Central Bank of Kuwait has cut its key discount rate…
Submitted by Editorial Team on February 8, 2010 – 1:22 pmNo Comment
Central Bank of Kuwait (CBK) has cut its key discount rate by 50 basis points to 2.5%, in a bid to bolster the non-oil sector at a time when inflation is expected to remain low. CBK last cut its key rate in May 2009, also by 50 basis points, and has made cuts amounting to 200 basis points since October 2008. State news agency KUNA quoted CBK Governor Shaikh Salim ‘Abd al-’Aziz al-Sabah on 7 February as saying that the reduction is aimed at “enhancing growth in non-oil sectors of the national economy by minimizing the cost of credit.” Shaikh Salem added that the Kuwaiti dinar continues to be attractive and competitive – “a local savings pot” – and was providing a suitable climate for discount rate reduction.
