Central Bank Issues Final Regulatory Framework for Open Banking Services
The Central Bank issued the final framework for regulating open banking services to enhance transparency and security.
Translated by Qiyas from السياسة — Original source
- Enables customers to monitor accounts, track expenses, manage savings, and compare banking products and services
The Central Bank of Kuwait announced the issuance of the final regulatory framework for Open Banking, following the completion of a review of all comments and feedback submitted on the draft framework released in June 2025. This step reflects the bank’s commitment to keeping pace with developments in modern financial technologies and enhancing the principles of transparency and participation.
In a statement, the bank said the framework aims to regulate Open Banking activities by establishing supervisory directives and security, technical, and operational standards in line with global best practices. This will enable financial institutions licensed by the Central Bank of Kuwait to offer these services in the State of Kuwait.
The bank added that the launch of Open Banking represents a fundamental shift in the services provided by the banking and financial sectors. It allows local banks to securely share data with Account Information Service Providers and Payment Initiation Service Providers authorized by the Central Bank of Kuwait, to introduce new products and services in Kuwait, based on explicit customer consent.
The bank clarified that the scope of Open Banking in Kuwait includes providing customers with unified information about their bank accounts at local banks, tracking their expenses, and enabling them to plan their savings and spending. It also facilitates loan transactions and guarantee letters, creates payment orders from bank accounts, and helps customers discover and compare banking products and services to choose the most suitable options.
