7 Years Imprisonment for Individual Who Misappropriated Donation Funds

The Official Gazette, “Kuwait Today,” published Law-Decree No. 87 of 2026 concerning the regulation of charitable and humanitarian work, comprising 96 articles distributed across seven chapters.

This law aims to unify the supervisory and oversight authority over charitable and humanitarian work, and to establish a comprehensive legal framework governing its activities, thereby enhancing public trust in humanitarian efforts. The law-decree establishes an independent institutional entity, the National Center for Charitable and Humanitarian Work, which is tasked with regulating and overseeing all aspects of charitable and humanitarian work in the country, formulating policies and strategies to develop the sector, and granting it the necessary powers to ensure effective supervision and oversight.

The law places special emphasis on protecting the data and information of donors and beneficiaries, stipulating the confidentiality of information and establishing controls to prevent its reuse.

The law addresses the fight against money laundering and terrorist financing in the charitable sector by requiring covered entities to implement due diligence measures and report suspicious transactions, in accordance with relevant legislation. It obligates charitable associations, humanitarian organizations, and endowments to regularize their status and amend their statutes within three months of the publication of the executive regulations, and to reconstitute their boards of directors in accordance with the amended statutes within three months from the date of the system’s promulgation.

The law introduces a bank account under the name of the Kuwait Fund for Humanitarian Work to fund the qualification and training of personnel in the field of charitable work. It also regulates modern donation campaigns and channels, sets conditions and controls for issuing licenses to establish donation campaigns to finance charitable activities, strengthens oversight of donation funds, prevents conflicts of interest, and prohibits collecting cash donations without obtaining a permit.

The law stresses the protection of donors’ rights, the preservation of beneficiaries’ dignity and privacy, the confidentiality of their data and non-disclosure thereof, and the verification of donors’ identities. It also mandates charitable and humanitarian organizations to adopt an anti-money laundering risk assessment policy and take necessary measures to combat terrorist financing. The law establishes disciplinary penalties and preventive measures for violations of the decree, including imprisonment for up to seven years for anyone who unlawfully appropriates funds from donation campaigns or facilitates such appropriation by others, and imprisonment for ten years for anyone conducting a donation campaign without obtaining a license from the National Center for Charitable and Humanitarian Work. Additionally, it prescribes imprisonment for two years and a fine of 1,000 dinars for anyone who causes a serious error leading to the loss of donation campaign funds.

The law also outlines six grounds for the dissolution and liquidation of a charitable association, including its inability to meet financial obligations, a reduction in the number of members to less than half the number of founders, or if it becomes evident that its activities no longer seriously achieve the purposes for which it was established.

For further details:

- Provisions apply to activities within or outside the country and to donation campaigns.

- Decree regulating charitable and humanitarian work: Associations and endowments must regularize their status and amend their statutes within three months.

Decree-Law No. 87 of 2026 Concerning the Regulation of Charitable and Humanitarian Work was issued, and published in the Official Gazette of Kuwait dated 13/9/2026. Its articles stipulate:

Article 1: The provisions of the Law Regulating Charitable and Humanitarian Work attached to this Decree-Law shall be implemented.

Article 2: The Executive Regulations for the attached Law shall be issued by Decree upon the proposal of the competent Minister, within six months from the date of publication of this Decree-Law.

Article 3: Existing charitable and humanitarian associations and endowments (Mabrakat) established prior to the implementation of the provisions of the attached Law shall regularize their status and amend their statutes to comply with the provisions of this Law and its Executive Regulations within three months from the date of publication of the Executive Regulations. These associations shall reconstitute their boards of directors in accordance with the amended statute within three months from the date of the announcement of this statute; otherwise, they shall be considered dissolved.

Article 4: The provisions of the attached Law shall apply to charitable and humanitarian associations and endowments licensed to operate within the State or those conducting activities in their name outside the State, as well as to fundraising campaigns.

