Kuwait differs from the other GCC states in one major currency-policy respect: KWD is not directly fixed to USD.
Currency
Currency: Kuwaiti dinar
Code: KWD
Central bank: Central Bank of Kuwait
FX framework: managed against a weighted basket of major currencies
KASSIP
KASSIP is Kuwait's RTGS for interbank and other eligible payment settlement.
CBK describes transactions as individually settled and final/non-retractable once processed.
KNET
KNET is central to Kuwait's retail card/payment ecosystem.
It handles large volumes of domestic electronic payments and connects into regional card infrastructure.
Electronic payment regulation
CBK regulates electronic payment infrastructure providers and agents under its electronic-payment framework.
AFAQ
Kuwait participates in AFAQ for regional GCC cross-border payments.
CBK describes AFAQ as capable of processing transfers in GCC local currencies and other supported currencies such as USD and EUR.
Stablecoins and virtual assets
Kuwait has a restrictive official position.
The CBK's July 2023 circular states:
Virtual assets may not be used as a payment instrument/means;
Regulated institutions must not provide virtual-asset investment services under the prohibition;
VASP commercial licenses are not issued under that framework;
Mining is prohibited.
Therefore a USDT payment should not be presented as an alternative local KWD payment rail.
Related pages
Authoritative sources and update date
Research updated: September 16, 2026.
This content is designed as an explainer. Payment availability, participant-bank coverage, cut-off times, fees, FX spreads, stablecoin treatment, and licensing requirements can change. For an actual transaction, confirm the current position with the relevant central bank, payment-system operator, sending institution and receiving institution.