On the occasion of World Banking Day, the Secretary General of the Kuwait Banking Association, Dr. Yaqoub Al-Sayed Yousef Al-Rifai, affirmed that the Kuwaiti banking sector continues to solidify its role as a key pillar in supporting economic development and enhancing financial stability in the State of Kuwait. He explained that the ongoing efforts of Kuwaiti banks are aligned with the prudent regulatory policies implemented by the Central Bank of Kuwait, which have contributed to strengthening governance and transparency and raising the efficiency of risk management, thereby bolstering customer and investor confidence in the sector.
Al-Rifai pointed out that Kuwaiti banks play a pivotal role in financing productive and infrastructure projects, with an increasing focus on sustainable projects that adhere to environmental, social, and governance (ESG) standards. This aligns with global trends towards a green economy and supports the State of Kuwait’s efforts to reduce carbon emissions and achieve the Sustainable Development Goals. The sector also emphasized its commitment to supporting innovation and entrepreneurship through financing programs targeting small, medium, and emerging enterprises, in addition to developing digital services to enhance financial inclusion and provide advanced banking services to a wider segment of society, while adhering to anti-money laundering and counter-terrorism financing measures to ensure the integrity of the financial system.
On another note, Al-Rifai explained that the financial soundness indicators of the Kuwaiti banking sector reflect its strength and ability to face global challenges. The capital adequacy ratio reached 18.3%, the non-performing loan ratio was 1.6%, and the coverage ratio was 242.1%, in addition to a regulatory liquidity ratio of 21.5%, according to quarterly data issued by the Central Bank of Kuwait at the end of the first half of 2025.
Regarding social responsibility, Al-Rifai explained that Kuwaiti banks continue to fulfill their national role, with their contributions to community service reaching approximately 995 million Kuwaiti dinars between 1992 and the end of 2024, reflecting their vital role as a key partner in social development. Al-Rifai concluded his statement by emphasizing that the pivotal role played by the Kuwaiti banking sector on the economic, financial and social levels makes celebrating it on World Banking Day a well-deserved matter, in appreciation of its continuous efforts in supporting the national economy and enhancing financial stability in the State of Kuwait.
