Kuwait City — In response to the growing scale and sophistication of cyber threats facing global financial systems, the Central Bank of Kuwait (CBK) has issued an updated cyber and operational resilience framework for local banks and financial institutions. The new framework aligns Kuwait’s banking sector with internationally recognized technology, risk, and security standards, marking a significant step in safeguarding financial stability.
The framework goes beyond traditional cybersecurity compliance, adopting a maturity-based and flexible regulatory model that enables institutions to anticipate disruptions, withstand cyber and operational shocks, recover rapidly, and adapt to evolving risks. CBK noted that accelerating adoption of technologies such as cloud computing, artificial intelligence, machine learning, quantum computing, and open banking has increased interconnected risks that require a more holistic supervisory approach.
A key focus of the framework is consistency across the sector. By standardizing cybersecurity and operational resilience practices, CBK aims to close systemic gaps that can arise from fragmented institutional approaches. The framework also places strong emphasis on third-party and supply-chain risks, reflecting banks’ increasing dependence on fintech partnerships and external service providers.
Building on CBK’s 2020 cybersecurity guidelines, the updated framework shifts regulatory oversight from control-based compliance to institutional readiness, incident response, recovery, and business continuity. It is structured around six core pillars: governance; risk and compliance; technology and operations; third-party risk management; emerging technologies; and payment security and operational resilience.
Governance and accountability at board and executive levels are central elements, supported by alignment with global best practices tailored to Kuwait’s regulatory context. A two-tier assessment methodology evaluates both control compliance and resilience readiness using a five-level maturity scale, ensuring sustainable capability development across the banking sector.
CBK said the framework will enhance confidence in digital financial services, strengthen the resilience of the banking system, and reinforce Kuwait’s position in the regional and international financial landscape.
