Kuwait’s Emir has accepted the resignation of Prime Minister Sheikh Sabah Al Khalid and his Cabinet.
Sheikh Nawaf Al Ahmed, the Emir, asked Sheikh Sabah to continue managing affairs of the state in caretaker capacity until a new prime minister is appointed, state news agency Kuna said.
According to Kuwait's constitution, Sheikh Nawaf has to consult former Parliament speakers and former prime ministers before appointing a new prime minister.
The government, led by Prime Minister Sheikh Sabah Al Khalid, is the second to resign this year following a feud with Kuwait's elected parliament. The stalemate had hindered fiscal reform and paralysed legislative work.
Sheikh Sabah presented his Cabinet's resignation to the emir on Monday as part of a deal negotiated with the parliamentary opposition to form a new inclusive government.
The agreement has also included issuing an amnesty pardoning tens of convicted political prisoners, including prominent former MPs, which was issued by the Emir also on Monday.
The small oil-rich state's economy has been hit hard in the past two years because of a drop in oil prices and the Covid-19 pandemic.
Kuwait has had 17 governments and eight elections since 2006. The most recent Cabinet was appointed in March but the oil, finance and foreign portfolios remained under the same ministers, despite a government resignation in January.