AGP Executive Report

KPC Dealmaking: Kuwait Petroleum Corporation is asking some bidders for a $7bn stake in its oil pipeline network to form consortiums, aiming to consolidate offers and bring in investors with existing relationships, with Blackstone among the bidders, Reuters reports. Oil Retail Upgrade: Kuwait’s first Q8-branded fuel station opened in Riqqa, part of a five-station rollout, as KPC pushes downstream modernization and brand integration. Oil Sector Restructuring: Kuwait’s KIPIC-KNPC merger has been completed, with the oil minister calling it a milestone to boost integration, efficiency and sustainability under KPC’s 2040 strategy. Public Spending & Governance: The State Audit Bureau launched a four-year integrity and transparency program to improve financial governance across government entities. Infrastructure Planning: The PM chaired talks on developing infrastructure and classifying state-owned land to improve efficiency in land management. Energy Tender: Kuwait’s Electricity and Water ministry received CAPT approval to float a nationwide LED streetlight tender (Phase Two), with bids due July 28. Kuwaitization Push: The Social Affairs ministry will open registration Aug 1 for 45 supervisory roles in cooperative societies via the “Our Pride” platform. Regional Business: Zain won a 25-year Syria mobile licence after a $747m bid, targeting commercial launch in Q1 2027. Court Ruling: Kuwait’s Court of Appeal upheld a requirement for a Gulf resident to register his marriage and pay KD35,000 dowry. Diplomacy & Security: Iraq’s PM met the GCC secretary-general in Baghdad to discuss repairing Gulf ties strained by the Iran war.

Oil & Retail Modernisation: Kuwait’s first Q8-branded fuel station opened in Riqqa, inaugurated by the Prime Minister, as KPC positions the rollout as a new phase of oil-sector restructuring and higher-end consumer services, with local retail partners expanding 24-hour convenience offerings. Oil Sector Restructuring: KIPIC’s merger with KNPC was completed, with the Oil Minister calling it a major milestone to boost integration, efficiency and resilience across Kuwait’s upstream-to-marketing chain. Banking & Energy Partnerships: NBK took part in the KIPIC-KNPC merger ceremony and highlighted its role in financing key energy projects, while Gulf Bank won MEED’s “Best Loyalty and Rewards Program” for its Gulf Points credit-card rewards. Telecom Expansion: Zain won a 25-year Syria mobile licence after a $747m bid, targeting a Q1 2027 commercial launch and pledging over $800m in network upgrades. National Governance & Jobs: The State Audit Bureau launched a four-year integrity and transparency program for government financial performance; meanwhile, Social Affairs will open Aug 1 registration for Kuwaitization supervisory roles in cooperative societies. Infrastructure & Risk Management: AMAN held talks with New Zealand’s emergency agency to build Kuwait’s national crisis and disaster management framework. Local Enforcement: Kuwait Municipality warned it will remove illegal movable fences and portable structures from state land. Regional Markets Watch: Kuwait’s All Share Index fell 1.2% in June, while UAE markets outperformed GCC peers. Business & Trade Links: Commerce Ministry met Azerbaijan’s envoy to discuss expanding trade, logistics, food security and supply-chain resilience.

Kuwait-China Infrastructure: China’s ambassador Yang Xin said Kuwait’s Mubarak Al-Kabeer Port on Bubiyan has moved into the implementation phase, after earlier damage during the Iran war; he added that new contracts for strategic projects are expected soon, alongside wastewater, housing and energy initiatives. Oil & Energy Tech: SLB won a seven-year Kuwait Oil Company (KOC) contract to evaluate and deploy advanced technologies and set up a dedicated facility in Ahmadi Innovation Valley, with work spanning AI, industrial connectivity, production optimisation, reservoir tech and water management. Kuwait Finance: VPBank signed a $1.44bn sustainability-linked loan (up from $1.2bn) with a three-year tenor, with pricing tied to annual targets for expanding green and social lending; SMBC acted as coordinator and facility agent. Regional Shipping/Geopolitics: Iran refused to meet US envoys in Doha and insisted the ceasefire terms must be settled first, while Qatar said the US side would meet mediators; the standoff is keeping Strait of Hormuz reopening and oil-price sentiment in focus. Business & Trade: Maritimo appointed KJM Marine as its exclusive dealer across the GCC and parts of the Middle East and Indian Ocean, expanding luxury yacht sales and after-sales support. Global Markets Watch: Primark’s Q3 update showed new stores supporting growth, but like-for-like sales fell 2.2% amid a tough consumer backdrop.

