Kuwait ‘has time to be compliant with new law’
Kuwait City, April 7, 2013
Global law firm DLA Piper has announced that there is still time for companies in Kuwait to become compliant with the recently-introduced Companies Law, for which amendments were passed by the National Assembly and published last week.
One of the main amendments introduced by Law No 97 for 2013 is the removal of the requirement for existing companies to comply with the provisions of the new law by 29 May 2013, deferring this matter to the executive regulations expected to be published later this year.
Abdul Aziz Al-Yaqout, regional managing partner, DLA Piper Middle East, said: “The amendments to the Companies Law bring greater clarity in terms of certain important concepts and mechanisms allowing development of the corporate environment in Kuwait and aligning with best international practices.”
“Certain amendments will play a pivotal role in providing practical solutions that will undoubtedly enhance the image of Kuwait to the foreign investor such as the concept of a one-stop-shop, the shortened process for incorporation of companies and elimination of certain foreign ownership restrictions. We welcome the latest amendments and would advise businesses to take note in order to ensure that they are fully compliant with the provisions of the new law."
The new law was finalised with the participation of the Ministry of Commerce and Industry, the Central Bank of Kuwait, the Capital Markets Authority, the Kuwait Investment Authority, private sector representatives and lawyers from DLA Piper who include Abdul Aziz Al-Yaqout and Tarek Yehya. It came into force with its publication. – TradeArabia News Service