Article 5: The Ministry of Social Affairs shall exercise the competencies of the National Center for Charitable and Humanitarian Work established by the attached Law until the Board of Directors of the Center is formed and the necessary regulations and decisions for its operation are issued.

Article 6: The implementation of Law No. 10 of 1959 Concerning the Regulation of Licensing the Collection of Funds for Public Purposes, referred to above, is repealed. Furthermore, any provision conflicting with the provisions of this Decree-Law and the attached Law is repealed.

Article 7: The Prime Minister and Ministers shall implement this Decree-Law, each within their respective competence. It shall enter into force from the date of its publication in the Official Gazette.

The following are the provisions of the Law Regulating Charitable and Humanitarian Work:

**Chapter One: General Provisions**

**Article (1)**

In the application of the provisions of this Law, the following words, terms, and expressions have the meanings indicated alongside each:

* **The State:** The State of Kuwait.

* **The Center:** The National Center for Charitable and Humanitarian Work.

* **Charitable and Humanitarian Association:** A legal entity composed of natural or legal persons, established for a fixed or indefinite period, licensed and announced in accordance with the provisions of this Law and its system, for the purpose of conducting one or more charitable and humanitarian activities without aiming to achieve profit, and taking one of the forms stipulated in this Law or its Executive Regulations.

* **Charitable and Humanitarian Work:** Activities determined by the Executive Regulations, based on providing humanitarian, therapeutic, relief, da’wah (religious outreach), educational, developmental assistance and services, and achieving purposes of benevolence and solidarity for individuals and communities, without aiming to achieve profit.

* **Endowment (Mabraka):** A non-profit legal entity established by a natural or legal person by dedicating irrevocable capital via an official deed, for a fixed or indefinite period, for the purpose of conducting a charitable or humanitarian activity.

* **Donations:** Funds collected in any form, whether cash or in-kind, for the purpose of spending them on charitable and humanitarian activities or any other purpose aimed at serving society.

* **Anonymous Donations:** Donations collected by the licensee without knowledge of the donor’s identity.

* **Fundraising Campaign:** Any organized initiative aimed at attracting donations from the public for the purpose of spending them on charitable and humanitarian activities or any other purpose aimed at serving society within or outside the State.

* **Licensee:** Any natural or legal person licensed under this Law to establish fundraising campaigns.

* **Donor:** The natural or legal person who provides money or movable property, in cash or in-kind, to a licensee for fundraising without compensation, with the aim of contributing to achieving the objectives of the fundraising campaign.

* **Beneficiary of Donations:** The natural or legal person to whom donations are directed directly or indirectly through the licensee due to their situation requiring assistance and support in accordance with the objectives of the fundraising campaign.

* **The Fund:** The Kuwait Fund for Humanitarian Action.

* **Anti-Money Laundering and Counter-Terrorism Financing Measures:** A set of supervisory policies and procedures that entities subject to the provisions of this Law must follow to prevent the exploitation of the charitable and humanitarian sector for transferring or concealing criminal proceeds or financing terrorism.

* **Code of Ethics for Charitable and Humanitarian Work:** A binding document issued by the Center in cooperation with announced charitable and humanitarian associations operating in the State, determining the principles and behavioral rules that those subject to this Law and those implementing it must adhere to, to ensure their activities are conducted with integrity, transparency, and respect for the rights of donors and beneficiaries, and to avoid conflicts of interest or misuse of resources.

* **Competent Minister:** The Minister whose designation is determined by a Cabinet decision.

* **Executive Regulations:** The Executive Regulations for this Law.

**Article (2)**

It is prohibited to conduct any charitable or humanitarian activities under the name of charitable and humanitarian associations before obtaining a license from the Center, registering them in the designated register, and obtaining the necessary licenses from the competent authorities in the State, as specified by the Executive Regulations.

