Who regulates payment service providers in Kuwait?

The Central Bank of Kuwait (CBK) regulates and supervises all licensed PSPs.

What types of companies must comply with these regulations?

Any entity providing payment services outside the traditional banking sector, including wallet apps, processors, and aggregators.

Are customer funds protected under this law?

Yes. Licensed PSPs must segregate customer funds and adopt safeguards to prevent misuse or loss.

Do these regulations include AML requirements?

Yes. All PSPs must implement AML/CFT programs in line with CBK and FATF guidelines.

Payment Services Provider Regulations

Saudi Arabia

2021

Privacy

Overview

Kuwait's Payment Services Provider Regulations were issued by the Central Bank of Kuwait (CBK) in November 2018 to bring non-bank payment institutions under formal regulatory oversight. The framework governs the licensing, supervision, and risk management obligations of companies offering digital payment services.
These regulations apply to fintech companies, e-wallet operators, payment aggregators, mobile payment firms, and othernon-bank financial institutions providing payment services in Kuwait. The goal is to ensure financial stability, consumer protection, and regulatory compliance in Kuwait's evolving payments ecosystem.

Key Obligations

Obtain a license from the Central Bank of Kuwait before offering payment services
Maintain minimum capital requirements based on service type and risk exposure
Implement AML/CFT controls, including customer due diligence and transaction monitoring
Protect user data and funds, including segregation of customer assets

Establish business continuity and cybersecurity policies
Submit to ongoing supervision, inspections, and reporting
Adhere to disclosure standards for service fees, terms, and user protections

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