What is the statutory role and mandate of the Future Generations Fund managed by the Kuwait Investment Authority (KIA)?
Answer and explanation
Correct answer: B. Mandatory transfer of state revenues into global assets for future post-oil eras
- Step 1: Established in 1976 by Emiri Decree Law No. 106, the Future Generations Fund (FGF) is the world's oldest sovereign wealth fund.
- Step 2: Historically, by law, at least 10% of all state oil revenues were automatically transferred into the FGF.
- Step 3: The assets are invested exclusively in diversified international equities, bonds, and infrastructure outside Kuwait to secure financial wealth for generations after hydrocarbon depletion.
Answer
Mandatory transfer of state revenues into global assets for future post-oil eras.
Why not the others: Operational payroll comes from the General Reserve Fund and budget; KIA does not provide retail consumer food subsidies.
Practise more Constitutional Monarchy, National Assembly and Legal Governance.
Free questions with an explanation for every one, and full timed General Knowledge (Kuwait) mock tests.
More Constitutional Monarchy, National Assembly and Legal Governance questions
- Under the 1962 Constitution of the State of Kuwait, what is the defined political system of the state?
- According to Article 4 of the Kuwait Constitution, succession to the throne of the Amir is legally restricted to the legitimate descendants…
- How many directly elected members does the Kuwaiti constitution provide for the unicameral National Assembly (Majlis Al-Umma)?
- What is the standard constitutional legislative term (duration) of the Kuwait National Assembly before general elections must be held?
- On which historic date did the Kuwait National Assembly pass landmark legislation granting Kuwaiti women full political rights to vote and r…
- In the historic May 2009 general elections, how many female candidates won seats in the National Assembly, marking the first time in Kuwait'…