Press Releases

Press Release: Key Developments in the Balance of Payments of the State of Kuwait for the Fourth Quarter of 2018

01.05.19 The Central Bank of Kuwait (CBK) published today the preliminary data of the State of Kuwait’s Balance of Payments (BoP) for 4Q 2018, and the revised data of the preceding quarter. The data revealed a surplus of KD 1,643 million in the Current Account (that sums up receipts and payments on transactions between the domestic economy and other economies in terms of goods, services and income) compared to a surplus of KD 923 million during the previous quarter, i.e. an upturn by 77.9% equivalent to KD 719.4 million. This upturn in the Current Account surplus is mainly attributable to the decline in the deficit of the Services Account (net value of services transactions between residents and non residents, the most important of which are transportation, travel, communications and construction) by KD 1,164 million or 39.6%, to KD 1,778 million during 4Q 2018, compared to a deficit of KD 2,942 million during the previous quarter.

Regarding the Financial Account (recording transfers of financial assets and liabilities between residents and non residents), the net value of residents’ external assets under this account reached KD 2,047 million during 4Q 2018 against KD 1,409 million during the previous quarter, i.e. an increase of KD 637.1 million.

As a result, the overall position of Kuwait’s BoP recorded a surplus of KD 215 million during 4Q 2018 against a deficit of KD 476 million during the previous quarter.

From a broader perspective, and taking into consideration the change in the net value of external assets of some institutions listed under “General Government”, BoP’s overall position, in a broad definition, indicates a surplus of KD 2,250 million during 4Q 2018 against a surplus of KD 2,186 million during the previous quarter.

Summary of the Balance of Payments of the State of Kuwait

(KD Million)

Item

3Q 2018

4Q 2018

Current Account, of which:

923

1,643

- Balance on Goods

3,516

3,140

Capital Account

-5

-6

Financial Account

-1,409

-2,047

Overall Balance

-476

215

       Source: Central Bank of Kuwait.