Kuwaiti government insiders have calmed concerns regarding any relocating of the Kuwait Investing Authority office in Britain after Brexit.
They assured that choosing the British capital as their headquarters of investments in Europe was over 70 years ago, before the UK had joined the European Union, and that the matter of leaving the European union will not affect the Kuwaiti presence in Britain, which remains a global financial and business center.
The sources also said that the British government offers many privileges to the investment authority, which confirms London’s priority as a worldwide business center, even after Brexit.
Insiders also revealed that Lord Mayor of the City of London, William Russell has contacted financial officials in Kuwait on February 1st, addressing many questions, some of the most prominent where: Are there any changes in the Kuwaiti offshore investments policy with the UK after Brexit? How satisfied is Kuwait with its investments in London? And whether they are considering relocating their investments office from London to an EU member country.
The investment authority has arranged to deal with Brexit years before it happened, as they have performed a special strategy that varied the investments and re-deployed them. The investments capitals of the authority are in over 120 countries, and the London office is to manage a portion of those investments through foreign investment managers.
Here are the details:
London officials had many questions for Kuwait, holding concerns regarding any changes in the Kuwaiti investment strategy after the developments that occurred due to Brexit.
However, high-profile officials in Kuwait have reassured that the authority’s office will remain in London, especially considering the privileges offered by the UK government investing offices, and the Kuwait investment authority is on top of the list.
Related insiders have revealed that Lord Mayor of the City of London, William Russell has contacted financial officials in Kuwait on February 1st, addressing many questions, some of the most prominent where: are there any changes in the Kuwaiti offshore investments policy with the UK after Brexit? How satisfied is Kuwait with its Investments in London? And whether they are considering relocating their investments office from London to an EU member country.
In that regards, sources said that Kuwaiti officials assured London mayor saying that: the decision of picking London as our Europe investing headquarters was made over 70 years ago, before the kingdom had joined the union. Therefore, Brexit will not affect the Kuwaiti presence in the UK.
The sources also stated that Kuwait Investing Authority office in London, which carries about 30% of the authority’s capitals and funds, will remain as it is. Considering the special treatment received from the UK government regarding taxes or other facilitations which make it hard for any official to consider leaving London.
The Kuwait investing authority office in London is investing over 180 billion dollars not only in the UK, but in many other economies and nations, such as America, China, Asia, and other countries.
Insiders said that the available relocating options do not meet the London standard and financial status, whether in regards to investment laws, taxes, and trade deals with most countries.
The authority stated that the investing authority arranged to deal with the UK leaving EU years before it occurred, and they executed a strategy to vary and redeploy the investments as well as allow the investments to absorb the shock of the separation beforehand, and that the money invested in the authority is in over 120 countries, the London office is only to manage a part of those investments through abroad investment managers.