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Kuwait signs $3B deal with Saudi renewable giant

Aug 11, 2025, 8:07am EDT
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Photo of Kuwait City skyline
Yasser Al-Zayyat/AFP via Getty Images

Kuwait signed contracts worth over 1 billion Kuwaiti dinars ($3.27 billion) with Saudi renewable energy giant ACWA Power. The deal comes as Kuwait struggles with severe power shortages, resorting in the past year to planned cuts in some areas.

Once complete, the expansion of the Al-Zour North power plant will deliver 2.7 GW of power and 120 million gallons of water daily, with construction expected to take three years.

The deal is the latest in a string of recent Kuwaiti-Saudi investment announcements and follows reports that Kuwait is weighing a $164 billion investment vehicle to back major projects in Saudi Arabia across sectors including energy, infrastructure, smart cities, and transport. Kuwait’s $1 trillion sovereign wealth fund — considered a sleeping giant in the region — also reportedly intends to open a Saudi office to boost cross-border investments.

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