwait’s Public Authority for Manpower reported enforcement of a midday work ban at exposed sites during peak heat, flagging 155 companies and 415 workers in violations during inspections. Regional Integration & Tourism: GCC leaders are moving toward a unified tourist visa (“GCC Grand Tours”) to let visitors travel across Saudi Arabia, UAE, Qatar, Kuwait, Bahrain and Oman under one permit. Business & Finance in Kuwait: Jazeera Airways launched direct Kuwait–Addis Ababa flights, while Kuwait and Cuba began talks on a double taxation agreement. GCC Oversight Cooperation: GCC supreme audit bodies met in Bahrain to deepen joint oversight, training and research in auditing and accounting.

Middle East Energy Security: The US destroyed five Iranian crude tankers tied to the IRGC after Iran attempted to hit a US Navy warship with ballistic missiles; Iran warned it would target tankers near Kuwaiti and Bahraini ports, keeping the Strait of Hormuz risk front and center for regional trade. Kuwait Legal & Public Safety: Kuwait’s Criminal Investigation Department arrested a Syrian national wanted over KD 500,000 in financial claims in Hawally. Social Development: IICO concluded a three-month mental health support project for people with disabilities in Kuwait, backed by PAMA with KD 114,286, reaching about 200 beneficiaries. Housing & Construction: Kuwait hosted the Housing and Urban Development Forum 2026 alongside the Baiti Building Exhibition, with talks on new residential cities and private-sector roles. Education & Compliance: The Education Ministry requires students to get financial clearance before schools issue certificates or process transfers, while the Social Affairs ministry introduced a written exam for promotion of cooperative oversight staff. Business & Finance: KPMG Kuwait promoted Essam Ahmed to Partner to lead Accounting Advisory Services; Zain Group’s MSCI ESG rating rose to AA, making it Kuwait’s top-rated company in the telecom sector. Media Capacity: The KUNA Center wrapped up training on economic news and data editing for KUNA, KDIPA and KPC staff.

Kuwait Trade Enforcement: Kuwait’s Commercial Control Department sealed a Capital Governorate warehouse over 588 prohibited items, citing violations of public order and Islamic Sharia rules, and referred the case to the Commercial Prosecution. Gulf Security & Diplomacy: Kuwait condemned Houthi attacks on civilian and economic sites in southern Saudi Arabia and backed Saudi measures, while the GCC also issued a united condemnation. US Posture in the Region: US officials are weighing a permanent reduction in military and intelligence presence in West Asia if the Iran conflict ends, after repeated attacks exposed vulnerabilities in US infrastructure. Oil & Shipping Watch: Kuwait Petroleum Corp said it is seeking more ships and is using ship-to-ship transfers and alternative routing as crude exports recover despite Strait of Hormuz risks. Regional Energy Shock: Renewed US-Iran tensions and Houthi strikes on Saudi energy facilities pushed oil higher, with Brent hovering below $100 as Hormuz traffic thins. Saudi Investment Push Near Kuwait: Saudi PIF launched the Gulf Coast Development Company to build a tourism-residential project in Al-Khafji with 16,000 homes and 1,400 hotel rooms. Local Business & Skills: PAAET said it is aligning education and training outcomes with labor-market needs, including cooperation with Customs on programs tied to airport, railway and Shuwaikh Port projects. Travel Demand: Wego reported Kuwait travellers shifting to shorter September getaways, with searches for 4 nights or fewer up 40% vs August.

Kuwait Education Overhaul: The Ministry of Education dismissed 7,019 teachers, targeting surplus roles after a study found 33,268 surplus teachers out of 91,761, aiming to save at least KD 42m this fiscal year. Air Quality Push: The Kuwaiti Society for Earth Sciences urged coordinated national and regional action to cut air pollution on International Day of Clean Air for Blue Skies, warning dust and sandstorms are worsening with rising temperatures and reduced vegetation. Digital & Telecom Growth: NBK launched the third cohort of its NBK Tech Academy to train young Kuwaitis in areas like fintech, data analytics, AI and cybersecurity, while Zain Kuwait hit a milestone on 5G-Advanced with six-carrier aggregation verification and peak downlink speeds of 3Gbps. Investment & Business Expansion: Kuwait Direct Investment Promotion Authority reaffirmed its push to engage global investors at Dubai’s AIM Investment Summit, and Kuwaiti edtech Dawraty raised a $2m seed round to lift its valuation to about $10m as it expands medical education across the region. Energy & Consumer Impact: Kuwait’s LPG refill booking interval was cut to a uniform 25 days for domestic consumers after earlier demand-management measures. Regional Geopolitics on Markets: Escalating US-Iran shipping tensions kept Gulf equities mixed, with investors watching Strait of Hormuz disruptions and retaliation risks. Security Case: Kuwait police arrested a Jordanian suspect accused of defrauding three Kuwaitis of about KD 25,000 through alleged “global stock market” investment promises.

