This sector comprises mainly automotive importers, business equipment importers, construction, retail outlets and general trading companies. There are very few manufacturing industries in Kuwait. The bulk of the turnover in the private sector is controlled by a few major trading houses owned by prominent Kuwaiti families.

It is the aim of the Kuwaiti government to increase the number of citizens working in the private sector. Notably, a fund of KD.40 million has been allocated to encourage Kuwaitis to work in the private sector that will feature educational, vocational and specialized training. Though government jobs and generous salaries are a means of distributing oil wealth, a UN study concluded that Kuwait's civil service has 75000 employees it does not need.

A typical trading company operating in this area will have several divisions, each specialising in one of the above business areas. The largest of these 'mini conglomerates' has around 4000 employees. Immediately after liberation there was a surge in demand and a shortage in supply. Hence, huge quantities of goods were imported into the country in a few months.