Kuwait International Bank K.S.C.P. (KIB) is a pioneer in the Kuwaiti financial market. Outstanding performance in real estate financing and digital finance. Founded in Kuwait City in 1973 as Kuwait Real Estate Bank, it transformed into a full-fledged Islamic bank in 2007 with its headquarters at the Joint Banking Centre, West Safat in Kuwait City. As a listed company on the Kuwait Stock Exchange (ticker: KIB), KIB is backed by institutional and public shareholders such as Bukhamseen Holding and serves more than 500,000 customers, making it one of the leading Islamic banks in Kuwait thanks to its solid financial performance and innovative capabilities.

basic bank information

KIB is a commercial bank, privately owned, established in 1973 and headquartered in Kuwait City, Kuwait. Founded by Kuwaiti businessmen and the government with an initial focus on real estate financing, the bank was transformed into a fully Islamic bank in 2007 under the Kuwait Banking Act, providing Shariah-compliant financial services. A key promoter is Jawad Ahmed Bukhamseen, founder of Buchemsen Holdings, which provides support in the financial, trading and real estate sectors through the Jawad Bukhamseen business company. KIB is listed on the Kuwait Stock Exchange and its major shareholders include Buchemsen Holdings, other institutional investors and public shareholders, and the holding structure operates as an independent company. Banks are strictly regulated by the Central Bank of Kuwait (CBK) and are required to comply with the Kuwait Banking Act and international financial standards to ensure operational transparency and the safety of customer funds. Its deposits are protected by the Kuwait Deposit Insurance Scheme, with a maximum of KWD 300,000 (approximately US$1 million) per depositor. The SWIFT code for the bank is KIBKKWKW and the Legal Entity Identifier (LEI) is 5493003NOCSC6LUWUF03. KIB has about 30 branches and nearly 100 ATMs in Kuwait, with a total of about 1,000 employees in 2024.

Deposit & Financing Products

deposit KIB

provides Shariah-compliant deposit products, Meet the savings needs of individual and corporate customers based on a profit-sharing (Mudaraba) or proxy investment (Wakala) model instead of traditional interest:

Demand Deposits: including instant access accounts such as "Youth Account" and "Al Dirwaza Account", with a minimum opening amount of KWD 0 and an expected profit rate (EPR) of approximately 0.1%-0.5%, subject to confirmation of the latest rate through branch or online banking. The account supports flexible deposits and withdrawals, no monthly fees, and the Al Dirwaza account offers lucky draw prizes of up to KWD 100,000, which is suitable for young clients and daily money management (deposit services).

• Fixed Deposits: Support Kuwaiti dinar, US dollar, euro and other currencies, deposit terms from 1 month to 5 years, the minimum deposit is KWD 1000. In 2025, the expected profit margin will vary according to the maturity, e.g. 1.5% for 1 month, 2.0% for 3 months, 2.5% for 6 months, 3.0% for 12 months, and 3.5% for 2-5 years (fixed deposits). Invest in low-risk ethical transactions (e.g. real estate, sukuk), and the profits are shared by the bank and the client in an agreed proportion.

• Featured products:

  • High yield savings accounts: such as "Al Dirwaza Account", which offer an expected profit margin of up to 2.0% and a cash prize of KWD 100,000 through a monthly sweepstakes, subject to maintaining a balance of KWD 200 or more, No monthly fees (Al Dirwaza account).

  • Large Certificate of Deposit (CD): Support flexible term, suitable for large amount of money customers, the expected profit margin needs to be queried through the branch or app, and the early withdrawal penalty is 90 to 180 days of profit.
    Customers can check the expected profit margin through the "KIB Mobile" app or online banking, deposit products can be opened and calculated instantly, and some accounts offer free transaction fees.

financing

KIB offers Shariah-compliant financing products based on the Murabaha (cost-plus), leasing (Ijarah) or agency investment (Wakala) model, as an alternative to traditional loans:

• Murabaha/Lease-to-Own: Financing up to 80% of the value of the property for up to 30 years using a cost-plus or lease model. In 2025, the annualized profit margin will be as low as 3.5% (fixed or floating, based on the value of the property), green financing discounts will be provided (energy-efficient properties), and the application will require a credit score of 700 or more and an annual income of more than KWD 5,000 (housing financing).

• Car Loan (Murabaha): Support new and used car financing, with a financing amount of up to KWD 25,000, a term of up to 7 years, an annualized profit margin (APR) of about 4.0%-7.0%, and a credit score of 660 or above (car loan service).

• Personal Line of Credit (Tawarruq): Financing amount from KWD 1,000 to KWD 25,000, term of 1 to 5 years, annualized profit margin (APR) of about 5.99%-10%, the application threshold is an annual income of KWD 3,000 or more and a good credit history, and the customer needs to be at least 21 years old (personal financing).

• Flexible payment options: Home finance and personal financing support early payment without penalty, monthly or bi-weekly payment plans, and customers have the flexibility to manage their payment contributions.
  All financing is subject to bank approval, and customers are required to provide credit history, proof of income and asset information, the specific terms of which are subject to the financing agreement. The bank's trade finance services (e.g. letter of credit, bill discounting, Istisna'a) provide additional support (business finance) to SMEs.

digital service experience

KIB's mobile banking app "KIB Mobile" is the core of its digital services, available for download on iOS 14.0 and above and Android 9.0 and above, with an App Store rating of around 4.6 and a Google Play rating of around 4.4, with users praising its quick launch (in less than 2 seconds), intuitive interface and multi-language support (Arabic, English) (KIB Mobile). Core features include:

• Face recognition: support for biometric authentication (such as Face ID and Touch ID), combined with 256-bit end-to-end encryption to ensure transaction security.

