Source: Kuwait Clearing Company
Kuwait Clearing Company signed two new agreements with Citi Bank and HSBC to provide the e-dividends service to their clients.
Thus, the two foreign custodians join the array of local banks that are able to provide the KCC e-dividend service. This is a significant milestone in the company’s plan to digitize its operations. It also adds further value to foreign investors in the Kuwaiti Capital Market as it enables them to receive dividends in a more timely and efficient manner through their local custodians.
On this occasion, Mr. Khaldoun Altabtabaie, CEO, commented: “We are extremely proud to have signed these important agreements with Citi Bank and HSBC to enable us to deliver the dividends digitally to the two foreign custodian banks in Kuwait. This step ensures that we have now fully eliminated the use of checks in dividend distributions. We also would like to thank Citi bank and HSBC for their cooperation and eagerness to join the full array of banks providing this service which will ultimately enrich the investor’s overall experience in Kuwait’s capital market”.
The e-Dividends service provided by KCC in cooperation with the participating banks ensures that the entire process is fully digitized. Investors can subscribe through the e-channels provided by banks and once enrollment is successful, they can receive all their dividend distributions electronically.
The e-divided service adds to a portfolio of digital services that KCC has launched in recent years such as IPO Kuwait, e-AGM and e-Voting.
“Technology sits at the core of our business strategy and we strive to continuously provide added value services to our clients. We have an ambitious plan ahead of us and are keen to continue the development path we’ve started few years ago”, Altabtabaie added.
KCC is the central registrar, depository and clearing house for Boursa Kuwait and plays a pivotal role in all market development plans.