Telecom Expansion: Zain Group has secured a 25-year (20+5) license to operate a mobile network in Syria after a competitive tender, winning a $747m bid; Zain will hold 75% with a Syrian government entity holding 25%, with commercial launch targeted for Q1 2027 after a six-month transition. Energy & Costs: Kuwait’s KNPC set new fuel prices effective July 1–Sept 30: Premium 91 at 85 fils/litre, Super 95 at 105 fils, diesel/kerosene at 115 fils, and Ultra 98 rising to 275 fils (from 225). Oil Market: Kuwait crude rose $2.51 to $79.85 per barrel, while Brent and WTI also edged higher. Air Defence Upgrade: KONGSBERG will deliver NASAMS to Kuwait via Raytheon under a roughly $400m programme, adding a medium-range layer to defend cities, bases and energy infrastructure. Health Enforcement: Kuwait’s Ministry of Health ordered closure of seven private facilities and referred a medical center to the Medical Liability Authority after violations, including unlicensed practice. Digital Finance Growth: Shufti is powering faster onboarding for AZ eWallet in Kuwait, supporting automated identity checks and fraud prevention as registrations scale. Public Sector Finance: Kuwait’s Ministry of Finance is reported to be pursuing a $4.25bn three-year term loan via KIA. Regional Risk Watch: US-Iran talks in Doha face uncertainty, with Qatar saying envoys will hold technical discussions rather than a high-level meeting, keeping Strait of Hormuz volatility in focus. Kuwait-China Ties: Kuwait and China reaffirmed cooperation momentum, including science and innovation links tied to Kuwait Vision 2035.

US-Iran Doha talks in doubt: Iran says no negotiations are scheduled in Doha this week even as Trump signals a Tuesday meeting, underscoring how fragile the June 17 Hormuz ceasefire remains after renewed strikes. Hormuz and oil pricing: With Strait traffic starting to recover, crude fears are easing, but analysts warn the market could swing from shortage concerns to a glut as supply ramps up. Kuwait energy and infrastructure: Kuwait Oil Company bids for three power projects worth KD132.28m ($427m) have a lowest bidder in MECC, supporting electrical upgrades for oilfield operations. KPC governance update: Kuwait’s amended KPC establishment decree-law takes effect, described as a “qualitative leap” to modernize oil-sector governance and improve efficiency. Legislative modernization: Kuwait launches the third phase of its legislative modernization plan, targeting review and updating of 400 laws by Dec 2027. Private healthcare crackdown: Kuwait’s MoH orders closure of seven private facilities and refers one medical center for major violations. Finance sector growth: GCC assets under management hit $2.7tn in 2025 (+10%), with Kuwait among the leading retail markets. World Bank climate shift: The World Bank will retire its 45% climate co-benefits lending goal, extending its climate plan while refocusing on lending outcomes.

US-Iran Diplomacy: Trump says US envoys Steve Witkoff and Jared Kushner will meet Iran in Doha Tuesday, but Iran denies technical talks are scheduled, keeping the fate of the fragile ceasefire unclear. Strait of Hormuz Impact: Both sides agreed to pause attacks and allow shipping to resume, yet Iran warns ships against bypassing its preferred corridor and Qatar reportedly halted much maritime activity as traffic recovery stalls. Oil & Markets: Hormuz uncertainty pushed crude higher at times, while Gulf stocks stayed mixed as investors weighed renewed risk against easing supply fears. Kuwait Energy & Projects: Kuwait Oil Company received bids for three power infrastructure packages worth KD132.28m ($427m), with MECC the lowest bidder, supporting KOC’s field development and industrial operations. Kuwait Governance & Business Climate: Kuwait launched a third phase of its legislative modernization plan to review 400 laws and add about 150 new ones by Dec 2027, aiming to improve the business environment and justice efficiency. Private Sector Oversight: Kuwait’s Health Ministry ordered closure of seven private healthcare facilities and referred one medical center to the Medical Liability Authority over serious licensing and practice violations. Labour Rules: Kuwait allows foreign workers to switch employers early in specific cases tied to salary, residency, and contract breaches. Regional Finance: GCC asset management hit $2.7tn in 2025 (+10%), with Kuwait among key players in retail growth.

