Kuwait Conglomerate wins millions in US$ from Libya

Leading Kuwaiti private company M.A. Kharafi & Sons recently won a legal battle against Libya, amounting to 930 M US Dollars.

M.A. Kharafi & Sons is a conglomerate with services for airlines, airports, hotels, telecommunication and travel. With products that include aluminum, asphalt, concrete, fertilizer, food, construction supplies, steel among others; it is able to serve countries from the Middle East, Asia, Europe and Pacific Islands.

In 2006, the company entered into contract with the Libyan government to build a resort in the best prime area of Tripoli, which included a five-star hotel, exclusive apartments and villas, and a shopping mall under the agreement of a 90-year Build Operate Transfer (BOT) concession. Following this, M.A. Kharafi spent large amounts on feasibility measures, designs and management contracts, but it had not formally received the land from the Libyan government.

The former Libyan regime then cancelled its contract with the Kharafi group which made the company finally decide on arbitration proceedings based on the Arab League’s Joint Investment Protection Agreement to claim for 90 years of lost revenue.

The award granted to the Kuwaiti firm is the first of its kind in the Arab League under the Joint Investment Protection Agreement between Arab countries.

(with sources from Kuwait Times and Middle East Info)

A multi-award-winning blogger and advocate for OFWs and investment literacy; recipient of the Mass Media Advocacy Award, Philippine Expat Blog Award, and Most Outstanding Balikbayan Award. Her first book, The Global Filipino Bloggers OFW Edition, was launched at the Philippine Embassy in Kuwait. A certified Registered Financial Planner of the Philippines specializing in the Stock Market. A recognized author of the National Book Development Board of the Philippines. Co-founder of Teachers Specialist Organization in Kuwait (TSOK) and Filipino Bloggers in Kuwait (FBK). An international member of writing and poetry. Published more than 10 books.  Read more: About DiaryNiGracia

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