Kuwait exchange sector posts 15.3 million dinars profits, soars on strong revenues
Currency sales post 146 percent profit in Q1 of 2026
The money exchange sector in Kuwait delivered a strong performance in the first quarter of 2026, with net profits surging by 146 percent to reach 15.295 million dinars, compared to 6.216 million dinars during the same period last year—an increase of 9.078 million dinars, according to data released by the Central Bank of Kuwait.
The sharp rise in profitability was underpinned by robust revenue growth, which climbed 72.4 percent, increasing by 16.323 million dinars to 38.866 million dinars, up from 22.543 million dinars a year earlier.
Currency trading remained the dominant revenue driver, with income from currency sales jumping 91.4 percent to 35.767 million dinars, accounting for approximately 92 percent of total sector revenues.
Additional income streams showed mixed performance. Bank interest income rose by 38.5 percent to 303,800 dinars, compared to 219,400 dinars in the corresponding quarter of 2025. However, other income declined by 23.1 percent, falling by 843,000 dinars to 2.795 million dinars from 3.638 million dinars.
On the cost side, the surge in revenues absorbed higher operating expenses, which increased by 44.4 percent, or 7.24 million dinars, reaching 23.57 million dinars compared to 16.327 million dinars.
Administrative and banking expenses accounted for the bulk of this rise, climbing 44.9 percent to 19.377 million dinars, while bank interest expenses recorded a significant jump of 163 percent to 777,200 dinars.
Provisions also increased during the quarter, rising by 38.5 percent to 3.206 million dinars from 2.314 million dinars, reflecting a cautious approach by companies amid market conditions, Al-Rai daily reports.
Meanwhile, other expenses declined by 39.6 percent to 210,200 dinars.
The sector’s balance sheet expanded notably, with total assets growing 16.1 percent, or 49.3 million dinars, to reach 354.6 million dinars compared to 305.3 million dinars.
This growth was largely driven by a 24.1 percent increase in foreign assets, which rose to 102.9 million dinars, and a 43.5 percent surge in claims on financial institutions to 123.3 million dinars.
Other asset categories recorded moderate increases, including fixed assets, which rose 1.9 percent to 36.4 million dinars, and other assets, up 4.6 percent to 44.8 million dinars. Accounts receivable also edged higher by 4.7 percent. In contrast, cash and monetary assets declined by 20.9 percent to 40 million dinars, while financial and real estate investments fell by 9.3 percent to 2.9 million dinars.
