Kuwait: Islamic banks and finance
Checked on October 12, 2026
Kuwait saw the founding of Kuwait Finance House (KFH), the country’s first Islamic bank, in 1977 and brought Islamic banking into its banking law in 2003; the Central Bank of Kuwait (CBK) licenses institutions and requires each one to have a Sharia supervisory board. In 2026 the main local Islamic banks are KFH, Boubyan Bank, Warba Bank and Kuwait International Bank, alongside conventional banks. The sector consolidated when KFH acquired Ahli United Bank in 2022, giving the group a presence in several Gulf countries and Egypt. Islamic finance accounts for a large share of Kuwait’s banking system, and Islamic banks offer accounts, home and car finance, cards and investment products.
The 4 providers
-
Kuwait Finance House (KFH)
Islamic bank- Since
- 1977
- Supervision
- CBK
- Products
- Current account, Card, Savings, Home finance, Car finance, Personal finance, Business, Investments
KFH acquired Ahli United Bank in 2022 and controls, among others, Kuveyt Türk in Turkey and KT Bank AG in Germany.
-
Boubyan Bank
Islamic bank- Group
- National Bank of Kuwait (NBK)
- Since
- 2004
- Supervision
- CBK
- Products
- Current account, Card, Savings, Home finance, Car finance, Personal finance, Business, Investments
A subsidiary of the NBK group, Boubyan Bank also owns the UK bank BLME and its digital bank Nomo.
-
Warba Bank
Islamic bank- Since
- 2010
- Supervision
- CBK
- Products
- Current account, Card, Savings, Home finance, Car finance, Personal finance, Business
-
Kuwait International Bank (KIB)
Islamic bank- Since
- 2007
- Supervision
- CBK
- Products
- Current account, Card, Savings, Home finance, Car finance, Personal finance, Business
Formerly the Kuwait Real Estate Bank, the institution has operated as an Islamic bank since 2007.
Before you commit
- Ask for the names of the Shariah board members and their published rulings on the product.
- Check that the provider is authorised by the country’s regulator.
- Compare the total cost, not just the monthly payment: the calculators in this section can help.
- Read the contract: who owns the property, who bears the risk, late-payment charges and where they go.