Central Bank of Kuwait Announces $792 Million Bonds and Tawarruq Issuance

Kuwait, 03 April, 2024 :  The Central Bank of Kuwait (CBK) has announced the issuance of bonds and tawarruq worth KWD240 million (approximately $779.44 million). This issuance, valid for three months, offers a return rate of 4.375 percent, as reported by Kuwait News Agency (KUNA).

These financial instruments serve as a means for governments to borrow funds and for businesses to convert debts into tradable securities. Specifically, the CBK's bonds and tawarruq are aimed at regulating liquidity within the Kuwaiti banking sector by withdrawing excess funds from the market.

In previous allocations, the CBK had earmarked KWD240 million for similar issuances in October 2023, June 2023, and May 2023. These allocations featured varying return rates and durations to meet the liquidity management needs of the banking sector.

Source : www.economymiddleeast.com