Consumer spending in Kuwait rises 5% to reach KD 35.9 billion

• The value of transactions from point-of-sale devices in Kuwait during the nine-month period of 2024 reached KD 12.9 billion, while transactions abroad totaled one billion dinars, bringing the overall total to KD 13.9 billion.

According to data from the Central Bank of Kuwait, spending by citizens and residents rose by 5% in the first nine months of 2024, reaching KD 35.9 billion, up from KD 34.2 billion during the same period in 2023. This increase was primarily fueled by online spending, which totaled KD 14.28 billion of the overall expenditure, as reported by Al Anba newspaper.

The data showed that the value of transactions from point-of-sale devices at home during the nine-month period amounted to KD 12.9 billion, while transactions abroad totaled one billion dinars, bringing the overall total to KD 13.9 billion.

In terms of ATM transaction values, these amounted to KD 7.4 billion domestically and KD 200 million abroad, resulting in a total transaction value of KD 7.6 billion.

As for transactions carried out through websites, the total reached approximately KD 14.2 billion during the nine months, with domestic online purchases accounting for KD 13.19 billion and transactions abroad totaling one billion dinars.

Local banks granted new loans to residents and non-residents worth KD 2.27 billion

Data issued by the Central Bank of Kuwait revealed that local banks granted new loans to residents and non-residents worth KD 2.27 billion during the first nine months of 2024. This brings the cumulative balance of credit facilities to KD 55.83 billion by the end of September, compared to KD 53.55 billion at the end of December 2023, reflecting a growth of 4.2% between January and September 2024.

In detail, loans granted to residents reached KD 48.86 billion by the end of September, an increase of KD 1.18 billion (2.5%) over the nine-month period, compared to a balance of KD 47.67 billion at the end of December 2023.

Meanwhile, loans granted to non-residents totaled KD 6.97 billion by the end of September, reflecting a growth of KD 1.09 billion (18.6%) compared to their balance of KD 5.88 billion at the end of December 2023.

Facilities granted to economic sectors

The increase in the volume of loans granted to residents and non-residents since the beginning of this year occurred alongside the growth of credit extended to most economic sectors.

Housing loans, which are long-term personal loans for buying, building, or renovating private housing, amounted to KD 16.32 billion by the end of September. This represents an increase of KD 312 million (1.9%) over the nine-month period, compared to a balance of KD 16 billion at the end of December 2023.

Total consumer facilities granted in Kuwait during the nine-month period amounted to approximately KD 82 million, reflecting a growth of 4.1% and bringing the cumulative balance to KD 2.05 billion, compared to KD 1.96 billion at the end of last December.

Additionally, the total balance of personal facilities at the end of September reached KD 19.12 billion, increasing by KD 365 million (1.9%) during the first nine months of this year, compared to its level of KD 18.76 billion at the end of December 2023.

The data indicated an increase in loans for purchasing securities during the first nine months of 2024, reaching KD 3.67 billion by the end of September, compared to KD 3.5 billion at the end of December 2023. This reflects an increase of 4.8%, or KD 169 million.

Total facilities provided to the oil and gas sector since the beginning of the year reached KD 2.37 billion by the end of September, down from KD 2.51 billion at the end of December 2023, representing a decline of 5.4% or KD 137 million.

The data also showed a decrease in bank loans since the beginning of 2024, which fell to KD 2.83 billion by the end of September, compared to KD 3.29 billion at the end of December 2023, marking a decline of 13.8%, or KD 456 million.

Increase in deposits with Kuwaiti banks

In terms of deposits, data from the Central Bank revealed an increase in deposits with Kuwaiti banks by both residents and non-residents during the first nine months of 2024, reaching KD 53.85 billion compared to KD 53 billion recorded at the end of 2023. This represents an increase of KD 849 million, or 1.6%.

Specifically, deposits from residents with Kuwaiti banks grew to KD 50.53 billion by the end of September, a growth of 3.7%, or KD 1.81 billion, compared to KD 48.7 billion last December.

Deposits with Kuwaiti banks from non-residents fell to KD 3.3 billion during the first nine months of 2024, which represents a decrease of 22.4%, or KD 959 million, compared to KD 4.28 billion in December 2023.

The data showed that the increase in deposits at Kuwaiti banks by residents and non-residents since the beginning of the year until the end of September was driven by a rise in private sector deposits in dinars, which reached KD 37.5 billion compared to KD 36.05 billion, reflecting an increase of 4.2%, or KD 1.51 billion.

Additionally, the data indicated that the private sector’s foreign currency deposits declined by KD 966 million by the end of September, bringing the total balance of foreign currency deposits to KD 3.7 billion, down from KD 4.6 billion at the end of December, a decrease of 20.8%.

Deposits from financial and non-financial public institutions also declined during the first nine months of this year, reaching KD 7.35 billion compared to KD 7.6 billion at the end of last December, a decrease of KD 266 million, or 3.5%.

The Central Bank’s data revealed an increase in government deposits from the beginning of the year until the end of September, reaching KD 5.23 billion compared to KD 4.69 billion at the end of December. This represents a growth rate of 11.5%, amounting to KD 538 million.