97.5% of Kuwaiti debtors repay, only 2.5% default: CBK

97.5% of Kuwaiti debtors repay, only 2.5% default: CBK

By B Izzak

KUWAIT: The Central Bank of Kuwait said in a statement on Thursday that the total value of consumer and housing loans owed by Kuwaiti citizens is KD 14.7 billion, of which KD 13 billion are housing loans. But the bank insisted that 97.5 percent of the 550,000 Kuwaiti debtors pay their instalments regularly without any problem, and that only 2.5 percent of them face difficulties repaying.

MPs have submitted a large number of so-called populist laws including draft legislation calling on the government to purchase personal and consumer loans of citizens. The proposed laws are very expensive, according to the government. Minister of State for National Assembly Affairs Ammar Al-Ajmi said on Thursday the government should be given enough time to prepare legal, technical and financial studies regarding proposed laws submitted by lawmakers.

Ajmi said that there should be agreement between the government and the National Assembly on draft laws, especially those listed on the agenda of the next Assembly session on Jan 10. But the minister insisted that the government is keen to look into issues that provide financial benefits to Kuwaiti citizens. MP Khaled Al-Tammar said the government is obliged to serve the interests of the Kuwaiti people,