Kuwait: Limited Exposure to Collapse of SVB

Business

March 14th, 8:38am

Kuwait - Asharq Al-Awsat

The financial sector in Kuwait said that it had registered limited exposure to the collapse of Silicon Valley Bank. (Asharq Al-Awsat)

The financial sector in Kuwait announced that it had registered limited exposure to the collapse of Silicon Valley Bank. The Central Bank of Kuwait (CBK) affirmed on Sunday that the exposure of Kuwaiti banks to Silicon Valley Bank (SVB), following the closure of the bank by the US authorities, was “very, very limited”. The National Bank of Kuwait (NBK) said in a statement that its exposure was “minimal” and would not affect the bank’s financial position. The disclosure published on the Boursa Kuwait website said NBK’s small exposure was represented in off-balance sheet items in the form of letters of guarantee worth $4.9 million (around 1.5 million Kuwaiti dinars). For its part, Kuwait Finance House announced on Monday that the value of its exposure to the Silicon Valley Bank was in the range of 381,000 Kuwait dinars ($1.2 million). Eight Kuwaiti banks listed on the Kuwait Stock Exchange confirmed Monday that they were not exposed to SVB, which was closed by the US authorities due its bankruptcy last week. Those included Warba, Boubyan, Kuwait International (KIB), Ahli United, Al Khaleej, Al-Tejari, Al-Ahli and Burgan. In its statement, the CBK pointed to the stability of the conditions of the banking system’s units.

from Asharq AL-awsat https://english.aawsat.com/home/article/4211276/kuwait-limited-exposure-collapse-svb