Kuwait in Regional Deal-Making: Kuwait’s Finance Minister Dr. Yaqoub Al-Refaei represented the country at the 15th AIM Investment Summit 2026 in Dubai, signaling continued push for cross-border investment ties. GCC Corporate Earnings: GCC-listed firms posted record $74.8bn net profits in Q2 2026 (+31.3% y/y), led by Saudi Arabia, with Kuwait among markets seeing strong growth. Kuwait Startup Funding: Dawraty, a Kuwait-based edtech using AI for institutional learning, raised a $2m seed round from Qatar Development Bank, valuing it at $10m. Fintech & Capital Markets in Bahrain: KFH-Bahrain joined Fintech Forward 2026 as a Diamond Sponsor, while BBK signed on as Strategic Sponsor for “The Market 2.0” conference in December. Energy & Shipping Risk: Oil prices climbed as US-Iran tensions intensified around the Strait of Hormuz; OPEC+ kept October output increases on hold. Kuwait Policy & Governance: Kuwait began personal interviews for supervisory roles in the cooperative sector, while the Court of Cassation upheld convictions tied to broadcasting false news on social media. Local Business & Infrastructure: NBK visited Al-Nuwaiseeb border to assess rehabilitation needs for land borders, supporting government upgrades.

OPEC+ Oil Policy: OPEC+ kept October oil output unchanged after pausing recent increases, with Kuwait among the core producers; the cartel said it will keep monthly reviews and meet again on Oct. 4 as Strait of Hormuz disruption continues to cloud supply. US-Iran Tensions: US Energy Secretary Chris Wright said a nuclear deal with Iran “may not” happen soon, while the US and Iran trade strikes tied to Hormuz shipping risks, keeping geopolitical pressure on energy and markets. Kuwait Legal & Governance: Kuwait’s Cassation Court rejected a “false news” defense for former MPs and others accused of spreading malicious rumors on social media, while the Ministry of Social Affairs began interviews for 200 Kuwaitis to fill supervisory roles in the cooperative sector. Residency Rules: Kuwait introduced new residency status for people whose citizenship was withdrawn, allowing them to remain under Article 7 bis without restoring citizenship. Local Economy & Finance: Kuwait property investment deals hit $1.5bn in H1 2026, and Kuwait International Bank reported investment-property activity leading real estate momentum. Business & Community: NBK visited Al-Nuwaiseeb border to review development needs; KUNA launched advanced training for news editing and economic data work; and an elderly care center highlighted community programs to tackle isolation. Regional Health: Kuwait’s health minister joined GCC talks in Bahrain focused on health preparedness and coordination amid regional security concerns. Gold & Markets: Gold posted a second straight weekly loss to about $4,430 as stronger US jobs data lifted rate-hike expectations. Event Watch: Qatar’s Katara S’hail 2026 hunting and falconry exhibition opens Tuesday with Kuwait among 14 participating countries.

Kuwait Labour Compliance: PAM urged workers to use the Labour Complaint Service for rights disputes (wages, contracts, termination, leave) and the Report Me Service for observed labour-law violations under PAM oversight, stressing confidentiality for reporters. Kuwait Fraud Crackdown: Kuwait’s CID arrested an Egyptian expatriate over alleged forgery and fraudulent facilitation of official transactions, including a forged salary certificate, as investigations continue. Kuwait Finance & Banking: Burgan Bank launched a rights issue of up to KD50m to strengthen capital and fund growth and digital transformation; NBK highlighted its NBK Aura Cards partnership with Alshaya and its top ranking among Kuwaiti banks in The Banker’s Top 100 Arab Banks 2026. Public Finance Policy: Kuwait approved a decree-law enabling regulated borrowing from the Future Generations Fund, with experts calling it a feasible way to manage deficits while warning against over-reliance. Regional Energy Shock: US-Iran tanker clashes around the Strait of Hormuz escalated after Washington said it destroyed three Iranian oil tankers, while OPEC+ signalled it will keep October output policy steady as Hormuz disruption clouds 2027 quota talks. Kuwait’s Iranian Community Under Pressure: Reports say Kuwait’s Iranian residents face heightened strain as the war spills into daily life, including business name changes and security concerns.

