Kuwait - Lending Rate




Kuwait: Lending Rate

Mnemonic IRLEND.IKWT
Unit %, NSA
Adjustments Not Seasonally Adjusted
Monthly
Data Feb 2023 4
Jan 2023 4

Series Information

Source Central Bank of Kuwait
Release Discount rate
Frequency Monthly
Start Date 1/31/2000
End Date 2/28/2023

Kuwait: Markets

Reference Last Previous Units Frequency
Money Market Rate 20 Mar 2023 4.44 4.44 %, NSA Daily
Lending Rate Feb 2023 4 4 %, NSA Monthly
Average Long-term Government Bond May 2016 2 2.25 %, NSA Monthly
Treasury Bills (over 31 days) Apr 2012 0.76 %, NSA Monthly

Release Information

Description

The chief monetary policy rate of the Central Bank of Kuwait is called the discount rate. Monthly from 2000.

Methodology

The source writes:

Monetary policy in the State of Kuwait is set and implemented by CBK in accordance with the Law No. 32 of the year 1968 concerning Currency, the Central Bank of Kuwait and the Organization of Banking Business. Monetary Policy's prime objective is to maintain monetary stability with the aim to mitigate the impacts of inflation [and also] to enhance the social and economic progress and growth of national income.

In the monetary policy announcement of 16 December 2015, the source writes:

... the Discount Rate in the State of Kuwait ... is used to determine maximum interest rates on [Kuwaiti Dinar] borrowing transactions at local banks and, accordingly, raising the discount rate ensures competitiveness and attractiveness of the national currency as a store of domestic savings and higher returns for KD depends compared to other major currencies ...

In the 2015-2016 Annual Report, the source writes:

[D]ecreasing (or increasing) the Discount Rate will necessarily entail an equal decrease (or increase) in the maximum limits of interest rates on KD-lending transactions of the local banking and financial system units.

Revisions

The data are not subject to revisions.

Notes