• Real-time transfers: Support instant transfers in Kuwaiti dinars through the Kuwait interbank clearing system, with a daily limit of up to 100,000 Kuwaiti dinars, international remittances covering more than 100 countries, and cooperate with Western Union to provide low-rate transfers.

• Bill management: Support online bill pay, automatic debit, and e-statement, classify transactions in real time, and allow up to five bills to be paid at a time.

• Investment Tool Integration: Support Sukuk, real estate investment and fund trading through the KIB investment platform, providing real-time market data and investment advisory services.
  The online banking platform "KIB Online" supports multiple browsers and provides similar functions, allowing customers to open an account in 5 minutes through the app or official website. The app supports accessibility features such as dynamic font adjustment and VoiceOver compatibility for visually impaired and hearing-impaired customers. In 2023, about 60% of customers completed transactions through digital platforms, significantly improving the user experience. KIB also offers 24/7 customer support, providing instant assistance (customer support) via the in-app messaging feature or social media (Platform X).

technological innovationKIB

excels in the fintech space, driving technological advancements through its Digital Innovation Center:

• AI customer service: Introduce an AI-driven customer service system to analyze transaction behavior, detect fraud risks in real time, automate 80% of customer inquiries by 2023, and plan to launch a virtual assistant in 2025 to support 24/7 inquiries and personalized financial advice.

• Open Banking API Support: Follows the Central Bank of Kuwait's Open Banking Framework, integrates with third-party service providers, provides account management and financial services interoperability, and supports 35 deposit, credit card, and financing service APIs by 2024.

• Blockchain trade finance: In 2023, a blockchain-based trade finance platform will be launched to simplify the L/C process and improve transaction efficiency and security.

• Electronic KYC (eKYC): Introducing electronic identity verification in 2022, allowing customers to apply for financing, credit cards and accounts online through "KIB Mobile" without visiting a branch, with full rollout in 2024.

• Other innovations: Apple Pay, Google Pay, and Samsung Pay support, and mobile check deposit for simplified operations; Partnering with AWS to optimize the cloud-based trading system; In 2024, it will invest KWD 50 million to upgrade cloud technology and data analysis platforms to improve operational efficiency.

Featured Services & DifferentiationKIB

is known for its Shariah-compliant financial services and innovative rewards programs:

• Shariah compliant: All products are certified by an independent Shariah Supervisory Board, and investment activities involving alcohol, tobacco, gambling and other industries are prohibited to ensure ethical investment and attract customers who seek Shariah compliance (About Us).

• Al Dirwaza Rewards Program: Offering a monthly KD 100,000 raffle reward and point redemption (e.g. travel, shopping) through the Al Dirwaza account, with 30% of the retail customer base participating in 2023, significantly increasing customer retention (Al Dirwaza account).

• SME support: Provide customized financing and cash management services through KIB Business Banking, participate in the Kuwait Government SME Financing Guarantee Program, with financing approval in as fast as 10 seconds, up to KWD 1 million, and increase SME financing balance by 12% in 2023 (commercial banks).

• Green Finance: Issued green sukuk to support sustainable real estate and energy projects, responded to the United Nations Principles for Responsible Banking, and won the "Kuwait Green Finance Pioneer Award" for green financing of KWD 100 million in 2023.

• Property Management Services: Providing clients with real estate marketing, rent collection, maintenance and legal services, with a 10% increase in the value of properties under management in 2023 (property management).

• Community Contribution: Support educational, medical and charitable projects through the KIB Foundation, donate KWD 10 million for community development in 2023, hold financial literacy lectures, and improve the financial literacy ability of young people.

market position and honors

KIB is one of the leading Islamic banks in Kuwait, with total assets of approximately KWD 2.8 billion (approximately US$9.3 billion) in 2024, accounting for about 10% of the assets of Islamic banks in Kuwait and ranking among the top 38 banks in Kuwait. With about 30 branches and nearly 100 ATMs, the bank serves more than 500,000 customers (including 400,000 individual customers and 100,000 corporate customers), and has a strong position in retail banking, corporate banking and real estate finance. In 2023, banks reported an 8% increase in deposit balances, a 6% increase in financing balances, and a non-performing financing ratio of less than 0.2%, indicating that they are operating soundly. KIB's innovation in digital services and green finance has enabled it to remain competitive in the regional market. The bank has received a long-term issuer default rating of A+ from Fitch Ratings, reflecting its financial soundness. In 2023, KIB was awarded the "Safest Islamic Bank in Kuwait" award by Global Finance for its superior security and customer service. Key accolades include:

• Global Finance's 2023 "Safest Islamic Bank in Kuwait" award.

• Kuwait Green Finance Pioneer Award 2022.

• The Banker 2021 "Best SME Bank" Award.

With more than 50 years of heritage, local services and innovative financial products, Kuwait International Bank Limited has become a pioneer in the Kuwaiti financial market. It offers a wide range of deposit and financing products, all Shariah-compliant, and meets customer needs through local branches and digital platforms. The digital service is centered on the "KIB Mobile" app, which provides efficient real-time transfer and investment management functions. Technological innovations include AI customer service, open banking APIs, blockchain trade finance, and electronic KYC, demonstrating its forward-looking digital transformation. With its Shariah-compliant financial services, Al Dirwaza rewards scheme, green finance, SME support and multiple industry accolades, KIB continues to demonstrate strong competitiveness and influence in the Kuwaiti and regional financial markets.

Note<