Index Commentary

Kuwait rises in the Index by six places due to improvements in all energy dimensions. Energy security remains the weakest dimension (rank 84) due to very low diversification of electricity production and energy exports, a low wholesale margin on gasoline and a sustained positive energy consumption growth; however Kuwait has a very good ratio of production to total energy supply. Environmental performance decreases due to a further deterioration of Kuwait’s weakest indicators: CO2 emissions from electricity and heat generation and emissions intensity per GDP per capita; both increased since last year. This could be partly offset by an improvement in the quality of air and water relative to peer countries. Strong performance in social equity (rank 27) is driven by very low gasoline prices and good performance in providing high quality and affordable electricity access. Performance in the contextual dimensions was mostly constant. Kuwait’s strong economic position is mostly driven by very good macroeconomic stability and low costs of living as proportion of household consumption expenditure.