US-Iran Ceasefire Watch: The US and Iran agreed to halt further strikes around the Strait of Hormuz and keep technical talks moving, with vessels allowed to move freely while negotiations shift to Qatar for talks expected Tuesday—though Iran also warned it could halt diplomacy if US strikes continue. Kuwait in the Crosshairs: Iran’s drone and missile attacks hit Bahrain and Kuwait after US airstrikes, with Kuwait reporting missile/drone interceptions and no injuries, keeping regional security and shipping risk front and center. Oil & Markets: Brent and WTI rose after the pause, but prices remain sensitive to any renewed escalation as Hormuz reopening stays fragile. Kuwait-Ukraine Defense Deal: Kuwait’s Parliament approved Law No. 66/2026 ratifying a military cooperation and defense industry development agreement with Ukraine. Water Infrastructure: Kuwait signed a KD 74.703m ($244m) contract to expand the Shuwaikh Water Distribution Complex, boosting fresh water storage and pumping capacity. GCC Finance: GCC asset management hit $2.7tn in 2025 (+10%), with Kuwait among key contributors, while sovereign wealth funds continue to grow globally.

Geopolitics & Shipping: Iran launched drone and missile strikes on US bases in Kuwait and Bahrain, while the US hit back after attacks on shipping near the Strait of Hormuz—raising fears the interim US-Iran ceasefire is slipping. Iran’s foreign minister said Tehran alone will manage Hormuz within 30 days, rejecting any US role, as Kuwait reported intercepting two ballistic missiles with no casualties. Diplomatic Pressure: Pakistan urged all sides to stick to the ceasefire after renewed US-Iran exchanges, while Italy and Britain condemned the attacks and called for restraint and freedom of navigation. Kuwait Policy & Institutions: Kuwait signed an MoU between KIZAD and the Financial Intelligence Unit to boost legal training and cooperation. The Cabinet also approved merging youth and sport authorities into one “General Authority for Youth and Sport.” Business & Finance: National Investments Company won three international awards, and NBK Wealth was named Kuwait’s Best for UHNW clients by Euromoney. Economy & Markets: Inflation and global uncertainty cloud the outlook as markets weigh the next steps in the Hormuz dispute. Local Economy/Industry: Mohamed Naser Al Sayer & Sons and Toyota launched the all-new RAV4 in Kuwait. Humanitarian & Society: UNHCR marked World Refugee Day in Kuwait with Zain, as Kuwait reaffirmed support amid a global funding shortfall.

Gulf Security & Energy Risk: Kuwait and Bahrain said Iran launched drones and missiles overnight after fresh US airstrikes on Iranian targets, with Kuwait reporting interceptions of two ballistic missiles and no casualties, while Bahrain said a residential building near the airport was damaged; the exchange further strains a US-Iran interim ceasefire and raises uncertainty around Strait of Hormuz shipping as both sides accuse each other of violations. Markets & Capital Markets: Boursa Kuwait moved closer to wider SME access by announcing the Emerging Companies Market (ECM) is ready to launch and will start accepting listing applications after technical tests, supported by upgrades to clearing and settlement infrastructure. Shipping & Compliance: Kuwait’s Directorate General of Shipping withdrew an earlier advisory restricting Indian ship movements in the Gulf/Strait of Hormuz, allowing operations and deployment of Indian seafarers to continue under coastal-state security protocols, while urging heightened caution. Investor Sentiment: Macquarie withdrew from bidding for a Kuwait oil pipeline stake worth up to $7bn, citing conflict-driven uncertainty and the war’s impact on Gulf oil exports. Regional Outlook: Rystad forecast Middle East oil supply should be fully restored by end-2026, with the UAE and Saudi Arabia leading the recovery as export routes and capacity shift toward alternatives like Fujairah.

Kuwait Business & Markets: NBK has rolled out 24/7 digital safety deposit boxes, letting customers access valuables via an automated system in a private room, with fire-resistant protection and added privacy. Public Procurement & Infrastructure: Kuwait’s Central Agency for Public Tenders opened bids for two highway sand-removal contracts (north and south) under the Ministry of Public Works, with 19 companies competing and recommendations due within 30 days. Labor & Private-Sector Skills: The Public Authority for Manpower said new work-hour rules will start in November, while its summer student training program is set to run July 1 to end-August, with 1,711 training slots offered by 79 entities and 1,533 accepted applicants. Diplomacy & Regional Cooperation: Kuwait reaffirmed solidarity with Bahrain after Iran’s drone attack, while Kuwait also highlighted its multilateral approach at the 19th Dubrovnik Forum, focusing on energy security, maritime safety and trade. Finance & Investor Relations: Boursa Kuwait held a market outlook event with MEIRA, stressing clear disclosure and investor communication amid regional volatility. Sports Business Model: Qadsia handball could shift to an independent commercial setup under businessman Fahad Al-Baker, following board moves that disbanded the senior team. Humanitarian Footprint: Kuwaiti charities expanded global education and water projects, earning international recognition for development work. Geopolitics Impacting Trade: Shipping traffic through the Strait of Hormuz remained light as Bahrain accused Iran of drone targeting, with Kuwait and other GCC states condemning the attack.

