Post by : Aaryan
Singh
Photo: Bloomberg
Kuwait City — Kuwait’s Minister of Finance, Noora Al-Fassam, has signed off on a new decision that allows the Central Bank of Kuwait (CBK) and the Kuwait Investment Authority (KIA) to take charge of the country's loan operations for the upcoming 2025–2026 financial year.
Published in the official gazette, the announcement outlines that the CBK will handle local loan activity. That includes borrowing in Kuwaiti Dinars as well as major foreign currencies, all while coordinating closely with the Ministry of Finance and following international financial practices.
Meanwhile, the KIA has been given the responsibility of managing loans from global markets. Their role will focus on raising funds in stable, convertible currencies from international lenders, using globally recognized tools and standards.
This move ties directly into a wider financial strategy that took shape earlier this year. In March, a law was passed that set a KD 30 billion cap on public debt, with room to issue long-term debt instruments for up to 50 years. This law laid the groundwork for smarter debt planning and more flexible financial management.
Under this new directive, both CBK and KIA must provide regular updates to the Ministry of Finance. These reports will help track progress and keep everything in line with Kuwait’s broader financing goals.
The decision is seen as a step toward stronger economic stability, better control over liquidity, and a more structured approach to public borrowing in the years ahead.
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