Kuwait’s central bank issues $792m worth of bonds and tawarruq

RIYADH: The Central Bank of Kuwait has issued bonds and tawarruq with an accumulated value of 240 million Kuwaiti dinars ($792 million).

Tawarruq is a financing arrangement where the buyer can obtain cash immediately through a series of sale transactions.

CBK issued a statement announcing the maturity period will be three months, with a rate of return standing at 1.625 percent, Kuwait News Agency reported. 

Last week, the bank allocated two bonds and tawarruq issues.

The first was valued at 100 million Kuwaiti dinars with a one-year maturity and a yield rate of 2.625 percent and the second was valued at 240 million Kuwaiti dinars with a six-month maturity and a yield rate of 2 percent.