**Chapter Two: The National Center for Charitable and Humanitarian Work**

**Section One: Objectives and Competencies of the Center**

**Article (3)**

A center enjoying public legal personality shall be established, named (The National Center for Charitable and Humanitarian Work). It shall be supervised by the Competent Minister and shall perform its duties independently and neutrally in accordance with the provisions of this Law.

**Article (4)**

The Center aims to achieve the following:

* Support and encourage charitable and humanitarian activities and enhance the principle of transparency regarding related work.

* Work to increase awareness of charitable and humanitarian work among members of society.

* Cooperate and coordinate nationally with other relevant entities to prevent the exploitation of charitable and humanitarian activities for illegal purposes.

* Work to protect the privacy of individuals and their data in relation to charitable and humanitarian activities.

* Mitigate the risks of money laundering and terrorism financing associated with charitable and humanitarian activities.

**Article (5)**

The Center shall exercise the following competencies and duties:

* Formulate a comprehensive national strategy aimed at supporting and protecting charitable and humanitarian work in the State, in coordination with other relevant entities, and work to implement it and prepare related studies.

* Supervise charitable and humanitarian associations and endowments, and fundraising advertisements licensed under the provisions of this Law.

* Supervise the implementation of charitable and humanitarian projects executed by charitable and humanitarian associations and endowments in cooperation with relevant entities.

* Detect and monitor crimes stipulated in this Law, apprehend acts and facts of financial and administrative corruption related to them, receive information, data, and reports related to these crimes, and take necessary measures to verify them and refer them to the competent investigative authority.

* Conduct periodic assessments of money laundering and terrorism financing risks regarding charitable and humanitarian activities, endowments, and fundraising campaigns conducted in the State.

* Develop a guide for charitable governance.

* Issue the Code of Ethics for Charitable and Humanitarian Work.

* Prepare the necessary databases and registers to achieve its objectives.

* Other competencies and duties stipulated in this Law and its Executive Regulations.

**Article (6)**

A special register shall be established in the Center in which charitable and humanitarian associations are recorded, along with all data and information related to their activities and any updates to this data. The Center shall make this data available to the public, as specified by the Executive Regulations, without prejudice to the confidentiality provisions stipulated in this Law.

**Article (7)**

The Center shall have an attached budget within the State’s general budget, and its preparation shall follow the rules and procedures governing the State’s general budget. The Center’s fiscal year begins on April 1 and ends on March 31 of the following year. The first fiscal year of the Center begins from the date of implementation of this Law and ends on March 31 of the following year. The Center shall prepare its budget draft and send it to the Ministry of Finance within the legal timeframe. If a disagreement arises or the Ministry of Finance objects to the Center’s estimates, and the Center does not accept these objections, the Minister of Finance shall refer the disagreement to the Cabinet to take what it deems appropriate.

**Section Two: Structure of the Center**

**Article (8)**

The Center shall have a Board of Directors consisting of seven (7) members. Three (3) of them may be selected from the boards of directors of announced charitable and humanitarian associations. They shall be appointed by Decree based on the nomination of the Competent Minister for a term of four (4) years, renewable only once. The Decree shall designate the President and Vice President from among them. If the position of President, Vice President, or any member becomes vacant for any reason, a replacement shall be appointed through the same appointment procedures, and the new member shall complete only the remaining term of their predecessor. The Executive Regulations shall determine the mechanism for selecting Center members and their competencies.

**Article (9)**

In addition to integrity, expertise, and competence in fields related to the Center’s work, members of the Board of Directors must meet the following conditions:

* Be a Kuwaiti national.

* Be at least forty (40) years old.

* Hold at least a university degree.

* Have a good reputation and conduct, and not have been previously convicted by a final judicial ruling for a crime of corruption, a crime involving honor or trust, or sentenced to a felony punishment, unless their reputation has been restored.

* Submit proof of resignation from their membership in the charitable and humanitarian association they work for, in the case of members selected from those associations.

