KBA Workshop - Euromoney Conferences

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Is the banking sector able to handle the task? To start with, there is no evidence to suggest that the banking sector in the State of Kuwait is not able to handle the funding for development challenge, in accordance with the credit policy in place in each bank, and in accordance with the guidelines of the Central Bank of Kuwait. There are 21 domestic and foreign banks are currently operating in Kuwait, and they do not seem to have liquidity problem. In fact, judging by 2010 data as revealed by the Central Bank, the minimum ratio for liquidity was 18%, and this ratio was at 28.9% at the end of 2010. This is a strong indicator on the robustness of the commercial banks position, and evidence of their capacity to meet the funding requirements of the development plan.
Is the banking sector able to handle the task? Judging by the ratio of loans to deposits in the Kuwaiti banking sector, there is potential for additional lending, and for the increase in the financing capacity of the banks. Judging by the indicator of capital adequacy ratios, Kuwait commercial banks are well above the minimum, even as stipulated by Basel III. This is an indication of a strong capital base that allows commercial banks to safely expand their loan granting activities.
Page 1 and 2: The Finance-Development Nexus: The
Page 3 and 4: Financial Development and Economic
Page 5 and 6: How does the “supply leading” h
Page 7 and 8: The “demand following” hypothes
Page 9 and 10: Which direction of causation in the
Page 11 and 12: Commonly cited “worries”: The
Page 13 and 14: Is “state-run funding” the way
Page 15: Is “state funding” the way to g

KBA Workshop - Euromoney Conferences

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