IMF calls for slashing public sector wages, imposing taxes

The International Monetary Fund has urged OPEC member Kuwait to introduce a package of reforms that includes imposing taxes and phasing out subsidies to plug a chronic budget deficit. Kuwait, which heavily depends on oil for almost 90 percent of its revenues, has been hit hard since crude prices crashed in mid-2014 and earlier this month approved a budget with a huge shortfall for the sixth year in a row. Income from investments held through the government’s sovereign wealth fund is not included in the budget.