Ineligible Borrowers List
Local banks are exercising cautious and selective lending to non-Kuwaitis in order to reduce default risk, especially as the government moves to terminate the employment of thousands of non-Kuwaiti workers in both the public and private sectors, such as teachers and employees in cooperative societies and community development organizations. The new policies include tightening financing conditions, limiting loans to eligible Kuwaitis and a select group of highly-rated residents with strong guarantees, while excluding categories such as employees in stable jobs and those with good academic credentials. Loan caps have been set at 95,000 Kuwaiti dinars. Possibly considering the default risk, banks have reduced their exposure to high-risk non-Kuwaiti jobs and are focusing on stable clients with reliable employment performance. Additionally, the list of gray-area jobs now includes professions facing oversupply or layoffs. Some banks continue offering favorable terms for doctors, engineers, and long-standing employees, but with strict standards regarding salary, years of service, and the financial stability of the employer, all in an effort to mitigate the risk of non-repayment.
Notice: This Is an AI-Generated Summary
Comments (0)