The Kuwaiti Ministry of Commerce and Industry (the “Ministry”) has issued Ministerial Decision No. 74 of 2025, a key regulatory development aimed at simplifying the commercial licensing framework and reducing the operational costs. The decision forms part of the Ministry’s broader initiative to support investment, particularly for small and medium-sized enterprises (SMEs).
Under this decision, eligible individuals and legal entities may now carry out multiple licensed commercial activities from a single physical location. This marks a significant shift from previous practice, which required businesses, regardless of operational need, to lease separate premises in order to obtain additional licenses, often resulting in substantial and unnecessary financial burdens.
The decision allows qualifying parties who hold a controlling interest (exceeding 50%) in subsidiaries, branches, or single-member companies to register up to five commercial licenses at a unified address. Each activity must be administrative or office-based in nature, and the premises must comply with applicable regulatory standards.
To obtain final approval, applicants must coordinate with Kuwait Municipality to confirm that the location is suitable for the intended licensed activities. Additionally, the Public Authority for Civil Information will review submissions to ensure compliance with licensing conditions and may issue up to five separate civil identification numbers for each licensed activity conducted at the unified location.
Beyond operational efficiency, the decision also strengthens regulatory oversight. By consolidating business activity under fewer addresses, government authorities, including the Ministry of Commerce and Industry and the Public Authority for Manpower, can conduct inspections and enforce compliance more effectively, without the need to monitor numerous dispersed locations.
This development underscores the Kuwaiti government’s ongoing commitment to improving the competitiveness and sustainability of the local business environment.
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