LOC16:52
13:52 GMT
KUWAIT, Oct 27 (KUNA) -- The Central Bank of Kuwait (CBK) is ready to
inject liquidity into the Gulf Bank, if necessary, in order to help it cover
potential deposit withdrawals, CBK Governor Sheikh Salem Abdelaziz Al-Sabah
said here Monday.
However, he said the Gulf Bank is able to continue its ordinary bank
activities, vowing to support the bank and to safeguard all its deposits.
By making such remarks, the top Kuwaiti banker wanted to quench Gulf Bank
customers' concerns over their deposits, making it certain that their deposits
are safe and sound.
"The CBK is ready to inject required liquidity into the Gulf Bank, if it
needs money to meet any deposit withdrawals," he told Kuwait News Agency
(KUNA).
He called on depositors to be well aware that their deposits are totally
safe.
The remarks came following reports that losses were sustained owing to
dealing in derivative contracts by some local banks.
The CBK governor denied such reports, affirming that no local bank incurred
losses in such contracts.
He concluded by saying that the Kuwaiti banking position is good, pointing
out an in-the-offing draft law targeting a state protection of all bank
deposits. (end)
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