Project Finance 2025
What are the key differences in the legislation in this jurisdiction and other key international jurisdictions?>>🔗
Kuwait follows a civil law system rooted in Islamic law and is heavily influenced by Egyptian legislation, which in turn is derived from the French Napoleonic Code. This differs from common law jurisdictions (like the United Kingdom or USA), which rely on judicial precedent and case law.
Key distinguishing features include:
Hierarchy of legislation: The Constitution of the State of Kuwait is the supreme law, followed by laws enacted by the Amir and the National Assembly, then ministerial decrees, administrative decisions and circulars.
Court procedure: Litigation is primarily written, with limited oral argument. Judges play an inquisitorial role, often appointing independent court experts for financial or technical matters.
Precedent: Judicial decisions are not binding but may carry persuasive weight.
Public policy: The courts may set aside contractual clauses, especially in financing, if found contrary to public order or Islamic principles.
Regarding project finance, Kuwait’s legal regime is shaped by:
Kuwait Law No. 116/2014 On Public-Private Partnership.