If any member of the Board of Directors loses any of the conditions required for their appointment, the position shall become vacant, and the Competent Minister shall take appointment procedures for the replacement member in accordance with the provisions of this Law.

**Article (10)**

If the President, Vice President, or any member of the Board of Directors commits a serious breach of duty, the Competent Minister shall issue a decision to form a committee chaired by a member of the Administration of Fatwa and Legislation to investigate these facts. The committee shall submit a reasoned report to the Competent Minister within two months of its convening, concluding with a recommendation to dismiss the investigated member for serious breach of duties, or to close the case due to lack of violation. In the first case, the Competent Minister must take appointment procedures for the replacement member in accordance with this Law, without prejudice to the obligation to notify the competent investigative authority if the acts constitute a crime.

**Article (11)**

The Board of Directors shall have the following competencies:

* Approve the Board’s working system, specifically including meeting schedules and decision-making procedures.

* Formulate the Center’s general policy and supervise its implementation in cooperation with relevant entities, and prepare necessary plans and programs.

* Approve the National Strategy for Charitable and Humanitarian Work in the State.

* Approve the Center’s organizational structure, administrative and financial regulations, and the Center’s staff regulations, in accordance with prevailing legislation, particularly the Civil Service Law and System.

* Approve the referral of reports regarding crimes committed in violation of this Law to the competent investigative authority.

* Review periodic reports on the Center’s operations.

* Take necessary decisions to achieve the purposes for which the Center was established.

* Approve the Center’s budget draft and final account before presenting them to competent authorities.

* Approve the conclusion of agreements, cooperation protocols, and memoranda of understanding with relevant entities inside and outside the State, in accordance with prevailing legislation.

* Rule on applications for licensing the establishment and announcement of charitable and humanitarian associations and requests to amend their statutes.

* Review any issues the Chairman of the Board deems to fall within the Center’s competencies or duties.

* Form committees and working teams deemed necessary for its work.

* Any other competencies stipulated in this Law, its Executive Regulations, or decisions issued to implement it.

**Article (12)**

The Chairman of the Board of Directors represents the Center before the judiciary and third parties, without prejudice to the provisions of Amiri Decree No. (12) of 1960, referred to above.

**Article (13)**

The Center shall have a General Manager and Assistant Managers, who are not members of the Board of Directors. Their appointment shall be by a decision of the Board of Directors for a term of four (4) years, renewable only once. They must meet the same conditions required for Board members, except for the age condition. The financial grade for each shall be determined by the Center’s regulations.

**Article (14)**

The General Manager shall manage all financial and administrative affairs of the Center and work related to its executive body, in accordance with regulations and decisions issued to implement this Law and within the limits of the Center’s annual budget, without prejudice to the competencies entrusted to the Board of Directors. The Executive Regulations shall determine the competencies of the General Manager and Assistant Managers, who shall be accountable to the Board of Directors for these duties.

**Article (15)**

The Executive Regulations shall determine the criteria for selecting Center staff with expertise, competence, and specialization in the Center’s fields of work. No Center employee may join or work for any entity subject to the Center’s supervision and oversight. The Center may utilize staff from government entities and others to perform its duties, seconded to work for it in accordance with prevailing laws and systems. The Center shall train its employees to enable them to perform their duties and competencies optimally.

**Article (16)**

Center employees, whose designation is determined by a decision of the Competent Minister, shall have the status of Judicial Police to monitor the implementation of this Law, its Executive Regulations, and decisions issued to implement it. By virtue of this status, they have the right to enter the premises of charitable and humanitarian associations, endowments, and places designated for fundraising campaigns during official working hours, inspect records and books, monitor violations, seize any documents or funds related to the violation, and submit reports on these violations to the competent authority within the Center to take appropriate measures. Judicial Police officers may enlist the assistance of police force members in performing their duties.