GCC-US Diplomacy & Hormuz: US Secretary of State Marco Rubio wrapped a Gulf tour after the June 17 US-Iran interim MoU, telling Kuwait and Bahrain that navigation through the Strait of Hormuz must be “free, unconditional, and unrestricted,” with GCC states rejecting any tolls or attempts to control the waterway; GCC ministers also said any economic engagement with Iran must be conditional and reversible, while Iran hit back calling the stance “interventionist” and “provocative.” Retaliation & Shipping Risk: The US carried out retaliatory strikes on Iranian missile/drone storage and coastal radar sites after Tehran attacked a cargo ship in the Strait of Hormuz, as Trump accused Iran of a “foolish violation” of the ceasefire; despite traffic resuming, a UN-backed “safe corridor” was still hit, underscoring enforcement gaps. Oil Markets for Kuwait: With Hormuz traffic picking up and Saudi Aramco restarting Ras Tanura loadings after nearly four months, crude prices slid toward $69 and Kuwait’s crude price fell to $76.81/bbl; analysts flagged a shift from shortage fears to potential surplus as exports recover. Kuwait Security: Kuwait’s Drug Control and Customs authorities arrested a Bangladeshi expatriate in Jleeb Al-Shuyoukh over a narcotics shipment, seizing 80 chemical-saturated sheets plus 7 more at his residence, with investigations pointing to instructions from abroad. Kuwait Legal System (State Security): A local legal commentary highlighted confusion around State Security court outcomes, stressing that cases not ending in prison do not always mean a true acquittal, with further hearings scheduled into early July.

US-Gulf diplomacy: Secretary of State Marco Rubio wrapped up a Kuwait-UAE-Bahrain tour insisting US-Iran talks won’t undermine Gulf security, while GCC ministers pressed for “free, unconditional, and unrestricted” Strait of Hormuz navigation with no tolls or fees. Hormuz risk and enforcement: A cargo ship was reportedly hit on a UN-backed “safe corridor” even as traffic tried to resume, underlining how fragile shipping guarantees remain. Iran-US tensions: Trump accused Iran of “foolish” ceasefire violations after drone attacks on ships in the strait, while Iran rejected the GCC-US line as “interventionist” and urged a Middle East nuclear-weapon-free zone. US military posture: Reports say Washington is considering relocating parts of its West Asia bases away from Iran exposure after damage to the Fifth Fleet hub in Bahrain. Kuwait security: Kuwait’s drug and customs authorities arrested a Bangladeshi suspect over a narcotics shipment of chemical-saturated papers, seizing 80 sheets plus 7 more at his residence. Energy markets: KPC said Kuwait crude fell $4.15 to $79.44/bbl.

GCC-US Diplomacy: US Secretary of State Marco Rubio wrapped up a Gulf tour in Bahrain, telling GCC leaders Washington will factor in their security concerns in any Iran framework and keep them informed at every step. Strait of Hormuz: GCC and the US jointly backed reopening the Strait of Hormuz with “free, unconditional, and unrestricted navigation,” rejecting any tolls, fees or attempts to control the waterway, while Oman and the IMO announced an evacuation plan for 11,000 stranded seafarers. Shipping Risk: Despite easing tensions, an attack on a cargo ship near Oman and a UN pause on evacuation plans underscored how fragile safe passage remains. Oil Market Impact: With transits picking up, Brent slipped toward the low-$70s, but the ship strike clouded outlooks; meanwhile, India’s crude imports saw Russia’s share hit a record 52.5% in June as Gulf supply fell. Kuwait Finance & Business: Kuwait’s Finance Ministry won “Deal of the Year” for a sovereign bond issuance; NBK warned customers against using public Wi-Fi for banking; Gulf Bank set June 30 as the deadline to enter its KD 200,000 AlDanah draw; and KIPCO was listed on Forbes Global 2000. Local Security: Kuwait’s appeals court upheld sedition and Hezbollah-related sentences in multiple cases, while a Khaitan stabbing ended in the arrest of an expatriate accused of attempted murder.

