Kuwait Capital Markets Authority’s Disciplinary Board issued a resolution imposing a KWD 20,000 financial penalty on Kuwait & Middle East Financial Investment Company for violating the Capital Adequacy Instructions for Licensed Persons, and required the firm to raise its qualified regulatory capital to at least 100% of its risk-based capital requirement. The Authority found a breach of Article (3-1) of Module Seventeen of the Executive Bylaws of Law No. 7 of 2010, as amended, after the company’s capital adequacy ratio reached 32.48% in the capital adequacy report for the period ending 30 June 2025, versus a continuous 100% compliance requirement. It also noted the company has remained below the minimum regulatory capital requirement since 31 December 2022.
Kuwait Capital Markets Authority 2025-11-10
Kuwait Capital Markets Authority fines Kuwait & Middle East Financial Investment Company KWD 20,000 for breaching capital adequacy requirements
The Kuwait Capital Markets Authority's Disciplinary Board fined Kuwait & Middle East Financial Investment Company KWD 20,000 for breaching Capital Adequacy Instructions. The firm must increase its qualified regulatory capital to meet the 100% risk-based capital requirement, as its capital adequacy ratio fell to 32.48% as of 30 June 2025, below the required threshold since 31 December 2022.