Responsibilities
The Central Bank of Kuwait is managed by a Board of Directors encompassing the Governor of CBK - chairman, the Deputy Governor of CBK, a representative of the Ministry of Finance and a representative of the Ministry of Commerce and Industry. The Board also comprises of four other members with proven experience in the economic, financial and banking affairs.
The Board of Directors exercises its authority in accordance with Article 26 of Law No. 32 of 1968, to:
- set CBK's monetary and credit policy.
- decide on matters relating to the issue, circulation and withdrawal of national currency.
- set the policies of discounting/re-discounting commercial papers, loans and advances, and collaterals.
- set the discount/rediscount rates, interest rate, commission charged by banks on loans and advances, and the discount rate of commercial papers.
- decide on matters relating to the organization and supervision of banking activities.
- review government's applications for advances.
- determine the maximum limits for advances and loans extended to banks operating in Kuwait.
- determine financial allocations for the purchase and discount of public securities or Government Treasury Bills.
- establish clearing centers.
- establish Staff and Employees' Pension Fund, and determine CBK's contribution to the Fund.
- approve the estimates of annual revenues and expenditures.
- review CBK's position and operations progress, periodically.
- approve CBK's annual balance sheet, profit and loss account and closing account.
- approve CBK's annual report submitted by the Governor to the Minister of Finance in accordance with the provisions of Article 50 of the Law No. 32 of 1968.
- issue CBK's internal regulations relating to the financial and administrative affairs, as well as any other regulations necessary for the proper management of the Bank.
- deal with all matters that are delegated, in accordance with this Law or another law, to the CBK's Board of Directors.
