Press Releases

Press Release: Key Developments in the Balance of Payments of the State of Kuwait for the First Quarter of 2019

28.07.19 The Central Bank of Kuwait (CBK) published today the preliminary data of the State of Kuwait’s Balance of Payments (BoP) for 1Q 2019, and the revised data of 4Q 2018. The data revealed a surplus of KD 1,998.1 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 with a surplus of KD 1,831.1 million during the previous quarter, i.e. an upturn by 9.1% equivalent to KD 167.0 million. This upturn is mainly attributable to the decline in the total value of payments on the debit side of the Current Account by KD 69.0 million or 1.2% compared with the previous quarter, and the rise in the total value of receipts on the credit side of the Current Account by KD 98.1 million or 1.3% compared with the previous quarter. Furthermore, preliminary data indicated a drop in the surplus of the Balance on Goods by KD 409.9 million or 13.1% to reach KD 2,730.2 million during the first quarter of 2019, compared with KD 3,140.1 million during the previous quarter.

The Services Account (net value of services transactions between residents and non residents that include transportation, travel, communications, construction, other services as well as government services and goods) recorded a rise in deficit by KD 99.2 million or 6.4% to reach KD 1,647.2 million during 1Q 2019, against a deficit of KD 1,548.1 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 830.7 million during 1Q 2019 against KD 2,443.2 million during the previous quarter, i.e. an increase of KD 1,612.5 million.
As a result, the overall position of Kuwait’s BoP recorded a surplus of KD 234.6 million during 1Q 2019 against a surplus of KD 215.0 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” and changes in CBK’s reserve assets, BoP’s overall position, in a broad definition, indicates a surplus of KD 2,118.4 million during 1Q 2019 against a surplus of KD 2,550.1 million during the previous quarter.

Summary of the Balance of Payments of the State of Kuwait

(KD Million)

Item

4Q 2018

1Q 2019

Current Account, of which:

1,831.1

1,998.1

- Balance on Goods

3,140.1

2,730.2

Capital Account

-19.8

-0.7

Financial Account

-2,443.2

-830.7

Overall Balance

215.0

234.6

Source: Central Bank of Kuwait.