Kuwait Crime & Fraud: Kuwait authorities arrested an Egyptian expatriate in Al Farwaniya over alleged forgery of salary certificates and illegal facilitation of official transactions, after investigators tracked a social media offer and caught him red-handed. Investment Scams: Kuwait’s Criminal Investigation Department also arrested a Bedoun suspect and issued an arrest warrant for a Kuwaiti citizen accused of defrauding about 15 people of nearly KD 200,000 via a scheme promising 20% monthly returns, with payments later drying up. AI & Work: A Kuwait-based consultant said AI is more likely to reshape jobs than wipe out whole professions, warning firms that “adding AI” without redesigning processes can backfire. Charity Governance: The Social Affairs minister said Kuwait’s charitable work is a national legacy and backed a draft decree-law to strengthen regulation and oversight of charitable and cooperative sectors. Public Finance: Government approval of regulated borrowing from the Future Generations Fund drew expert support, with calls for restraint to avoid weakening the fund’s long-term solvency. Banking Moves: Burgan Bank launched a rights issue of up to KD 50m to strengthen capital and fund digital transformation; NBK rolled out Aura cards with Alshaya and highlighted its top ranking among Kuwaiti banks in The Banker’s Top Arab Banks 2026. Regional Energy Shock: Iran-US clashes intensified around the Strait of Hormuz, with Kuwait reporting Iranian missile/drone attacks and the US saying it destroyed three Iranian oil tankers—raising fresh shipping and oil-market concerns. Trade Links: KCCI pushed to deepen Kuwait-Lesotho trade and investment ties, including sector opportunities in mining, precious stones, and textiles.

Kuwait Security: Kuwait’s Ministry of Interior says it has busted a diesel theft ring, arresting 41 suspects and seizing 38 vehicles after drivers allegedly siphoned fuel from government and private fleets for resale. Kuwait Finance: Kuwait International Bank priced its inaugural $500m senior unsecured sukuk (5-year) under a $1.5bn programme, with a 5.5% profit rate and a 2.4x oversubscribed orderbook. Regional Energy & Risk: Iran’s attacks on Gulf states intensified, with reports of missile/drone strikes reaching Kuwait and air defences intercepting incoming threats, raising fresh concerns for shipping and oil flows. US-Iran Standoff: US VP JD Vance again avoided calling the conflict a “war,” while US officials warn Iran is targeting commercial shipping in the Strait of Hormuz. GCC Credit Outlook: Fitch affirmed Qatar’s “AA” rating and expects LNG exports to return toward pre-war levels, though the outlook remains negative. GCC Investment Pressure: Analysis says Gulf economies are recalibrating foreign investment as the war drains revenues, with Kuwait reportedly tapping its Future Generations Fund for state financing. EU-GCC Diplomacy: EU leaders will meet GCC counterparts in Saudi Arabia on Oct. 24 for the second EU-GCC summit, aiming to deepen trade and cooperation.

Kuwait Energy & Security: Kuwait’s Ministry of Interior dismantled a diesel theft network, arresting 41 suspects and seizing 38 vehicles after drivers allegedly siphoned fuel from government and private fleets, stored it in tankers in Amghara, and sold it to projects. Regional Diplomacy: EU and GCC leaders will meet in Saudi Arabia for the second EU-GCC Summit on Oct. 24, with EU officials including António Costa and Ursula von der Leyen, as trade and cooperation deepen. Sustainability & Education: GORD signed an MoU with Korea’s HUSS Environmental Consortium to integrate sustainability education modules into university curricula and expand climate and carbon-market training. Business & Trade: Kuwait Gulf Oil Company launched an international tender for an Al-Zour gas processing EPC tied to the Dorra/Arash offshore gas development, with bids expected before year-end and an award early next year. International Markets Impacting Kuwait: Oil prices stayed volatile as renewed US-Iran exchanges kept Strait of Hormuz risk elevated, supporting a sharp weekly rise in crude and pushing diesel costs higher.

Kuwait Health Crackdown: Kuwait’s Ministry of Health shut four private clinics after inspections found licensing and authorization breaches, including cases where facilities were being operated or invested in by unauthorized parties. Middle East Risk to Energy: Iran’s missile and drone attacks hit Kuwait amid renewed US-Iran escalation, keeping oil prices elevated and Strait of Hormuz traffic below pre-war levels. US-Iran Policy Signals: US VP JD Vance said the conflict isn’t a “war” and that Washington is using economic, military, diplomatic and covert tools while insisting on protecting commercial shipping. GCC AI Push: A BCG report says GCC frontline AI use is surging, with 93% of frontline employees using AI weekly, alongside reported productivity gains. Consulting Leadership: McKinsey appointed Tarek El Sayed as Managing Partner for the Middle East, overseeing teams across key Gulf and regional offices including Kuwait City. Business Appointments: Yum! Brands named Moksh Chopra to lead Taco Bell in India, Sri Lanka and Kuwait from Sept 7, after his KFC India success. Markets Watch: Global stocks traded mixed after Wall Street’s tech-led rally, while investors awaited the US jobs report.