Al-Shemali: Kuwait will budget 2010-2011 on the basis of $ 43 a barrel

Kuwaiti Finance Ministerm Mustafa Al-Shamali, told Reuters on Monday that Kuwait would calculate its budget for fiscal year 2010-2011 on the basis of an oil price of 43 dollars per barrel. In fiscal year 2009-2010, which expires in March, Kuwait, the fourth largest exporter of gas in the world, set its budget on the basis of price of $ 35 per barrel of oil. When asked by reporters in Parliament on the report published by Kuwaiti newspaper that the budget would be calculated on the basis of the $ 45 for a barrel of oil, Al-Shamali replied: "No ... 43 dollars." Last month, the minister said the Gulf state spending in fiscal year 2010-2011 could reach 15 billion dinars (52.25 billion U.S. dollars). The budget includes spending on new projects in the Government's development plan which extends until 2014 and aims to reduce the country's dependence on oil and also includes investment in increasing the production of oil and natural gas. On Sunday, the government approved a draft law development plan for the financial year 2010-2011 which is estimated at 4.78 billion dinars. The plan includes the establishment of five joint stock companies in general and encourages the participation of the private sector alongside the public sector in the implementation of these projects. Kuwait had achieved a surplus of 6.32 billion dinars in the first eight months of the fiscal year starting in April, thanks to higher oil revenues.m.e