Kuwait halts fees on e-transfers

Kuwait’s central bank has halted contested fees on individuals’ local electronic transfers, Kuwaiti media reported.

The central bank stepped in to stop the fees after controversy that followed the levy imposed by some banks operating in Kuwait, a local newspaper has said.

Around 2.5 million e- inter-bank transfers by individuals are conducted annually in Kuwait, Al Rai said, citing unofficial banking data.

The Central Bank of Kuwait said that levying such fees requires approvals as part of the “balanced relationship” between the banks and their customers in a way boosting tendencies towards digital transformation and encouraging customers to use electronic banking channels.

Last March, officials at banks held a video conference at which most banks agreed to charge KD1 on each such transfer with the deadline being June 5, reported Al Rai. One bank rejected the levy while another proposed obtaining approval of the central bank beforehand, the paper added.

Other banks imposed the controversial fees in the past months, prompting the central bank to step in and halt the levy.