Kuwaitis’ spending on travel increased significantly in the first quarter of this year, reaching 66% on a quarterly basis.
The increase in Kuwaiti spending on travel comes at a time when Kuwait’s current account achieved a surplus of 1.6 billion dinars ($5 billion).
According to a statement by the Central Bank of Kuwait, Kuwaitis’ spending on travel amounted to $1.96 billion, compared to $1.18 billion in the last quarter of last year.
Kuwaitis’ spending on travel
The bank stated that spending on travel declined during the first quarters of this year, by 50.4% compared to its level in the corresponding quarter of last year, when Kuwaitis spent about 1.19 billion dinars ($3.953 billion) on travel at that time.
According to the data, remittances from expatriates amounted to 1.367 billion dinars ($4.541 billion) in the first quarter of this year, a decrease of 7.3% compared to the transfers of the fourth quarter of 2020 amounting to 1.475 billion ($4.9 billion).
The Central Bank said in a statement that the surplus decreased by two billion dinars ($6.6 billion) from the surplus recorded in the fourth quarter of 2020 of 3.6 billion dinars ($11.8 billion), a decrease of 56.2%.
Reasons for the decline
The Central Bank attributed this decrease to a decrease in the value of the total receipts listed on the credit side of the account by 2.2 billion dinars ($7.2 billion) on the one hand, and a decrease in the value of the total payments listed on the debit side by 238.8 million dinars ($788 million) on the other hand.
The value of the commodity balance surplus during the first quarter of 2021 increased by about 808.6 million dinars, or 70.7%, compared to the previous quarter. This brings the value of this surplus to about 1952.2 million dinars ($6.48 billion), compared to 1143.7 million ($3.8 billion) during the previous quarter, as a result of the increase in the value of oil exports.
The Central Bank of Kuwait also confirmed that the overall situation of Kuwait’s balance of payments during the first quarter of this year recorded a deficit of 1197.5 million dinars ($3.9 billion), compared to a deficit of 0.9 million dinars ($2.98 million) during the previous quarter, as a result of developments. in the main accounts of the balance.