The Kuwaiti economy powered back into growth in 2018 thanks to expanded oil production and higher crude prices. It grew by 1.6% in the first quarter of 2018 over the same quarter of the previous year, a turnaround from the contraction of 2.4% in the previous quarter. However experienced a large contraction in real GDP growth of 2.9% in 2017 as a whole. The decline was mainly due to a 5% decrease in oil production implemented under the Organization of the Petroleum Exporting Coun- tries (OPEC) agreement. Standard & Poor’s, the ratings agency, expects that Kuwait growth will return to positive territory in 2018 on the back of a recovery in oil production expected in the second half of the year (following an agreement reached by OPEC in June 2018), and steady public spending on infrastructure projects. S&P expects GDP growth of 2.8% on average over 2018-2021. Kuwait pumped 2.83m bpd in August, up from 2.72m bpd in June, or more than 100,000 bpd extra. It only cut production by 10,000 bpd rather than the 130,000 agreed quotas. Kuwait had earlier stuck to its agreement to cut production by 131,000 bpd, which it enforced with an extra 5% of contraction compared with its baseline in March 2018.