The Central Bank of Kuwait (CBK) announced yesterday the conditions and regulation for postponing the installments of consumer and installment loans for eligible citizens for a period of 6 months, Al Anbaa reported.
In a circular to banks, investment companies, and financing companies, the Central Bank clarified that these conditions and regulations apply to all eligible Kuwaiti citizens, provided that the client submits to the creditor within a month from the date the law comes into effect indicating his desire to postpone the payment obligations.
The law to postpone loan installments to citizens by the National Assembly and the government comes due to the negative economic repercussions of the Coronavirus pandemic, it is an effort to reduce the financial burdens and obligations on the citizens.
This law is approved for the second time after it was approved for the first time last year. The banks were the ones who bore the costs of the postponement for the first time, which amounted to about KD 400 million, while this time the cost of KD 340 million will be borne by the state treasury.
