Key Requirements for Service Providers
The circular imposes several stringent measures on these service providers:
- Providers must be fully responsible for the accuracy and validity of all documents uploaded through the Gateway System.
- Only authorized personnel, such as the CEO or General Manager, or officially designated staff members can submit documents.
- They need to inform the CBK about any resignations among their authorized users and promptly request the revocation of access rights.
- All original copies of critical documents—especially those issued by government bodies, including criminal record certificates related to partners and leadership candidates—must be retained.
These regulations underscore the CBK’s dedication to improving digital oversight while ensuring legal accountability. They aim to bolster internal controls within service providers, prevent unauthorized actions, and mitigate operational and reputational risks.
The circular also references several regulatory tools, such as Article 33 of the CBK’s Instructions for Regulating Electronic Payment Business from May 14, 2023, which calls for firms to establish governance policies, procedures, and oversight mechanisms. It further mentions Article 27, requiring compliance with Anti-Money Laundering/Counter-Terrorist Financing (AML/CTF) obligations under Law No. 106/2013 and relevant Financial Action Task Force (FATF) standards.
Moreover, the CBK cites leadership appointment regulations from July 5, 2023, and documentation requirements for registering partners and board members from October 20, 2024. Service providers are instructed to conduct annual reviews to ensure that all board members and key employees adhere to required standards of solvency, integrity, and technical competence. Any changes must be reported promptly, accompanied by appropriate documentation.
These measures aim to create a secure and transparent electronic financial environment in Kuwait.
