Banking & Finance Kuwait prepares banks ahead of potential new bond sales By Nadim Kawach March 4, 2025, 3:47 PM Alamy via Reuters Connect Mubarakiya souk in Kuwait City; a new system could give banks easier access to bonds sold by the central bank New electronic system discussed Government bond sales expected System to facilitate trading Kuwait has launched a plan to develop a new electronic system within its banking sector to prepare for the resumption of government bond sales to fund projects and shore up fiscal deficits, a local newspaper reported. The central bank of Kuwait invited representatives of banks to discuss preparations to launch the system that will give them easier access to bonds sold by the central bank or the finance ministry, the Arabic-language daily Al-Rai said, without identifying its sources. The system would also facilitate trading in bonds, the newspaper said. The cabinet is expected to shortly approve a debt law, which will allow the Opec member to borrow up to KD20 billion ($66 billion) over 20 years, or at an average of $3.3 billion per year, the newspaper said. Oil revenues could trim Kuwait’s 2025 budget deficit Public wage bill cuts into infrastructure spend, Kuwait bank says New Kuwait debt law could unlock billions for projects Kuwait, which sits atop nearly 101 billion barrels of proven oil deposits, last sold bonds in 2017 – worth about $8 billion – before the debt law expired and which has since remained on the shelf due to persistent rifts between the government and parliament. Noura Al-Fassam, the finance minister, said last month that government borrowing would mainly be used to finance infrastructure projects, in partnership with the private sector.
