Bodi: New List of Electronic Platforms and Applications Marks a Qualitative Leap in Regulating E-Commerce
- Digital platforms are genuine partners in economic development and its success. We care about their success as much as we care about the success of business owners and consumers obtaining goods at fair prices and receiving reliable services.
- The door for dialogue will remain open with all concerned parties during the implementation phase.
The Minister of Commerce and Industry, Osama Al-Boudi, stated today that the new regulations governing the sector of intermediary digital platforms and applications for displaying, ordering, and delivering products to consumers represent a qualitative leap in the regulation of e-commerce in the country.
Minister Al-Boudi added in a statement to the Kuwait News Agency (KUNA) that the regulations are based on an equation that achieves a balance between the interests of consumers, small and medium-sized enterprise (SME) owners, and digital platforms, thereby establishing a stable and clear investment environment amidst the rapid pace of development witnessed by the sector.
He clarified that the Ministry is fully aware of the profound role played by intermediary digital platforms in supporting the digital economy, generating employment opportunities, and facilitating access to products and services for consumers. He emphasized that the regulations do not aim to stifle the growth of this sector or diminish its investment appeal, but rather to regulate it through clear and fair rules that inform each party in advance of their rights and obligations.
Al-Boudi said: "We are not against digital platforms; rather, we consider them genuine partners in economic development. We care about their success as much as we care about the success of business owners and consumers obtaining goods at fair prices and receiving reliable services. These regulations establish a clear relationship that is fair to all parties."
The minister pointed out that small and medium-sized enterprises are a fundamental pillar of the national economy, and entrepreneurs rely on digital platforms to reach their customers. However, the rise in certain commercial costs in recent years may have been reflected in product and service prices. Consequently, the regulations were introduced to establish a balanced regulatory framework that ensures fairness and provides these enterprises with a broader scope for growth and expansion.
He explained that when business owners find a more fair and transparent working environment, they feel confident in investing, developing their businesses, improving service quality, and offering more competitive prices, all of which serve the consumer’s interest by providing more diverse options, higher service quality, and price stability.
The minister confirmed that the regulations have organized the contractual relationship between platforms and customers on clear bases, setting specific controls for commissions and delivery fees. They also mandate platforms to disclose paid advertisements and offers to consumers, ensuring that purchasing decisions are based on clear information and prior knowledge. All of this is done without impairing the platforms' ability to continue, grow, and develop their services.
He noted that a clear regulatory framework is an asset for any economic sector, as it provides investors with confidence and stability. He cited international experiences that have proven that more regulated markets are more attractive to investment because they are built on fairness and equal opportunity.
The minister stressed that the door for dialogue will remain open with all concerned parties during the implementation phase of the regulations, and that the Ministry will listen to every comment or suggestion that contributes to their effective implementation. He emphasized that the success of digital platforms and the success of small and medium-sized enterprises are not conflicting goals; rather, they form the backbone of a sustainable digital economy.
He explained that these regulations serve the public interest: consumers deserve fair prices and distinguished services, while business owners deserve a fair environment that enables growth. A clear framework for platforms is essential to ensure their sustainability. He noted that when this equation is achieved, the greatest winner is the Kuwaiti economy as a whole.
