Kuwait City, July 28 (QNA) - Kuwait has issued a decree-law converting Kuwait Airways Company into a joint-stock company wholly owned by the state.

The decree aims to enhance the efficiency of the national carrier, strengthen its competitiveness in the aviation sector, keep pace with legislative and economic developments, and boost the company's flexibility in managing its operations.

According to the Kuwait News Agency (KUNA), the decree provides for converting Kuwait Airways into a joint-stock company subject to the provisions of the Companies Law No. (1) of 2016, while keeping all its shares under direct state ownership and prohibiting the disposal of those shares through sale, mortgage, or any other form, unless approved by the Council of Ministers.

The decree assigns the Board of Directors of the Kuwait Investment Authority the powers of the company's ordinary and extraordinary general assemblies, while tasking it with selecting the company's board of directors in accordance with the provisions of the Companies Law and adhering to the Conflict-of-Interest Law.

In addition, the decree grants the company's board of directors broad powers to manage its affairs, including approving the organizational structure, issuing administrative, financial, and employee regulations, as well as procurement, tenders, and auctions regulations, without being bound by certain laws governing state property and public tenders.

This provides the company with greater flexibility in making operational and investment decisions and contributes to strengthening its competitiveness.

The move comes as part of Kuwait's efforts to modernize the legal framework governing its economic institutions, enhance the efficiency of the national carrier, and enable it to keep pace with rapid developments in the aviation industry on both the regional and international stages. (QNA)