Gulf Security & Hormuz: US Secretary of State Marco Rubio wrapped up a Gulf tour in Bahrain, telling foreign ministers any US-Iran deal must protect Gulf security and insisting on “free, unconditional, and unrestricted navigation” through the Strait of Hormuz with “no tolls, fees, or attempts to assert control.” Oman also backed fee-free transit arrangements, while Iran’s IRGC warned ships to use Tehran-approved routes. Kuwait Banking & Cyber Safety: National Bank of Kuwait (NBK) renewed CBK’s “Let’s Be Aware” push, warning customers against using public Wi‑Fi for banking in places like airports and malls, citing risks from fake networks and data interception. Public Finance Recognition: Kuwait’s Ministry of Finance won “Deal of the Year” at the GBM Middle East Awards for its sovereign bond issuance, highlighting strong investor demand and public debt management capabilities. KPC Law Update: A commentary piece says recent amendments to the KPC Law aim to boost commercial management, expand board authority, modernize contracting, and bring renewable energy under KPC’s scope. Markets & Liquidity: Action Energy appointed Kuwait Investment Company (KIC) as market maker to enhance share liquidity on Boursa Kuwait. Retail & Promotions: LuLu Hypermarket launched its 25th anniversary campaign with discounts up to 50% and a major tech promotion “Let’s Connect.” Bank Draw Deadline: Gulf Bank said June 30 is the final date to deposit to enter its first enhanced AlDanah Millionaire Account draw, with KD 200,000 up for grabs on Sept 9. Legal Developments: Kuwait’s State Security Court of Appeals upheld several prison terms over social media-related sedition and extremist-linked content, while ordering financial guarantees in other cases.

US-Gulf Diplomacy: US Secretary of State Marco Rubio wrapped talks in Kuwait and is now heading to Bahrain to reassure GCC allies that Washington will protect their security and economic interests as it negotiates with Iran, while also reiterating that the Strait of Hormuz must remain toll-free. Kuwait Debt & Budget Pressure: Kuwait’s Central Bank issued KWD 550mn in treasury bonds and public debt tawarruq across maturities, with analysts linking the borrowing to a widening budget deficit amid US-Iran conflict disruptions. Hormuz Shipping & Oil Markets: Oil prices slid to multi-month lows as tankers continued transiting Hormuz and supply fears eased, while Middle East fuel oil exports were set to rebound in June but still remain below pre-war levels. KOC Environmental Contract: Kuwait Oil Company awarded a five-year drilling cuttings treatment service contract to China’s Jereh NER, valued at over RMB100mn, aiming to cut energy use and improve compliance. GCC Labour Costs: A GCC domestic worker salary report says Kuwait remains among the more affordable markets for employers, with wage levels and recruitment fees adjusted over recent years. Regional Security Cooperation: Kuwait’s Emir held talks with the US Secretary of State on de-escalation and regional stability, underscoring ongoing coordination on Middle East crises.

Gulf Security & Energy: US Secretary of State Marco Rubio is in Kuwait and the UAE to reassure Gulf allies over the US-Iran memorandum aimed at ending the war, as Israel insists it will not withdraw from southern Lebanon—adding strain to the fragile accord and keeping doubts alive over nuclear inspections, sanctions relief and Strait of Hormuz management. Shipping & Oil Markets: With Hormuz reopening after the deal, tanker traffic is picking up and oil benchmarks have slid sharply, but analysts warn volatility may return as supply and logistics normalize unevenly. Kuwait Banking & Finance: NBK is pushing premium banking upgrades with relationship-manager support, wealth solutions and exclusive benefits, while Gulf Bank highlights a 2025 ESG push that cut Scope 2 emissions and improved emissions intensity. Local Economy & Policy: Kuwait’s Cabinet voiced solidarity with Qatar after a Ras Laffan LNG explosion, and a Kuwait Fund loan was approved for Tajikistan’s school development project. Workforce & Regulation: A GCC domestic worker salary report says Kuwait remains among the more affordable markets in the region, with recruitment fees adjusted repeatedly over the past five years. Business & Community: Burgan Bank teamed up with Caribou Coffee for a World Cup viewing experience and tied it to financial awareness messaging.