The Ministry of Social Affairs in Kuwait is currently evaluating a proposal to increase nursery licensing fees from the existing KD 2,000 — paid once every five years — to a new rate of KD 1,000 annually, amounting to KD 5,000 over the same period. The initiative is part of a broader effort to align public service fees with actual operational costs.

This measure is in response to recommendations from the Ministerial Committee for Economic Affairs and the Council of Ministers, urging ministries to coordinate with the Ministry of Finance in revising service charges to reflect the real financial burden of public services.

According to informed sources, the Ministry is undertaking a detailed review of all its services, including those tied to approximately 400 licensed nurseries operating across Kuwait. This comprehensive evaluation aims to identify outdated or subsidized fees and ensure they correspond to actual expenses involved in licensing and oversight.

The proposed changes will not only standardize the licensing costs but also help generate steady annual revenue from the nursery sector, which plays a vital role in early childhood development in Kuwait.

Officials confirmed that the Ministry of Social Affairs is gradually shifting from a welfare-oriented model to one focused on revenue generation. This strategic transition aligns with Decree-Law No. 1/2025, which governs the pricing of services and public facility usage.

As explained by sources, the primary goal is to reduce reliance on state subsidies, rationalize government expenditures, and strengthen non-oil revenue streams. These steps are crucial for maintaining fiscal balance amid rising budgetary pressures.

Minister of Social Affairs Dr. Amthal Al-Huwailah is spearheading the initiative to implement this reform. Her leadership is central to the Ministry’s vision of cost rationalization and the development of a financially sustainable model for social services in Kuwait.

The reform reflects a larger government policy direction to reassess the cost structures of various public services, similar to recent pricing changes in sectors like electricity, water, and municipal services.

Private nursery operators will need to adjust their financial planning to accommodate the new KD 1,000 annual licensing fee. While this may increase operational costs, it also brings clarity and consistency to the licensing framework, which is expected to improve regulatory compliance and service standards across the sector.

Relevant parties, including the Kuwait Society for Early Childhood Education, are expected to provide input during stakeholder consultations before the proposal is finalized and implemented.