Kuwait-Mubasher: Credit in Kuwait retreated by KWD 133 million in July, while it grew to 5.5% on an annual basis, according to a recent report issued by NBK.

Kuwait’s total credit declined in July due to a drop in lending for securities purchases, which reversed a large gain in June.

Nonbank credit saw a larger decline, and private deposits witnessed large withdrawals in July, with money supply growth picking up despite the decline.

Meanwhile, NBK’s report noted that interbank and deposit rates held steady.

During the three months through July, total credit settled at a growth of 6.9% as compared to a low of 2.2% in December 2014.

Household borrowing achieved a monthly gain of KWD 79 million, and an annual growth to 12.5%.

Credit to non-bank financial companies plunged by KWD 69 million; the largest in 18 months.

Private deposits in Kuwait declined sharply by KWD 453 million in July, said NBK.

The report noted that “The decline in deposits was in both dinar (-KWD 315 million) and foreign currency deposits (-KWD 138 million).”