Kuwait’s residential sector recorded more than KD1 billion ($3.5 billion) in sales during the first half of the year, up 17 per cent compared to the same period last year.

In June, the sales hit KD172 million ($606.3 million), up 3.4 per cent year-on-year, said a statement.

The country’s real estate sector closed off the first half of the year top with top performance, as sales reached KD522 million in June, breaking the KD500 million-mark for the first time, it said.

However, the number of transactions during the period dropped nine per cent, confirming an evident trend over the past several months of decline in available properties on the market.

In the residential sector, the bulk of transactions - about 64 per cent, involved the purchase and sale of land or vacant plots.

The investment sector recorded sales of KD235 million in June, up 90 per cent year-on-year. However, the sector experienced a one per cent decline in the number of transactions, said the statement.

The sales in the sector during the first half of the year totalled to KD964 million, up 52 per cent, which the number of transactions was up by 12 per cent.

Whole buildings accounted for 45 per cent of all transactions in the investment sector, with individual apartment coming in second at 40 per cent. The transactions involving vacant plots accounted for 10 per cent.

Meanwhile, the sales in the commercial sector more than doubled year-on-year totalling to KD114 million in June.

The sector recorded nine transactions, down 25 per cent year-on-year, said the statement.

The first half sales reached KD273 million in the first half of the year, it said.

The Kuwait Credit Bank (KCB) approved 530 loans worth around KD32 million in June. The value of loans approved declined on a YOY basis two per cent, while the value of loans disbursed by KCB reached KD20 million, an increase of 80 per cent. - TradeArabia News Service