30/10/2024
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30/10/2024
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KUWAIT CITY, Oct 30: Data from the Central Bank of Kuwait revealed a 5% rise in consumer spending by Kuwaitis and expats in the first nine months of 2024, totaling KWD 35.9 billion compared to KWD 34.2 billion during the same period in 2023. This increase was largely driven by online spending, which accounted for KWD 14.28 billion of the total expenditure.
A breakdown of spending showed KWD 12.9 billion spent on domestic point-of-sale (POS) transactions, with KWD 1 billion spent abroad, totaling KWD 13.9 billion. ATM transactions totaled KWD 7.4 billion domestically and KWD 200 million internationally, reaching KWD 7.6 billion in total. Website transactions reached approximately KWD 14.2 billion, with KWD 13.19 billion spent domestically and KWD 1 billion abroad.
Lending to Kuwaitis and Expats
Local banks issued KWD 2.27 billion in new loans to Kuwaitis and expats in the first nine months of 2024, raising the cumulative balance of credit facilities to KWD 55.83 billion by the end of September, a 4.2% growth compared to KWD 53.55 billion at the end of 2023. Loans to Kuwaitis reached KWD 48.86 billion by September’s end, a 2.5% increase from KWD 47.67 billion in December 2023. Loans to expats reached KWD 6.97 billion, an 18.6% growth from KWD 5.88 billion in December 2023.
Credit for Economic Sectors
The growth in credit facilities for both Kuwaitis and expats reflected increased lending across various economic sectors. Housing loans, aimed at personal real estate investments, reached KWD 16.32 billion by the end of September, a 1.9% increase from KWD 16 billion in December 2023. Consumer loans grew by 4.1%, totaling KWD 2.05 billion by September’s end, compared to KWD 1.96 billion in December 2023.
The value of loans for securities purchases rose to KWD 3.67 billion by September’s end, a 4.8% increase from KWD 3.5 billion in December 2023. Loans to the oil and gas sector fell to KWD 2.37 billion by the end of September, marking a 5.4% decline from KWD 2.51 billion in December 2023. Overall bank loans also saw a decline, decreasing by 13.8% to KWD 2.83 billion by the end of September.
Increase in Bank Deposits
The Central Bank’s data highlighted an increase in deposits by both Kuwaitis and expats, reaching KWD 53.85 billion by the end of September, a 1.6% increase from KWD 53 billion at the end of 2023. Kuwaiti deposits rose by 3.7%, totaling KWD 50.53 billion, while expat deposits dropped by 22.4% to KWD 3.3 billion from KWD 4.28 billion in December 2023.
The rise in private sector deposits in Kuwaiti dinars reached KWD 37.5 billion, a 4.2% increase from KWD 36.05 billion in December. However, foreign currency deposits in the private sector decreased by 20.8% to KWD 3.7 billion by September. Deposits from public financial and non-financial institutions also saw a decline, reaching KWD 7.35 billion, a 3.5% drop from KWD 7.6 billion in December 2023. Government deposits, however, increased to KWD 5.23 billion by September’s end, an 11.5% growth from KWD 4.69 billion at the close of 2023.
