Kuwait mulls pay increase for state workers

The Gulf Arab state's parliament, which has a strong say in politics, has demanded that salaries to be raised by 50 dinars to offset the impact of inflation.

"The council of ministers is still studying the issue," Mustapha al-Shamali told Al Jarida newspaper.

Annual inflation hit its highest on record at 6.2 per cent in September, driven by soaring oil prices and housing costs.

The government said in November it was working with the World Bank on a wages study for government employees, which will be completed in February.

More than 90 per cent of Kuwaitis work in the public sector. (Reuters)