Kuwait business impact during Coronavirus.
Kuwait is facing unprecedented challenges and is enforcing major restrictions to protect its citzens yet those measures had a severe business impact. Global Markets is utilizing its wealthy current and historic primary research findings, Umbrella platform, and advanced assumption modelings to illustrate the daily revenues impact of the Coronavirus while comparing it to previous years.
COVID-19 Impact by Industry
The government’s lockdown and social distancing efforts are continuing to affect the fashion, foodservice, and entertainment sectors since the last week of February. In February, all three industries dipped to as low as 87% but slightly recovered in the first few days of March. At that time, COVID-19 was a new and an unfamiliar crisis that led a large consumer segment to shift their spending towards necessary goods despite having all retail malls and entertainment facilities open. The government took serious measures to contain the arrivals and manage their exposure to the virus which developed consumer confidence that pushed the different industries to climb towards recovery. This short-lived growth was shattered after new governmental measures and public announcements of the importance of social distancing were initiated.
The performances declined severely as a result of two main events, retail malls closures and the partial curfew. Retail Malls, parks, restaurants dine in, Friday market, and Ice cream trucks were shut down on the 4th of March. The curfew on the other hand started on the 22nd of March. The curfew restricted movement of all residents except essential workers from 5 PM to 4 AM which then was extended several times to 4 PM To 8 AM until the 28th of May. The curfew also includes government offices shutdown. The Kuwaiti government announced an extension of the curfew measures until the 28th of May to avoid viral outbreaks as a result of Ramadan social gatherings and events. The curfew extension would result in extending the government offices shutdown and a large portion of the private sector. Additionally, retail malls, health clubs, salons, and other major consumer related industries remained closed until the end of Ramadan.
GCC Corona Infection Statistics
Despite the drastic measures being implemented by the governments in the GCC at an early stage of the infection levels in the region, the daily confirmed cases and the death count has been increasing across all six GCC countries. Currently, the infection started to increase significantly since the time where low skilled labor camps and low-income neighborhoods registered their first cases. The high number of residents within small and confined spaces were causing the infections to spread at a fast pace. The business and consumer ability for consumption declines significantly with higher lockdown measures as a result of higher infection rates. Kuwait and Saudi Arabia are maintaining a comprehensive daily infection update of localized infection count with demographic and geographic details while the other countries maintained a total count of infections, recoveries, and death counts.
Cases by Country
Deaths by Country
Recoveries by Country
Government Stimulus Packages
|Bahrain||648,120,000 $||1.71 %|
|Oman||24,023,000 $||0.03 %|
|Qatar||810,000,000 $||0.42 %|
|Saudi Arabia||39,490,200,000 $||5.032 %|
|UAE||39,490,200,000 $||5.032 %|
|Bahrain||10,190,400,000 $||0.27 %|
|Oman||20,800,000,000 $||26.24 %|
|Qatar||22,140,000,000 $||11.57 %|
|UAE||270,000 $||5.032 %|
Urgent Healthcare Support
|Bahrain||467,280,000 $||1.24 %|
|Oman||467,280,000 $||0.05 %|
|Saudi Arabia||12,733,200,000 $||1.62 %|
|Kuwait||1,637,100,000 $||1.16 %|
Stimulus Packages Value (USD) and % of Counry GDP
|Bahrain||11,305,800,000 $||29.96 %|
|Oman||20,863,303,719 $||26 %|
|Qatar||22,950,000,000 $||12 %|
|Saudi Arabia||52,223,400,000 $||7 %|
|UAE||71,251,110,000 $||17 %|
The GCC region has its unique financial situation that differs from the global situation. Despite the major oil price fallout, governments in the GCC have been at the forefronts of supporting the cashflow stability of its government workers who account for most of the workforce in the GCC countries. Such continuous cashflow stability along with a spike of that consumer segment will create strong rebound in the market once businesses are back to operation.
Kuwait Urgent Healthcare Support Spending by Type