The Banking Executive Magazine - October Issue 2022

Kuwait’s Central Bank Kuwait’s Central Bank TO TEST “BUY NOW, PAY LATER” PRODUCT Kuwait’s central bank (CBK) will be testing a new “buy now, pay later” product within its regulator sandbox framework ahead of its launch in the local market, it said hailing the ini- tiative as part of the bank’s innova- tive models. The new product represents a CBK effort to” support innovative Fintech based business models,” to deliver value-added services to users in par- ticular, and the local market in gen- eral, according to a bank statement. On the idea behind the new product, the statement clarified that it allows customers to purchase from the par- ticipating online retailers and pay on- line in a “flexible and deferred manner,” while it gives the merchant opportunity to provide products and services to customers. On the role of the regulatory sand- box framework, the statement said it aims to “provide a safe environment to assess, evaluate and enhance Fin- tech products,” which will be instru- mental in encouraging further innovative practices. CBK will con- tinue its role as a catalyst and will de- ploy the latest technology to “contribute to the achievement of national development plans, the statement underlined. ISSUE 166 OCTOBER 2022 the BANKING EXECUTIVE 15