Kuwait private sector deposits up 44.4 bln dinars in July, driven by foreign currency growth

Total private sector deposits increased in July by approximately 660 million, or 1.5%, reaching 44.394 billion dinars compared to 43.734 billion dinars in June. According to Central Bank of Kuwait statistics, deposits grew since the beginning of 2025 by about 2.786 billion dinars (+6.7%) and by 3.66 billion dinars (+9%) compared to July 2024.

Deposits in dinars declined by about 251.6 million dinars (-0.64%) month-on-month to 38.78 billion dinars, while they increased by 1.18 billion dinars (+3.14%) since the start of the year and by 1.71 billion dinars (+4.6%) year-on-year.

The price of Kuwaiti crude rose to $71.33 per barrel, while the Egyptian Minister of Petroleum announced that drilling of new wells in the Zohr field is underway.

Private sector deposits in foreign currencies rose in July by 911.8 million dinars (+19.4%) compared to June, reaching 5.613 billion dinars. They grew by about 1.6 billion dinars (+40%) since the beginning of the year and by 1.94 billion dinars (+53.1%) compared to July 2024.

Total deposits granted to residents in the banking sector amounted to 56.66 billion at the end of July, an increase of 712 million dinars (+1.3%) on a monthly basis, 2.84 billion dinars (+5.3%) since the beginning of the year, and 3.83 billion dinars (+7.25%) year-on-year.

Government deposits fell by 26.5 million dinars (-0.57%) in July compared to June, reaching 4.6 billion dinars. They dropped by 482.6 million dinars (-9.5%) since the beginning of 2025 and by 613 million dinars (-11.75%) compared to July 2024.

Public institution deposits increased by 79.3 million dinars (+1%) month-on-month, reaching 7.67 billion dinars at the end of July. They rose by 538.7 million dinars (+0.75%) since the beginning of the year and by 779.6 million dinars (+11.3%) compared to July 2024.

Total credit facilities to residents and non-residents increased by 1.29 billion dinars (+2.16%) in July, reaching 61.09 billion dinars versus 59.79 billion dinars at end-June. Since the beginning of the year, they rose by 3.92 billion dinars (+6.86%), with a year-on-year increase of 5.71 billion dinars (+10.32%).

Of this, resident loans stood at 52.16 billion dinars, up 474 million dinars (+0.91%) month-on-month, 2.75 billion dinars (+5.57%) since January, and 3.65 billion dinars (+7.5%) year-on-year. Non-resident loans reached 8.92 billion dinars, rising by 823 million dinars (+10%) month-on-month, 1.16 billion dinars (+15%) since January, and 2 billion dinars (+30%) year-on-year, compared to 6.85 billion dinars in July 2024.

Personal facilities increased by 175 million dinars (+0.8%) in July, reaching 19.75 billion dinars. They rose by 433 million dinars (+2.24%) since January and by 739 million dinars (+3.88%) compared to July 2024.

Consumer loans reached 2.054 billion dinars, up 9 million dinars (+0.44%) month-on-month, down 18 million dinars (-0.86%) year-to-date, but higher by 28 million dinars (+1.38%) year-on-year. Housing loans reached 16.98 billion dinars, increasing by 131 million dinars (+0.77%) compared to June, by 438 million dinars (+2.64%) since January, and by 740 million dinars (+4.55%) compared to July 2024.

Facilities for private and model housing fell by 3.5 million (-1.5%) in July and by 10.4% year-to-date, totaling 25.4 million dinars.
Securities purchase loans totaled 4.4 billion dinars, down 1.27% month-on-month, but up 16% since the start of 2025 and 21.5% compared to July 2024.

Loans to companies and institutions stood at 2.77 billion dinars, down 0.07% month-on-month, but up 16% year-to-date and 14.4% year-on-year. Securities purchase loans to individuals amounted to 1.63 billion dinars, down 3.2% compared to June and 16.23% compared to December 2024, but up 35.7% compared to July 2024 (1.2 billion dinars).

Loans to non-bank financial institutions (investment companies) reached 2.97 billion dinars at the end of July, increasing by 3.55% month-on-month, 17.1% year-to-date, and 19.9% year-on-year compared to 2.47 billion dinars in July 2024.

Kuwait’s official reserve assets fell to 13.23 billion dinars at the end of July, the lowest level since July 2021. Reserves declined by 7.72% month-on-month, 3.07% since December 2024, and 7.33% year-on-year (July 2024: 14.32 billion dinars). In dollar terms, reserves amounted to $13.27 billion compared to $14.32 billion in July 2024.

Foreign currency and deposits abroad fell to 11.63 billion dinars, down 8.78% month-on-month and 8.43% compared to July 2024. Special Drawing Rights amounted to 1.33 billion dinars, an increase of 1.53% year-on-year but stable compared to June.

The IMF reserve position reached 223.7 million dinars, rising by 2.15% month-on-month and 3.37% year-on-year compared to 216.4 million dinars in July 2024.

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