Kuwait is projected to record highest ever oil export earnings in 2011, surpassing the record $82.6 billion earnings the country generated in 2008, when the price of Kuwait's crude soared to its highest average of nearly $93.7 a barre, the International Monetary Fund (IMF) said recently. The increase will boost the country's GDP by nearly five percent through the year, IMF said. From around $61.7 billion in 2010, Kuwait's oil revenue will climb to a record high of $85.9 billion in 2011 and could swell further to nearly $89.2 billion in 2012, the report said. It said the 2011 will be the highest income to be earned by Kuwait as it is projected to surpass the record earnings of $82.6bn in 2008, when the price of Kuwait's crude soared to its highest average of nearly $93.7 a barrel. The IMF forecast Kuwait's oil production at around 2.41 million barrels per day in 2011, below the peak output of 2.68 million bpd in 2008. But its figures showed crude prices in 2011 would exceed those in 2008 as it forecast them at $104.1. The report expected crude prices to slip slightly to $103.1 in 2012.The report showed the surge in revenue would expand the hydrocarbon sector and allow Kuwait to spend more. This will expand its real GDP by five per cent in 2011 against 3.3 percent in 2010 after a five percent contraction in 2009. A breakdown showed growth in the oil sector would be around 3.3 percent this year compared with 3.2 percent in 2010 while growth in the non-hydrocarbon sector was put at $six per cent in 2011 against 3.4 percent in 2010. The IMF expected inflation in Kuwait to increase to six percent in 2011 from around 4.1 percent in 2010 before siding to 3.5 percent in 2012. The report showed higher oil prices and output would boost Kuwait's total exports of goods to $92.5 billion in 2011 from $67 billion in 2010. It projected imports of goods at bout $23.1 billion, resulting in a massive trade surplus of nearly $69.4 billion in 2011. This will expand the current account surplus to nearly $57.6 billion or around 33.5 percent of GDP this year from $36.9 billion or nearly 27.8 percent of GDP in 2010.