**Section Three: The Kuwait Fund for Humanitarian Action**

**Article (17)**

The Center shall have a bank account named (The Kuwait Fund for Humanitarian Action), from which funds shall be disbursed for:

* Qualifying and training workers in the fields of charitable and humanitarian work.

* Preparing studies, research, and publications related to charitable and humanitarian work.

* Holding conferences and lectures in the fields of charitable and humanitarian work.

* Supporting charitable and humanitarian activities conducted inside or outside the State, and implementing them if necessary.

* Other purposes specified by the Executive Regulations.

**Article (18)**

The Fund’s resources shall consist of:

* Fees established by this Law.

* Donations approved by the Board of Directors.

* Financial penalties imposed in accordance with the provisions of Chapter Five of this Law.

* Other resources stipulated in this Law or its Executive Regulations.

The Fund’s funds are considered public funds and shall not be used except for their designated purposes. In case of a surplus, it shall be carried forward to the next fiscal year. The Executive Regulations shall determine the rules for managing the Fund’s funds.

**Chapter Three: Fundraising Campaigns**

**Section One: Licensing Fundraising Campaigns**

**Article (19)**

The Center shall issue the necessary licenses to establish fundraising campaigns in accordance with this Law and its Executive Regulations, observing the Code of Ethics for Charitable and Humanitarian Work. The Executive Regulations shall determine the conditions and controls for granting licenses to establish fundraising campaigns:

A. Conditions and controls for granting licenses to establish fundraising campaigns to fund charitable and humanitarian activities inside the State, considering money laundering and terrorism financing risks.

B. Conditions and controls for granting licenses to establish fundraising campaigns to fund charitable and humanitarian activities outside the State or accepting donations from outside, based on the level of money laundering and terrorism financing risks in those countries (high, medium, or low). A decision by the Board of Directors shall designate these countries according to the classifications mentioned, as determined by the Kuwait Financial Intelligence Unit under the provisions of Article (17) of Law No. 106 of 2013, referred to above.

**Article (20)**

A register shall be established in the Center for all licensed fundraising campaigns in accordance with this Law, including the campaign’s purpose, scope of work, personnel, duration, proceeds, and any notes. The Center shall provide a copy to relevant authorities upon request. The register shall be available to the public on the Center’s website.

**Article (21)**

It is prohibited for individuals to establish fundraising campaigns without obtaining a license, except for government legal entities. Approval from the Ministry of Foreign Affairs is required if the campaigns are to fund charitable and humanitarian activities outside the State. In all cases, it is prohibited for a natural person to establish fundraising campaigns to fund activities outside the State.

**Article (22)**

Licenses for fundraising campaigns shall not be granted if the purpose is illegal or contrary to public morals. It is also prohibited for the licensee to:

* Trade in donation funds, engage in financial speculation, or distribute any revenues or returns to its members or employees.

* Conduct any work during fundraising that harms public order or public morals, or incites sectarian or racial animosity or divides national unity.

The Executive Regulations for this Law shall determine the necessary controls and conditions for determining administrative or operational expenses, including specifying spending ratios, disclosing them, their uses, and oversight controls.

**Article (23)**

An application for a license to establish fundraising campaigns shall be submitted to the Center using the designated form. The Center shall rule on the application (approval or rejection) within thirty (30) days from the date of submission. The Center may seek the opinion of relevant government entities regarding the application or the purpose for which funds are collected. Emergency license applications must be ruled upon within three (3) days from the date of submission, as defined by the Executive Regulations. Failure by the Center to respond within the specified periods shall be considered a rejection of the license application. The Executive Regulations shall determine the procedures for submitting license applications.

**Section Two: Oversight of Fundraising Campaigns**

**Article (24)**

The licensee shall spend the proceeds of the fundraising campaign for the purposes specified in the license. If spending for the specified purposes becomes impossible for any reason after issuance, the Center’s approval must be obtained to change the purpose to another.

**Article (25)**

The licensee is obligated to deposit collected donation amounts