Latest news with #CentralBankKuwait
Zawya
10-07-2025
- Business
- Zawya
Gulf Bank warns against using open Wi-Fi networks at some airports and hotels
As part of its ongoing commitment to enhancing financial literacy across all segments of society, Gulf Bank continues its support for the 'Diraya' banking awareness campaign. The bank actively shares educational and awareness materials through its social media platforms, website, and other media channels. As the travel season continues, Gulf Bank urges travelers to be cautious when connecting to public Wi-Fi networks in airports and hotels. These unsecured networks can put your personal and banking information at risk of hacking or cyber theft. Gulf Bank emphasized the importance of using secure networks or relying on personal data plans when conducting any banking transactions or logging into banking applications, in order to ensure the safe use of bank cards. Travelers are also advised not to share their PIN or One-Time Password (OTP) with anyone, and to carefully read the details of any OTP message – such as the merchant name and payment amount – before using it to complete a transaction. Launched in 2021 by the Central Bank of Kuwait in collaboration with the Kuwait Banking Association, the 'Diraya' campaign aims to raise public awareness about essential banking services, promote secure transaction practices, and support financial inclusion and economic stability. The campaign also educates customers about their rights and responsibilities, the advantages of digital banking, and how to stay safe from related risks – reinforcing the importance of cybersecurity.
Zawya
17-06-2025
- Business
- Zawya
Kuwait Central Bank tightens rules on e-payment providers to boost oversight
KUWAIT CITY: The Central Bank of Kuwait has issued a circular reinforcing the regulatory framework for all electronic payment service providers, electronic money institutions, and payment system operators. The circular mandates strict compliance with regulations governing the use of the Electronic Payment Services Gateway System, as part of the Central Bank's ongoing efforts to enhance governance, operational oversight, and risk mitigation in the digital payments sector. This directive is part of a series of measures aimed at safeguarding the country's digital financial infrastructure integrity and strengthening public trust in electronic payment systems amid their rapid expansion. The circular stipulates the obligations of service providers as follows: - Bear full legal responsibility for the accuracy and validity of all documents and data uploaded through the Gateway System. Violations may result in the enforcement of Article 85 of Law No. 32/1968 concerning Currency and the Regulation of the Banking Profession. - Documents must be submitted only by the legal representative of the company (Chief Executive Officer or General Manager) or an officially authorized employee (Compliance Officer or designated staff member). The Central Bank must be formally notified of all authorizations and any amendments in advance, through the prescribed mechanism. - Must promptly inform the Central Bank about resignations involving authorized system users and immediately request the revocation of their access rights. - Must retain original copies of all documents, especially the official documents issued by government entities, including criminal record certificates related to partners and leadership candidates. These must be submitted to the Central Bank upon request. The circular reflects the commitment of the Central Bank to intensify digital oversight and ensure legal accountability. It aims to improve internal controls within service providers, protect against unauthorized actions, and reduce operational and reputational risks. For consumers, it reinforces trust in the security and integrity of the national e-payment system. The circular also cited the following regulatory tools: - Article 33 of the Central Bank's Instructions for Regulating Electronic Payment Business (May 14, 2023) requires firms to establish governance policies, procedures, and oversight mechanisms. - Article 27 of the same instructions requires compliance with Anti-Money Laundering and Counter-Terrorist Financing (AML/CTF) obligations under Law No. 106/2013 and relevant FATF standards. - Central Bank Circular (July 5, 2023) on leadership appointment regulations. - Central Bank Circular (Oct 20, 2024) on documentation requirements for registration of partners and board members. Service providers must conduct an annual review to ensure board members and key employees meet the required solvency, integrity, and technical competence standards. Any changes affecting these standards must be addressed immediately and reported to the Central Bank in writing. They must also retain documentation evidencing the completion of these reviews.
Arab News
26-05-2025
- Business
- Arab News
Kuwaiti lenders Warba, Gulf Bank explore merger to boost competitiveness
RIYADH: Kuwait's Warba Bank and Gulf Bank have entered discussions to explore a potential merger as part of a strategy to enhance long-term growth and competitiveness in the local Islamic banking sector. The two lenders announced the move in separate disclosures to Boursa Kuwait on May 26, prompting a temporary one-hour suspension of trading in both banks' shares in line with capital markets regulations. A tie-up between the two would mark one of the most significant consolidations in Kuwait's banking industry in recent years, as lenders in the region increasingly pursue mergers to achieve scale, drive efficiency, and adapt to evolving regulatory and economic conditions. In a statement to Boursa Kuwait, Warba Bank said: 'The potential merger provides a promising strategic opportunity for growth and expansion for the two banks, leveraging their synergies and capabilities, as well as enhancing competitiveness in the local Islamic banking sector.' It added that the move comes in light of current internal and external challenges posed by local and global economic conditions, with the aim of maximizing value for shareholders and investors. As part of the merger process, both institutions will undertake a preliminary feasibility study and begin due diligence to assess the integration. The aim is to form a single banking entity compliant with Islamic Shariah principles. The banks noted that the Central Bank of Kuwait had been informed of the discussions on May 25. In its own bourse filing, Gulf Bank stated that its chairman received a letter from Warba Bank — one of its major shareholders — requesting the bank to consider the feasibility of a potential merger between the two institutions to create a unified entity. 'Hence, the proposal was discussed taking into consideration the bank's efforts to explore new approaches and prospects to achieve growth and prosperity, which includes the analysis of all opportunities and means of collaboration that would lead to the realization of our goals in terms of sustainable growth and added value for the bank, customers, and investors alike,' the Gulf Bank stated in the statement. The merger talks come amid a challenging global economic landscape marked by rising trade tensions and market volatility. In April, S&P Global Ratings said that banks across the Gulf Cooperation Council remain well-positioned to weather external shocks. In its report titled 'GCC banks can cope with the fallout from intensifying trade tensions,' the agency pointed to the region's robust financial buffers as protection against evolving global risks. 'GCC banks appear to be in a good position to withstand these threats,' the report stated at that time, citing 'robust liquidity levels, solid profitability, and healthy capitalization' as the sector's core strengths. While the direct impact of trade tensions on GCC economies is expected to remain limited due to minimal export exposure to the US, S&P warned of potential indirect effects. A prolonged downturn in oil prices, for instance, could dampen fiscal spending and sentiment. The ratings agency has revised its average Brent oil price assumption for 2025 to $65 per barrel.
