Boston, MA -- (SBWIRE) -- 11/29/2012 -- Kuwait IT spending is expected to reach US$937mn in 2012, up 9%, with BMI upwardly revising its forecast due to macroeconomic factors. Kuwait, the third-largest computer market in the Gulf, should offer favourable IT market trading conditions in 2012, and local IT spending should continue to provide opportunities for IT vendors over our five-year forecast period. Drivers will include government projects, population growth, and strong demand from the construction and oil and gas sectors.

Headline Expenditure Projections

Computer Hardware Sales: US$362mn in 2011 to US$394mn in 2012, +9% in US dollar terms. Forecast in US dollar terms upwardly revised due to macroeconomic factors, following stronger than expected growth in 2011.

View Full Report Details and Table of Contents

Software Sales: US$233mn in 2011 to US$253mn in 2012, +9% in US dollar terms. Forecast in US dollar terms downwardly upwardly due to analyst modification and trade liberalisation and growing regional competition are fuelling enterprise spending on software and systems.

IT Services Sales: US$267mn in 2011 to US$290mn in 2012, +9% in US dollar terms. Forecast in US dollar terms downwardly revised due to macroeconomic factors and analyst modification, but high oil prices will fuel spending growth over the forecast period.

Risk/Reward Ratings: Kuwait's score was 56.3 out of 100.0. Kuwait has dropped to fourth of 11 countries in our latest RRR table, behind Israel, the UEA and Qatar, but ahead of Saudi Arabia.

Key Trends & Developments

- Expected increases in oil output and prices, and a forecast bumper year in 2012, should provide support for higher IT budgets in the key oil and gas vertical. Oil companies such as Kuwait leader Kuwait National Petroleum Company (KNPC) continue to invest in IT, and work is under way on the US$14bn Al-Zour refinery. However, Kuwait's Development Plan should encourage a gradual pick-up in the non-hydrocarbons sector over the coming years.
- Construction should be a promising IT spending vertical. Kuwait is emerging as a regional construction hub and projects such as the US$2bn expansion of Kuwait International Airport (KIA) should drive opportunities for IT vendors. Combined public and sector investment in construction is forecast to surpass US$11bn over the next five years.
- The last two years have seen continued e-project implementation by various Kuwaiti state organisations. The social welfare ministry now allows online submission of forms and email notifications. The defence and finance ministries are also recognised as particularly advanced, while the finance minister has called on the ministry's IT staff to redouble their efforts in this area. The Kuwaiti Ministry of Education is implementing a New Technology Infrastructure Project (NTIP), aimed at raising the level of IT utilisation in schools.

About Fast Market Research
Fast Market Research is an online aggregator and distributor of market research and business information. Representing the world's top research publishers and analysts, we provide quick and easy access to the best competitive intelligence available. Our unbiased, expert staff will help you find the right research to fit your requirements and your budget. For more information about these or related research reports, please visit our website at http://www.fastmr.com or call us at 1.800.844.8156.

Browse all Computer Technology research reports at Fast Market Research

You may also be interested in these related reports:

- Mexico Information Technology Report Q4 2012
- Turkey Information Technology Report Q4 2012
- Hungary Information Technology Report Q4 2012
- Malaysia Information Technology Report Q4 2012
- Germany Information Technology Report Q4 2012
- Sri Lanka Information Technology Report Q4 2012
- Peru Information Technology Report Q4 2012
- Romania Information Technology Report Q4 2012
- Colombia Information Technology Report Q4 2012
- Poland Information Technology Report Q4 2012