'Central Bank' Approves 'Al-Khalij' for Full Conversion to Sharia-Compliant Operations
Press coverage 2 newspapers covered this event: Al-Jarida · Al-Rai →
Al-Khalij Bank announced it has received approval from the Central Bank of Kuwait for full conversion to operate in accordance with Islamic Sharia provisions.
Translated by Qiyas from الراي — Original source
Gulf Bank announced that it has received approval from the Central Bank of Kuwait for the full transition to operate in accordance with Islamic Sharia principles and to proceed with the transformation procedures.
In a formal disclosure on the Kuwait Stock Exchange website, the bank stated: “In accordance with the provisions of Book Ten, Chapter Four of Decision No. (72) of 2015 concerning the issuance of the Executive Regulations for Law No. (7) of 2010 on establishing the Capital Markets Authority and regulating securities activities and its amendments, which relate to the disclosure of material information and the mechanism for announcing it, and following our disclosure dated August 18, 2026, regarding Gulf Bank’s submission to the Central Bank of all regulatory and operational requirements outlined in the Central Bank’s letter dated August 18, 2025, which contained its preliminary approval for Gulf Bank’s transition to a Sharia-compliant bank, we hereby submit a request for approval to proceed with the transformation procedures to become a Sharia-compliant bank.”
The bank added: “We wish to inform you that our bank received approval from the Central Bank on the 4th for the full transition of Gulf Bank to operate in accordance with Islamic Sharia principles and to proceed with the transformation procedures. It should be noted that, upon completion of these procedures, a request must be submitted to the Central Bank to delete the bank from the register of conventional banks and register it in the register of Islamic banks. We also emphasize that our bank is not permitted to conduct Islamic banking activities before being registered in the Central Bank’s register of Islamic banks.”
On this occasion, Ahmed Al-Bahar, Chairman of the Board of Directors of Gulf Bank, said: “We congratulate our shareholders, clients, and employees on reaching this pivotal stage in Gulf Bank’s journey toward becoming a Sharia-compliant bank, which brings us all further opportunities for development and growth.”
He added: “We are proud of this achievement, which embodies our commitment to our strategic vision and our aspiration to continue developing the bank’s operations and enhancing its ability to meet the expectations of its clients and shareholders. We also confirm that this achievement marks the beginning of a new phase that requires continued work at the highest levels of efficiency and professionalism to complete the transformation process smoothly and successfully.”
Al-Bahar stated: “I would like to extend my thanks and appreciation to all Gulf Bank employees for their efforts and dedication. I also extend my sincere gratitude to the Central Bank for its cooperation and support in completing this project with the utmost professionalism.”
Gulf Bank reaffirmed its commitment to applicable laws and regulations, including obtaining any approvals that may be required from regulatory authorities as part of Gulf Bank’s transition to a Sharia-compliant bank, as well as disclosing any material developments in this regard.
