14.6 billion dinars in foreign investments for local banks, an increase of 421 million

- Loans in dinars reached 188.3 million at the end of July, up 14.4%

- Foreign banks’ deposits fell 8.1% to 6.4 billion

- Local banks recorded 2.566 billion in financing from foreign banks

- Local banks’ deposits held at foreign banks amounted to 1.19 billion

- Private sector deposits in foreign currencies rose 4%

Foreign investments in local banks rose 3% during the first seven months of 2026, reaching 14.595 billion in July compared to 14.17 billion in December, an increase of 421.8 million. They also grew 3.5%, or by 494.4 million, on an annual basis, after standing at 14.1 billion in the same month last year.

According to data from the Central Bank of Kuwait, loans and credit facilities extended to non-residents rose 7.8%, or by approximately 489.6 million, to 6.739 billion by the end of last July, compared to 6.25 billion at the end of December. They also grew 13.4%, or by 798.1 million, on an annual basis, after standing at 5.941 billion in July 2025. Loans in dinars reached approximately 188.3 million, up 14.4% or by 23.8 million, after standing at 164.5 million at the end of last December.

Loans granted by local banks to foreign banks declined during this period by 15.6%, or by 673.6 million, to 3.634 billion, compared to 4.308 billion at the end of December. However, they rose 21.9% on an annual basis, equivalent to 653 million, after standing at 2.981 billion in July 2025.

Conversely, loans obtained by local banks from foreign banks rose 0.4%, or by 11.2 million, during the first seven months of 2026, reaching 2.566 billion compared to 2.555 billion in December. They also grew 6%, or by 145.8 million, on an annual basis, after standing at 2.421 billion in July of last year.

Thus, reciprocal loans between local and foreign banks fell 9.6%, or by 662.4 million, dropping from 6.863 billion at the end of 2025 to 6.2 billion in last July. However, they rose 14.7%, or by 798.8 million, on an annual basis, compared to 5.4 billion in July 2025.

Deposits of local banks at foreign banks (including certificates of deposit) recorded a clear increase of 17.3%, or by 1.19 billion, reaching 6.885 billion in last July compared to 5.865 billion in December. They also rose 4.74%, or by approximately 312.2 million, on an annual basis, compared to 6.57 billion in July 2025.

On the other hand, deposits of foreign banks at local banks declined by 8.1%, or by 571.3 million, to 6.417 billion, compared to 6.988 billion in December. They also fell 9% on an annual basis, by approximately 639 million, compared to 7.056 billion at the end of July last year.

Consequently, reciprocal deposits between local and foreign banks rose 3.4%, or by 447.9 million, from 12.854 billion at the end of 2025 to 13.3 billion in last July. However, they fell 2.4%, or by 326.8 million, on an annual basis, compared to 13.629 billion in July 2025.

Other foreign deposits at local banks declined 2.3%, or by 145.7 million dinars, to 6.157 billion, compared to 6.302 billion in December. However, they grew 17.5%, or by 919.6 million, after standing at 5.23 billion.

Private sector deposits in foreign currencies at local banks rose 4%, or by 247.1 million dinars, reaching 6.364 billion in last July, compared to 6.11 billion in December. They also surged 13.3% on an annual basis, by approximately 750.8 million, after standing at 5.61 billion.