A plan to build a new $5.85 billion city at Subiya is awaiting parliament approval. To be constructed on the peninsula in the north of the country close to the Iraqi border, the city will be built in three phases over 20 years. It is estimated that it could have a final population of 250,000 people. Subiya city will be linked to the capital with a 21-km causeway.

The new town's infrastructure will cost $3.9 billion, public utilities $1.1 billion and the causeway $845 million.

Kuwait's parliament will need to give its approval before the construction begins. Kuwait is also planning to build a second new town in Khiran near the Saudi border.