Kuwait Approves Landmark Digital Commerce Law to Strengthen Its Regional Digital Economy Ambitions

Kuwait’s Ministry of Commerce and Industry has announced Cabinet approval of the new Digital Commerce Law—a transformative step toward modernizing the country’s business environment and positioning Kuwait as a leading regional hub for the digital economy. The bill now moves to His Highness the Amir for ratification before implementation.

The new law establishes a comprehensive legal framework to regulate digital commercial activity, closing major legislative gaps and ensuring Kuwait’s regulations keep pace with technological advancement. Key elements include a unified definition of the “digital merchant,” simplified online licensing, legal recognition of electronic contracts and signatures, stronger consumer protection, and the creation of Digital Dispute Resolution Committees for faster e-commerce conflict settlement.

The legislation also introduces a Regulatory Sandbox, allowing innovators to test emerging technologies safely and transparently—supporting entrepreneurship, fintech growth, and digital experimentation.

Minister of Commerce and Industry Khalifa Al-Ajil described the law as a pivotal milestone that enhances transparency, boosts consumer trust, and opens new opportunities for digital businesses. He emphasized that the move positions Kuwait as an innovation-driven digital economy aligned with global best practices.

The Ministry confirmed that implementation planning with government entities and private-sector stakeholders will begin immediately to ensure a smooth transition to a fully integrated digital business environment.