The Cabinet approved a draft decree-law on mortgage financing for housing welfare beneficiaries on September 22 according to Kuwait Times. The legislation is designed to introduce additional financing tools for upcoming projects reduce waiting periods for those on the list and stimulate activity across the real estate sector. It forms the latest element in a series of legislative and executive measures reshaping the housing landscape.
The Public Authority for Housing Welfare will gain authority under the reforms to establish project-specific standards and technical specifications for buildings as well as entire neighborhoods. This approach grants developers increased flexibility to provide homes in different sizes that match varying family requirements and budgets. The adjustments support a wider transition toward sustainable urban development models across Kuwait.
Under the initial phase of the Real Estate Developer Program three packages will produce 5,000 housing units in Al-Mutlaa Saad Al-Abdullah and Jaber Al-Ahmad Kuwait Times reported. By the end of August the authority had selected 41 Kuwaiti and international companies organized into 22 consortiums to proceed with the next phase of formal procedures for these developments. The program reflects a deliberate effort to integrate private capital into solutions for the longstanding national housing shortfall.
The Public Authority for Housing Welfare reported 108086 pending housing applications as of June 15 2026 according to Arab Times. Such volumes underscore the scale of demand and the necessity for accelerated delivery mechanisms. Officials have stressed that multiple parallel avenues are required to keep pace with natural population growth.
A decree law numbered 89 of 2025 amended earlier legislation to eliminate mandatory joint-stock company requirements and broaden the variety of allowable housing formats including apartments and duplexes according to the explanatory note published in the official gazette. That change sought to draw more private investment while enhancing the long-term financial viability of government-supported initiatives. It expanded on a 2023 framework that first opened residential city projects to outside participation.
The Public Authority for Housing Welfare completed detailed feasibility assessments for the chosen locations to confirm project viability and alignment with elevated urban planning criteria. PAHW progress reports show infrastructure and housing construction remain on track across several residential cities. Government plans aim to deliver around 170000 housing units over the next decade according to Kuwait Times.
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