On Wednesday, March 8, the Kuwait Public Manpower Authority announced that long-term expatriates would be eligible for residency renewal under certain conditions. While Kuwait seems to be relaxing its measures regarding long-term expatriates, this new measure doesn't apply to all expats. Still, it's a significant change for a country that has recently been in the news headlines for its job nationalization policy.
What is changing for long-term expats in Kuwait?
This measure applies to several categories of expats: professionals in the government sector, namely those working in public agencies and departments, expats' dependents, foreign investors, partners in industrial or commercial activity, and expatriates over 60 years of age with a high school diploma or lower, with self-sponsored resident status. All these expats can now transfer their residence permit into the private sector. Previously, this was not an option.
Kuwait authorities are thus meeting a strong demand from expats who have been requesting more flexibility in the current regulations. Last year, the government allowed non-graduate expatriates over 60 to renew their residence permits, provided they had health insurance coverage and paid an annual fee of 250 Kuwaiti dinars (about $814).
The new rule came into effect on the day it was announced, that is, on Wednesday, March 8. However, further changes are expected regarding the procedures for renewing work permits for non-graduate expatriates over 60.
Residency for expats over 60 in Kuwait
While this means less stress for expats in Kuwait, some implications need to be considered. This measure favoring foreigners over 60 years old is just a first step taken by the Kuwaiti authorities as a response to the growing demand. Prior to that, the government had suspended visa renewals for those over 60 as part of its nationalization policy which aims at prioritizing the local workforce. This decision was followed by protests from foreign workers. The controversy escalated, and the government gave in. Expatriates over 60 can now renew their visas as long as they pay the 2,000 Kuwaiti dinars (about 6,500 dollars) fee. This also led to a general uproar across the country. The unpopular decision shook public opinion and provoked challenges within the government itself. The fees were then reduced to 250 dinars, along with a health insurance requirement, which is deemed quite reasonable for expatriates with precarious jobs.
Where does Kuwaitization stand?
In Kuwait, every single crisis raises the immigration issue again. Since the pandemic, Kuwait has resumed its job nationalization policy. In 2020, the country counted 3.4 million foreigners for 4.8 million inhabitants. In fact, foreigners accounted for almost 70% of its population. For the government, this was too much! Kuwaiti authorities attempted to reduce the number of foreign workers by limiting access to jobs in both the public and private sectors. By the end of 2020, 100,000 expatriates had left the country. By 2021, over 168,000 were gone. Expatriates felt targeted and discriminated against, and in September 2022, an umpteenth campaign against foreigners rekindled tensions. Even those who understand the principle of Kuwaitiization, which is to promote the employment of locals, do not agree with the government's practice, which they consider brutal, disconnected from reality, and emotional.
Other voices point to the importance of expatriate workers, who, far from "taking" jobs from Kuwaitis, significantly contribute to the country's economic growth. According to the British research group, The Economist Intelligence, more than 65 percent of expatriates work in the Kuwaiti Ministries of Health and Education alone. While the impact of Kuwait's new measure on expats' long-term residency remains to be seen, it seems that the country's doors are not likely to close anytime soon.
